Tag: Media and Entertainment

Snail Inc. (SNAL) – Initiating Coverage: Perseverance To The Ark

Posted on by cpereira@noblefcm.com


Thursday, April 13, 2023

Snail is a leading, global independent developer and publisher of interactive digital entertainment for consumers around the world, with a premier portfolio of premium games designed for use on a variety of platforms, including consoles, PCs and mobile devices.

Michael Kupinski, Director of Research – Digital, Media & Technology Analyst, Noble Capital Markets, Inc.

Patrick McCann, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Initiating coverage with an Outperform rating and $9 target. Snail is a game developer and publisher, which boasts a portfolio of games that have demonstrated sustained popularity among gaming enthusiasts. Moreover, the company has a broad range of opportunities to grow revenue through additional games, expansion packs, and alternative ways to use its IP.  

Expanding market opportunity. The total global video game market in terms of revenue was $193 billion in 2021 and is expected to grow at 4% CAGR, from 2021-2025. We believe that Snail should grow faster than the industry over the next few years as it launches new products.


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*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. 

RCI Hospitality Holdings (RICK) – 2Q23 Revenue Inline

Posted on by cpereira@noblefcm.com


Wednesday, April 12, 2023

With more than 60 units, RCI Hospitality Holdings, Inc., through its subsidiaries, is the country’s leading company in adult nightclubs and sports bars/restaurants. Clubs in New York City, Chicago, Dallas-Fort Worth, Houston, Miami, Minneapolis, Denver, St. Louis, Charlotte, Pittsburgh, Raleigh, Louisville, and other markets operate under brand names such as Rick’s Cabaret, XTC, Club Onyx, Vivid Cabaret, Jaguars Club, Tootsie’s Cabaret, Scarlett’s Cabaret, Diamond Cabaret, and PT’s Showclub. Sports bars/restaurants operate under the brand name Bombshells Restaurant & Bar.

Joe Gomes, Managing Director – Generalist Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

2Q23 Preliminary Revenues. RCI reported preliminary 2Q23 revenue for the Nightclubs and Bombshells. Total revenues of $70.8 million were up 12.3% year-over-year. Y-o-Y SSS were up 0.2%. Nightclubs revenue of $56.6 million was up 18.6% y-o-y and 3.7% on a SSS basis, while Bombshells revenue of $14.3 million was off 7.1% y-o-y and down 12.1% on a SSS basis. We had estimated full 2Q23 revenue at $71 million.

Organic, Acquisitions Drive Nightclubs. Revenue from clubs owned prior to FY22 increased 2.1% y-o-y. The 11 clubs acquired in October 2021 were up 19.5% y-o-y, a testament to the implementation of the RCI operating playbook. The six clubs acquired since the beginning of FY23 added $1.8 million, while the three remodeled/renamed clubs contributed $1.2 million. RCI continued to see intermittent softness in select blue collar clubs during the quarter, with several clubs also impacted by adverse weather conditions.


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*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. 

Lee Enterprises (LEE) – Powering Through A Difficult Advertising Environment

Posted on by cpereira@noblefcm.com


Wednesday, April 12, 2023

Lee Enterprises, Incorporated provides local news, information, and advertising primarily in midsize markets in the United States. It publishes 49 daily newspapers, as well as offers 300 weekly newspapers and specialty publications in 23 states. The company also provides online advertising and services; and online infrastructure and online publishing services for approximately 1,500 daily and weekly newspapers and shoppers. In addition, it offers commercial printing services. The company has a strategic alliance with Yahoo!, Inc. to provide its classified employment advertising customer base the opportunity to post job listings and other employment products on Yahoo!�s HotJobs national platform. Lee Enterprises, Incorporated was founded in 1890 and is based in Davenport, Iowa.

Michael Kupinski, Director of Research – Digital, Media & Technology Analyst, Noble Capital Markets, Inc.

Jacob Mutchler, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Managing its cash flow. The company announced that it will be implementing cost reductions resulting in annualized savings of $60 million in fiscal year 2023. We have adjusted our quarterly estimates to reflect the current weaker than expected revenue outlook and significantly lower expenses. This report highlights our quarterly and full year 2023 and 2024 revenue and adj. EBITDA revisions.  

A tough quarter ahead. We believe that the company’s fiscal second quarter will be somewhat similar to the first quarter, given that the cost reductions impact will largely fall in the fiscal second half. As such, we believe that adj. EBITDA trends will significantly improve in the back half of the fiscal year. 


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*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. 

