Movers and SHAKERS
Townsquare Media Inc (TSQ)
An Impressive Recovery; Raising Estimates
Townsquare Media Inc is an entertainment and media company offering digital marketing solutions in the United States and Canada. It owns and operates radio stations, social media properties focusing the small and mid-cap companies. Services offered to the clients include live events, local advertising, digital advertising, e-commerce offerings, few others. The segments through which the company operates its businesses are classified into Local marketing solutions and Entertainment segments. Revenues are generated from commercials through broadcasts and sale of internet based advertisements.
Michael Kupinski, Director of Research, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Outperforms highest expectations. Q3 revenues of $95.3 million was better than our recent upwardly revised revenue estimate of $92.1 million. Cash flow, as measured by adj. EBITDA, was $17.5 million, significantly better than our $11.3 million estimate. The results benefited from a large $4.4 million in Political advertising, above our upwardly revised $2.6 million estimate, and accounted for the large variance in our estimates.
Improving results, even without Political. Revenue trends appear to be moderating even without the benefit of Political advertising. Q4 advertising pacings are down 17%, a sequential improvement from the 21% decline in q3, ex Political. Its Digital Interactive business continues its double-digit revenue growth in Q4, up an expected 16%, a sequential acceleration from 14% growth in Q3 ...
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.