Tuesday, May 11, 2021

Townsquare Media Inc (TSQ)
Leaning In With A Digital First Strategy

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.

Q1 results appear in line. Q1 revenues were $88.7 million versus our $87.5 million estimate. Cash flow, as measured by adjusted EBITDA, was $20.1 million versus our $18.4 million estimate, enhanced by lower-than-expected corporate expenses and better gross profit margins.


Q2 guidance well above expectations.  Q2 revenues are expected to be between $101 million and $104 million, for growth between 36% to 40% on a year-over-year basis. Importantly, Q2 revenue guidance is a modest 4% to 7% decline compared to the second quarter 2019. We have adjusted upward our Q2 revenue estimate from $83.5 million to $102.5 million and our adjusted EBITDA estimate from $10.0 million to…

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.