Beasley Broadcast Group (BBGI) – Raises Q1 Guidance

Posted on by cpereira@noblefcm.com


Wednesday, April 05, 2023

Beasley Broadcast Group, Inc. owns and operates 61 stations (47 FM and 14 AM) in 15 large- and mid-size markets in the United States. Approximately 20 million consumers listen to the Company’s radio stations weekly over-the-air, online and on smartphones and tablets, and millions regularly engage with the Company’s brands and personalities through digital platforms such as Facebook, Twitter, text messaging, digital and web applications and email. The Overwatch League’s Houston Outlaws esports team is a wholly owned subsidiary. The Company also owns BeasleyXP, a national esports content hub, and AXLR-R8, a Rocket League Championship Series team, in its esports portfolio. For more information, please visit www.bbgi.com.

Michael Kupinski, Director of Research, Noble Capital Markets, Inc.

Jacob Mutchler, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Non-deal roadshow highlights. CEO Caroline Beasley and CFO Marie Tedesco were in South Florida on April 4th to hold investor meetings. They provided a surprising positive update on Q1 and indicated favorable trends on its digital strategy.

Beating its peers. Management updated its Q1 outlook indicating that net revenue will grow in the range of 1% to 2.5% and EBITDA growth in the range of 40% to 50%, significantly better than our estimate. We believe that these results will be much better than the industry Q1 revenue, expected to be down 2% to 5% and with EBITDA lower. We raised our Q1 estimates, illustrated in Figure #1 Revisions. 


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*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. 

QuoteMedia Inc. (QMCI) – Favorable Revenue Undercurrents

Posted on by cpereira@noblefcm.com


Tuesday, April 04, 2023

QuoteMedia is a leading software developer and cloud-based syndicator of financial market information and streaming financial data solutions to media, corporations, online brokerages, and financial services companies. The Company licenses interactive stock research tools such as streaming real-time quotes, market research, news, charting, option chains, filings, corporate financials, insider reports, market indices, portfolio management systems, and data feeds. QuoteMedia provides industry leading market data solutions and financial services for companies such as the Nasdaq Stock Exchange, TMX Group (TSX Stock Exchange), Canadian Securities Exchange (CSE), London Stock Exchange Group, FIS, U.S. Bank, Broadridge Financial Systems, JPMorgan Chase, CI Financial, Canaccord Genuity Corp., Hilltop Securities, HD Vest, Stockhouse, Zacks Investment Research, General Electric, Boeing, Bombardier, Telus International, Business Wire, PR Newswire, FolioFN, Regal Securities, ChoiceTrade, Cetera Financial Group, Dynamic Trend, Inc., Qtrade Financial, CNW Group, IA Private Wealth, Ally Invest, Inc., Suncor, Virtual Brokers, Leede Jones Gable, Firstrade Securities, Charles Schwab, First Financial, Cirano, Equisolve, Stock-Trak, Mergent, Cision, Day Trade Dash and others. Quotestream®, QModTM and Quotestream ConnectTM are trademarks of QuoteMedia. For more information, please visit www.quotemedia.com.

Michael Kupinski, Director of Research, Noble Capital Markets, Inc.

Patrick McCann, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Strong operating results. The company reported Q4 revenue of $4.54 million, up 16% year over year and in line with our estimate. Adj. EBITDA was $869,000, beating our estimate of $690,000. Q4 revenue growth was sequentially better than Q3, 16% versus 15%, indicating improved revenue momentum.

Favorable outlook. The recent results benefited from two large Canadian banks added in November of last year. As such, the full revenue impact has not been fully realized. In addition, the company anticipates that there will be additional products and usage to drive revenue growth in 2023. Finally, the latest results were adversely affected by the expense of SOC2 Type II certification, which should moderate in coming quarters.


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*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. 

Motorsport Games (MSGM) – Pushes Out IndyCar Launch

Posted on by cpereira@noblefcm.com


Monday, March 27, 2023

Motorsport Games, a Motorsport Network company, combines innovative and engaging video games with exciting esports competitions and content for racing fans and gamers around the globe. The Company is the officially licensed video game developer and publisher for iconic motorsport racing series across PC, PlayStation, Xbox, Nintendo Switch and mobile, including NASCAR, INDYCAR, 24 Hours of Le Mans and the British Touring Car Championship (“BTCC”). Motorsport Games is an award-winning esports partner of choice for 24 Hours of Le Mans, Formula E, BTCC, the FIA World Rallycross Championship and the eNASCAR Heat Pro League, among others.

Michael Kupinski, Director of Research, Noble Capital Markets, Inc.

