Tuesday, January 26, 2021
Salem Media (SALM)
A Focus On Digital
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.
NobleCon 17 Highlights. This report highlights comments by Evan Masyr, the CFO, made at Noble’s 17th annual conference last week. The presentation (which can be accessed by clicking here) highlighted why the company is different from other radio broadcasters and provided insights on some of its growth drivers, including Salem Surround, SalemNow, its new Podcast Network. We believe that investors have not fully appreciated the company’s Digital businesses, which we believe is worth more than the current market cap of the company, discussed later in this report.
Salem Surround provides compelling growth. Management state that Salem Surround, its digital ad agency, has about 3,000 customers, some of which have been radio customers. The business grew 40% in revenues in the third quarter and was up in the 50% range in 2019. Management believes that the future is quite significant for this business and it continues to invest resources to build it …
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.