Movers and SHAKERS
Tuesday, June 2, 2020
Salem Media (SALM)
Why We Are More Optimistic
Salem Media Group is America’s leading radio broadcaster, Internet content provider, and magazine and book publisher targeting audiences interested in Christian and family-themed content and conservative values. In addition to its radio properties, Salem owns Salem Radio Network, which syndicates talk, news and music programming to approximately 2700 affiliates; Salem Radio Representatives, a national radio advertising sales force; Salem Web Network, a leading Internet provider of Christian content and online streaming; and Salem Publishing, a leading publisher of Christian themed magazines. Salem owns and operates 115 radio stations, with 73 stations in the nation’s top 25 top markets – and 25 in the top 10. Each of our radio properties has a full portfolio of broadcast and digital marketing opportunities.
Michael Kupinski, Director of Research, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
First quarter was roughly in line with expectations. Revenues of $58.25 million was in line with our $58.29 million estimate. Adj. EBITDA of $3.43 million was lower than our $4.79 million estimate, but an unexpected $1.2 million reserve for bad debt collections accounted for virtually all of the variance.
Revenue trends in Q2 appear in line. Company provided revenues for April and May, down 24% and 23% respectively, with June trending better. We believe that our Q2 revenue estimate of $50.1 million (down 22.5%) is...
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.