Patrick McCann, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Q4 results The company reported revenue of $3.8 million and an adj. EBITDA loss of $3.5 million in the quarter, roughly in line with our estimates. The quarter was driven by the successful release of NASCAR Rivals on the Nintendo Switch and reduced compensation expenses. The company made an investment in its user base by releasing a free DLC expansion pack for NASCAR 21: Ignition.

2023 outlook. The company announced the highly anticipated launch of its IndyCar game will be delayed until 2024. Management attributed the delay to an increased focus on quality, given that an Indy game has not been released in over a decade. As such, we are lowering our estimates in anticipation of adverse effects on revenue in 2023.


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*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. 

Direct Digital Holdings (DRCT) – Shifts Gears For Enhanced Revenue Growth

Posted on by cpereira@noblefcm.com


Friday, March 24, 2023

Michael Kupinski, Director of Research, Noble Capital Markets, Inc.

Patrick McCann, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Strong Q4 results. The company reported strong Q4 revenue of $29.4 million, in line with our estimate of $29.3 million. The quarter was driven by robust Sell-side advertising revenues of $22.4million, an increase of 231% from the prior year period. Q4 Adj. EBITDA of $1.8 million was flat year over year and missed our estimate of $2.7 million, largely due to elevated compensation costs.

2023 outlook. The company is shifting its focus to pursue larger, but more price sensitive clients. As such, we expect higher investment and compensation costs to support larger accounts. The company plans to invest to offer new products, like data analytics to support higher future margins. We believe adj. EBITDA will be flat over the prior year, given increased investment and lower margin clients.


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Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.

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. 

Travelzoo (TZOO) – Results Point Toward Favorable Momentum

Posted on by cpereira@noblefcm.com


Thursday, March 23, 2023

Travelzoo® provides its 30 million members with exclusive offers and one-of-a-kind experiences personally reviewed by our deal experts around the globe. We have our finger on the pulse of outstanding travel, entertainment, and lifestyle experiences. We work in partnership with more than 5,000 top travel suppliers—our long-standing relationships give Travelzoo members access to irresistible deals.

Michael Kupinski, Director of Research, Noble Capital Markets, Inc.

Patrick McCann, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Strong Q4 results. The company reported strong Q4 operating results, with revenue up 31.6% to $18.6 million and Adj. EBITDA up an impressive 328% to $4.7 million. Notably, the company’s North America segment grew revenue by 53% and reported margins of 29%. The company benefited from favorable travel trends and lower operating expenses, particularly marketing expenses. 

Favorable trends. The company has positive revenue and margin momentum moving into 2023. Management highlighted the opportunity for further margin growth given potential advertising price increases in Q2. The company appears to be benefiting from pent up travel demand from its travel enthusiast base. 


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Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.

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. 

Release – Motorsport Games to Report Fourth Quarter Of 2022 & Full Year 2022 Financial Results

Posted on by aweinsoff@channelchek.com

Research News and Market Data on MSGM

MARCH 21, 2023

MIAMI, March 21, 2023 (GLOBE NEWSWIRE) — Motorsport Games Inc. (NASDAQ: MSGM) (“Motorsport Games” or the “Company”), a leading racing game developer, publisher and esports ecosystem provider of official motorsport racing series throughout the world, will report its financial results for the fourth fiscal quarter of 2022 and full 2022 fiscal year on Friday, March 24, 2023 after market close. Management will host a conference call and webcast on the same day at 5:00 p.m. ET to discuss the results.

Participants may access the live webcast on the Company’s investor relations website at https://ir.motorsportgames.com under “Events.” The call may also be accessed by dialing 1 (877) 407-0784 from the U.S., or by dialing 1 (201) 689-8560 internationally.

About Motorsport Games:
Motorsport Games, a Motorsport Network company, is a leading racing game developer, publisher and esports ecosystem provider of official motorsport racing series throughout the world. Combining innovative and engaging video games with exciting esports competitions and content for racing fans and gamers, Motorsport Games strives to make the joy of racing accessible to everyone. The Company is the officially licensed video game developer and publisher for iconic motorsport racing series across PC, PlayStation, Xbox, Nintendo Switch and mobile, including NASCAR, INDYCAR, 24 Hours of Le Mans and the British Touring Car Championship (“BTCC”), as well as the industry leading rFactor 2 and KartKraft simulations. rFactor 2 also serves as the official sim racing platform of Formula E, while also powering F1 Arcade through a partnership with Kindred Concepts. Motorsport Games is an award-winning esports partner of choice for 24 Hours of Le Mans, Formula E, BTCC, the FIA World Rallycross Championship and the eNASCAR Heat Pro League, among others. Motorsport Games is building a virtual racing ecosystem where each product drives excitement, every esports event is an adventure and every story inspires.

