Movers and SHAKERS
Entravision Communications (EVC)
The World Is Its Oyster
Entravision Communications Corporation is a diversified Spanish-language media company utilizing a combination of television and radio operations to reach Hispanic consumers across the United States, as well as the border markets of Mexico. Entravision owns and/or operates 53 primary television stations and is the largest affiliate group of both the top-ranked Univision television network and Univision's TeleFutura network, with television stations in 20 of the nation's top 50 Hispanic markets. The Company also operates one of the nation's largest groups of primarily Spanish-language radio stations, consisting of 48 owned and operated radio stations.
Michael Kupinski, Director of Research, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Plans to acquire MediaDonuts. The acquisition of MediaDonuts, which is expected to close July 1st, will establish the company as a Digital Marketing company in Southeast Asia, moving beyond its traditional Hispanic oriented media businesses. We estimate that the acquisition in total will be roughly $32 million in cash, plus earnouts, with a series of payments beginning at $15 million on July 1st. The acquisition is viewed favorably.
Favorable valuation. We estimate that MediaDonuts generated roughly $50 million in trailing 12 month revenue and $4 million in trailing adjusted EBITDA. As such, the company is estimated to pay roughly 8 times trailing cash flow for a business we believe is growing revenues and cash flow strongly in the double-digits. With the acquisition, the company will move solidly to become a digital media ...
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.