This digital media company expanded its geographical reach with the acquisition of 365 Digital, a digital advertising solutions company headquartered in South Africa. The company’s EPS for its latest quarter beat analysts’ estimates by $0.05 and revenues by revenues 0.21%.
Entravision Communications Corporation (EVC)
From Upside
A growing force in digital media, television, and radio, Entravision Communications has an expansive global footprint spanning more than 30 countries, including 16 in Latin America and eight in Asia. Entravision is the largest affiliate group of the Univision and UniMás networks. In the U.S., the company serves 35 markets through 55 TV stations and 47 radio stations.
The stock earns impressive ranks for Momentum (97) and Performance (95). Aided by the acquisition of Cisneros Interaction, a fast-growing provider of online and mobile advertising in Latin America, the company’s digital business saw sales soar 424% in the June quarter. After the deal, digital is expected to represent roughly 75% of revenue.
Only one analyst offers estimates for Entravision. Full-year 2021 earnings per share are expected to be $0.45, unchanged from last year. Buoyed by acquisitions, revenue is expected to more than double to $734 million.
Entravision is being initiated as a Buy.
Nancy’s Note: I also initiated coverage of EVC in my Wall Street’s Best Stock issue 921, September 7, 2021.
Richard J. Moroney, CFA, Upside, upsidestocks.com, 800-233-5922, November 2021