Website and Social Media Disclosure:

Investors and others should note that we announce material financial information to our investors using our investor relations website (ir.motorsportgames.com), SEC filings, press releases, public conference calls and webcasts. We use these channels, as well as social media and blogs, to communicate with our investors and the public about our company and our products. It is possible that the information we post on our websites, social media and blogs could be deemed to be material information. Therefore, we encourage investors, the media and others interested in our company to review the information we post on the websites, social media channels and blogs, including the following (which list we will update from time to time on our investor relations website):

WebsitesSocial Media
motorsportgames.comTwitter: @msportgames & @traxiongg
traxion.ggInstagram: msportgames & traxiongg
motorsport.comFacebook: Motorsport Games & traxiongg
 LinkedIn: Motorsport Games
 Twitch: traxiongg
 Reddit: traxiongg

The contents of these websites and social media channels are not part of, nor will they be incorporated by reference into, this press release.

Contacts:
Investors:
investors@motorsportgames.com

Media:
pr@motorsportgames.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/305eebf4-97ab-4047-95a6-7169166efd66.

Release – Entravision Announces New Credit Facility

Posted on by aweinsoff@channelchek.com

Research News and Market Data on EVC

03/20/2023

SANTA MONICA, Calif.–(BUSINESS WIRE)– Entravision (NYSE: EVC), a leading global advertising solutions, media and technology company, today announced that on March 17, 2023 the Company entered into a new $275 million credit facility, consisting of a $200 million term loan A and a $75 million revolving credit facility. Led by Bank of America, Wells Fargo, and J.P. Morgan Chase, the new credit facility replaces the Company’s existing credit facility entered into on November 30, 2017.

“The closing of this facility in this volatile financial market is a testament to the continued financial strength of our Company,” said Chris Young, Interim Chief Executive Officer and Chief Financial Officer of Entravision. “Our new facility extends the maturity of Entravision’s outstanding debt, while at the same time increases the flexibility of our strong balance sheet. We remain well-capitalized as we continue to execute on our long-term strategic plan and show leadership in the global digital media industry.”

Entravision anticipates it will use the proceeds from the new credit facility to fund its working capital needs, acquisitions and other general corporate purposes. Additional details on the new credit facility are outlined in the company’s Current Report on Form 8-K filed today with the Securities and Exchange Commission.

About Entravision

Entravision is a leading global advertising solutions, media and technology company connecting brands to consumers by representing top platforms and publishers. Our dynamic portfolio includes digital, television and audio offerings. Digital, our largest revenue segment, comprises four business units: our digital sales representation business; Smadex, our programmatic ad purchasing platform; our branding and mobile performance solutions business; and our digital audio business. Through our digital sales representation business, we connect global media companies such as Meta, Twitter, TikTok and Spotify with advertisers in primarily emerging growth markets worldwide. Smadex is our mobile-first demand side platform, enabling advertisers to execute performance campaigns using machine learning. We also offer a branding and mobile performance solutions business, which provides managed services to advertisers looking to connect with global consumers, primarily on mobile devices, and our digital audio business provides digital audio advertising solutions for advertisers in the Americas. In addition to digital, Entravision has 49 television stations and is the largest affiliate group of the Univision and UniMás television networks. Entravision also manages 45 primarily Spanish-language radio stations that feature nationally recognized, Emmy award-winning talent. Shares of Entravision Class A Common Stock trade on the NYSE under ticker: EVC. Learn more about our offerings at entravision.com or connect with us on LinkedIn.

Forward-Looking Statements

This press release contains certain forward-looking statements. These forward-looking statements, which are included in accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, may involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results and performance in future periods to be materially different from any future results or performance suggested by the forward-looking statements in this press release. Although the company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that actual results will not differ materially from these expectations, and the company disclaims any duty to update any forward-looking statements made by the company. From time to time, these risks, uncertainties and other factors are discussed in the company’s filings with the Securities and Exchange Commission.

Entravision

Investors:
Christopher T. Young
Interim Chief Executive Officer / Chief Financial Officer
310-447-3870

Kimberly Esterkin
Addo Investor Relations
evc@addo.com
310-829-5400

Source: Entravision

RCI Hospitality Holdings (RICK) – Baby Dolls and Chicas Locas Acquisition Closed

Posted on by cpereira@noblefcm.com


Friday, March 17, 2023

With more than 60 units, RCI Hospitality Holdings, Inc., through its subsidiaries, is the country’s leading company in adult nightclubs and sports bars/restaurants. Clubs in New York City, Chicago, Dallas-Fort Worth, Houston, Miami, Minneapolis, Denver, St. Louis, Charlotte, Pittsburgh, Raleigh, Louisville, and other markets operate under brand names such as Rick’s Cabaret, XTC, Club Onyx, Vivid Cabaret, Jaguars Club, Tootsie’s Cabaret, Scarlett’s Cabaret, Diamond Cabaret, and PT’s Showclub. Sports bars/restaurants operate under the brand name Bombshells Restaurant & Bar.

