NYSE:ETM

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Entercom Communications

Executive Summary

Entercom Communications Corp., a media and entertainment company, engages in radio broadcasting business in the United States. More Details

Rewards

Trading at 76.5% below our estimate of its fair value

Earnings are forecast to grow 76.23% per year

Risk Analysis

No risks detected for ETM from our risk checks.


Snowflake Analysis

Fair value with moderate growth potential.


Similar Companies

Share Price & News

How has Entercom Communications's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ETM has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.0%

ETM

-3.7%

US Media

-5.3%

US Market


1 Year Return

-58.7%

ETM

-3.2%

US Media

10.4%

US Market

Return vs Industry: ETM underperformed the US Media industry which returned -3.7% over the past year.

Return vs Market: ETM underperformed the US Market which returned 12% over the past year.


Shareholder returns

ETMIndustryMarket
7 Day-2.0%-3.7%-5.3%
30 Day-6.8%-6.0%-2.1%
90 Day7.1%-0.4%1.7%
1 Year-58.2%-58.7%-1.7%-3.2%12.9%10.4%
3 Year-84.5%-86.0%19.9%14.8%34.3%25.4%
5 Year-84.4%-86.7%37.9%27.9%73.7%54.3%

Price Volatility Vs. Market

How volatile is Entercom Communications's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Entercom Communications undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ETM ($1.5) is trading below our estimate of fair value ($6.37)

Significantly Below Fair Value: ETM is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ETM is unprofitable, so we can't compare its PE Ratio to the US Media industry average.

PE vs Market: ETM is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ETM's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ETM is good value based on its PB Ratio (0.3x) compared to the US Media industry average (1.3x).


Next Steps

Future Growth

How is Entercom Communications forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

76.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ETM is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

Earnings vs Market: ETM is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: ETM's is expected to become profitable in the next 3 years.

Revenue vs Market: ETM's revenue (9.2% per year) is forecast to grow slower than the US market (10% per year).

High Growth Revenue: ETM's revenue (9.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ETM's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Entercom Communications performed over the past 5 years?

-55.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ETM is currently unprofitable.

Growing Profit Margin: ETM is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: ETM is unprofitable, and losses have increased over the past 5 years at a rate of 55.3% per year.

Accelerating Growth: Unable to compare ETM's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ETM is unprofitable, making it difficult to compare its past year earnings growth to the Media industry (-18.6%).


Return on Equity

High ROE: ETM has a negative Return on Equity (-62.6%), as it is currently unprofitable.


Next Steps

Financial Health

How is Entercom Communications's financial position?


Financial Position Analysis

Short Term Liabilities: ETM's short term assets ($455.1M) exceed its short term liabilities ($159.7M).

Long Term Liabilities: ETM's short term assets ($455.1M) do not cover its long term liabilities ($2.7B).


Debt to Equity History and Analysis

Debt Level: ETM's debt to equity ratio (223.7%) is considered high.

Reducing Debt: ETM's debt to equity ratio has increased from 142% to 223.7% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable ETM has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: ETM is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 1.3% per year.


Next Steps

Dividend

What is Entercom Communications's current dividend yield, its reliability and sustainability?

0.33%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ETM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ETM's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ETM's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ETM's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: ETM is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ETM's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.8yrs

Average management tenure


CEO

David Field (57 yo)

18.75yrs

Tenure

US$4,458,180

Compensation

Mr. David J. Field has been the Chief Executive Officer of Entercom Communications Corp. since May 3, 2002 and its President since 1998 and Serves as its Chairman since November 17,2017 and has been its Di ...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD4.46M) is above average for companies of similar size in the US market ($USD1.36M).

Compensation vs Earnings: David's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
David Field
Chairman18.75yrsUS$4.46m3.4%
$ 7.5m
Richard Schmaeling
Executive VP & CFO3.42yrsUS$1.77m0.22%
$ 492.8k
Andrew Sutor
Executive VP7.75yrsUS$933.18k0.052%
$ 114.7k
Louise Kramer
Senior Executive Advisor & Director0.58yrUS$1.05m0.41%
$ 910.7k
Robert Philips
Chief Revenue Officer2.83yrsUS$945.53k0.10%
$ 224.5k
Susan Larkin
Executive VP & COO0.42yrno data0.068%
$ 150.2k
Elizabeth Bramowski
Chief Accounting Officer & Controller1yrno data0.024%
$ 52.6k
Sarah Foss
Chief Information Officerno datano datano data
Deborah Kane
President of Salesno datano datano data
Tim Murphy
Executive Vice President of Corporate Business Development2.75yrsno datano data
Paul Suchman
Chief Marketing Officer1.75yrsno datano data
Noreen McCormack
Vice President of Human Resourcesno datano datano data

2.8yrs

Average Tenure

56yo

Average Age

Experienced Management: ETM's management team is considered experienced (2.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
David Field
Chairman18.75yrsUS$4.46m3.4%
$ 7.5m
Louise Kramer
Senior Executive Advisor & Director0.58yrUS$1.05m0.41%
$ 910.7k
Joel Hollander
Independent Director6.83yrsUS$267.31k0.051%
$ 112.5k
Joseph Field
Chairman Emeritus2.83yrsUS$243.49k12.66%
$ 28.0m
David Berkman
Independent Lead Director3yrsUS$282.31k0.071%
$ 157.6k
Sean Creamer
Independent Director2.83yrsUS$222.31k0.047%
$ 103.5k
David Levy
Independent Director5.42yrsUS$212.31k0.015%
$ 32.1k
Mark LaNeve
Independent Director6.58yrsUS$217.31k0.050%
$ 110.2k
Susan Neely
Independent Director1.83yrsUS$203.39k0.025%
$ 54.8k
Stefan Selig
Independent Director2.83yrsUS$212.31k0.076%
$ 168.0k

2.8yrs

Average Tenure

60yo

Average Age

Experienced Board: ETM's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ETM insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Entercom Communications Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Entercom Communications Corp.
  • Ticker: ETM
  • Exchange: NYSE
  • Founded: 1968
  • Industry: Broadcasting
  • Sector: Media
  • Market Cap: US$220.807m
  • Shares outstanding: 138.00m
  • Website: https://www.entercom.com

Number of Employees


Location

  • Entercom Communications Corp.
  • 2400 Market Street
  • 4th Floor
  • Philadelphia
  • Pennsylvania
  • 19103
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ETMNYSE (New York Stock Exchange)YesClass A Common StockUSUSDJan 1999

Biography

Entercom Communications Corp., a media and entertainment company, engages in radio broadcasting business in the United States. The company owns and operates radio stations in various formats, such as news, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/31 00:17
End of Day Share Price2020/10/30 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.