Movers and SHAKERS
Townsquare Media Inc (TSQ)
Digital Shines, But Can The Stock Reflect It?
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, DOR, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Q1 results were below estimates, but that was expected. The Q1 miss was not a surprise given the Covid mitigation efforts. Revenues were $93.4 million, just slightly below low end of guidance, and cash flow, (adj. EBITDA) was $15.5 million versus our $19.4 million estimate. The company's digital, Townsquare Interactive business grew revenues 16.3% and registered 850 new users, which now totals 19,850. Total digital revenues accounted for 40% of total company Q1 revenues.
Interactive continues to grow. Surprisingly, management indicated that Townsquare Interactive is on pace to add another 850 subscribers...
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.