Joe Gomes, Managing Director – Generalist Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Acquisition. RCI Hospitality closed the previously announced acquisition of two Baby Dolls and three Chicas Locas nightclubs and their associated real estate in the Dallas-Fort Worth and Houston markets. The $65.5 million acquisition is expected to contribute approximately $11 million of adjusted EBITDA in the first year and, once expansion/renovation plans are completed, is expected to contribute $14-$16 million of adjusted EBITDA on an annual basis.

Financing Details. Payment consisted of: $25.0 million in cash, of which $10.0 million is being financed through a new unsecured bank line of credit; 10-year, 7% seller financing notes totaling $25.5 million; and 200,000 restricted shares of common stock of RCI valued at $16.0 million, subject to a lock-up, leak out agreement.


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*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. 

Townsquare Media (TSQ) – Takes A Big Step To Return Capital To Shareholders

Posted on by cpereira@noblefcm.com


Friday, March 10, 2023

Townsquare is a community-focused digital media and digital marketing solutions company with market leading local radio stations, principally focused outside the top 50 markets in the U.S. Our assets include a subscription digital marketing services business, Townsquare Interactive, providing website design, creation and hosting, search engine optimization, social media and online reputation management as well as other digital monthly services for approximately 26,800 SMBs; a robust digital advertising division, Townsquare IGNITE, a powerful combination of a) an owned and operated portfolio of more than 330 local news and entertainment websites and mobile apps along with a network of leading national music and entertainment brands, collecting valuable first party data, and b) a proprietary digital programmatic advertising technology stack with an in-house demand and data management platform; and a portfolio of 321 local terrestrial radio stations in 67 U.S. markets strategically situated outside the Top 50 markets in the United States. Our portfolio includes local media brands such as WYRK.com, WJON.com, and NJ101.5.com and premier national music brands such as XXLmag.com, TasteofCountry.com, UltimateClassicRock.com and Loudwire.com.

Michael Kupinski, Director of Research, Noble Capital Markets, Inc.

Patrick McCann, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Strong Q4 results. The company reported Q4 revenue of $120.3 million, an increase of 8.8% from the prior year period, beating our estimate of $118.1 million by 1.8%. Adj. EBITDA of $28.4 million grew by 11% from the same period last year and beat our estimate of $28 million by 1.4%. Digital advertising grew $5.2 million to $36.8 million, up 16.3% from the prior year period.

Soft start to the year. Management guided Q1 revenue to be flat to modestly higher from the year earlier in the range of $100 million to $102 million. Adj. EBITDA to be down yoy in the range of $17.5 million to $18.5 million. National advertising is pacing down 30% in Q1, a decline of $3 million from prior year quarter, with sports accounting for 66%. Its Interactive business has softened and is pacing flat revenues in Q1, while digital advertising is pacing up 12% to 14%.


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*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. 

Entravision Communications (EVC) – Its Digital Businesses On A Roll

Posted on by cpereira@noblefcm.com


Friday, March 10, 2023

Entravision Communications Corporation is a diversified Spanish-language media company utilizing a combination of television and radio operations to reach Hispanic consumers across the United States, as well as the border markets of Mexico. Entravision owns and/or operates 53 primary television stations and is the largest affiliate group of both the top-ranked Univision television network and Univision’s TeleFutura network, with television stations in 20 of the nation’s top 50 Hispanic markets. The Company also operates one of the nation’s largest groups of primarily Spanish-language radio stations, consisting of 48 owned and operated radio stations.

Michael Kupinski, Director of Research, Noble Capital Markets, Inc.

Patrick McCann, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Strong Q4 results. The company reported quarterly revenue of $296.3 million, up 27% from the prior year period, surpassing our estimate of $265.4 million by 11.7%. Adj. EBITDA of $36.5 million increased 11% year over year and beat our estimate of $34.8 million by 5.1%. The quarter was driven by strong digital revenue growth of $52.6 million, up 30% year-over-year.

Capital allocation. The company announced a 100% increase in its quarterly cash dividend, from $0.025 per share to $0.05 per share. Given its favorable cash position of $ $110.7 million and robust free cash flow generation of $63.3 million in 2022, we expect the company to seek additional accretive acquisitions and comfortably pay the dividend. Notably, management highlighted a favorable pipeline of potential targets.


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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.