With the Thanksgiving break bringing at least some certainty to Time Warner (NYSE:TWX) shareholders -- AT&T's (NYSE:T) fight with the Justice Dept. over whether the two can pull off an $85B merger, and the associated stock overhang -- Guggenheim is reiterating a Buy on TWX, saying the lawsuit won't put a chill on the company's prospects.

That's even if the AT&T deal isn't consummated, says analyst Michael Morris. Intensifying competition means media companies will still explore horizontal M&A, and Time Warner could join up with Disney (NYSE:DIS), CBS (NYSE:CBS) or Fox (FOX, FOXA).

"In this context we evaluate the concentration of several key businesses (content creation, channel ownership) should Time Warner ultimately consolidate with CBS, Disney or 21st Century Fox," he writes. "We see very few cases where one of these combinations would create a prohibitive business concentration."

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