Viacom Reunion With CBS Foreshadowed in Stock Valuation

Investors are “beginning to lay the groundwork” for CBS Corp. and Viacom Inc. to reunite after more than a decade on their own, according to Jason Bazinet, a Citigroup Inc. analyst. In a report Monday, Bazinet cited a smaller gap between price-earnings ratios for the companies’ shares. The spread narrowed as much as 57 percent since March and set an 18-month low in July, according to data compiled by Bloomberg.