With Audacy Inc. continuing to experience severe share weakness, even after a 1-for-30 reverse stock split, and Beasley Media Group stock under $1 per share, Townsquare Media has emerged as one of the strongest Wall Street performers among those companies who own radio stations.
With properties in mid-size and small markets including resurgent Hot Adult Contemporary WPST-FM in suburban Philadelphia and Talker “New Jersey 101.5” a big draw in the Garden State, Townsquare’s shares have remained in the high-$11 range for the last three weeks, with the performance coming since the end of May.
In fact, TSQ’s valuation has been climbing since March 9, following a period of stagnant trading activity for an issue company executives kept arguing was unfairly unvalued, considering its digital prowess in the local digital arena.
And, with June 29 an ex-dividend date for TSQ, investors responded by buying or holding on to their shares.
Townsquare is expected to release its earnings between July 31 and August 4, and the mid-term and long-term performance outlooks are positive.
Three analysts track TSQ. And the Q2 EPS consensus estimate comes in at $0.48, rising from $0.24 one year ago.
Given the tough comps for broadcast TV companies such as The E.W. Scripps Co. and Gray Television, each of which will likely report negative EPS, TSQ could be well on track to meet the $17.17 one-year target estimate it presently has in place.
