A Look at Lamar Advertising’s (LAMR) Valuation Following Latest Earnings and Sales Growth Update

Lamar Advertising (LAMR) just posted its third quarter earnings, revealing higher sales than the same period last year, although net income slipped a bit for the quarter. For the first nine months, both sales and net income were up compared to 2024.

See our latest analysis for Lamar Advertising.

Following this earnings update, Lamar Advertising’s share price has gained momentum, delivering an 8.9% return over the past month and building steadily throughout the year. Long-term investors have also enjoyed an impressive 56.6% total shareholder return over three years, reflecting consistently positive sentiment and robust underlying performance.

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With shares running higher and fundamentals improving, investors may wonder if there is still room for a bargain or if future growth is already reflected in the current price.

Most Popular Narrative: 3% Undervalued

Lamar Advertising's widely followed narrative puts fair value close to $133.80, slightly above the last close of $129.63, suggesting modest potential for upside if narrative assumptions hold. The discussion centers on whether upcoming cyclical catalysts and continued strategic execution will drive further gains.

Key cyclical events, such as the upcoming midterm elections and the FIFA World Cup, are viewed as catalysts that could drive advertising demand and bolster short- to mid-term growth for sector participants.

Read the complete narrative.

Curious which massive financial forecasts and sector assumptions fuel this price target? The narrative blends event-driven optimism and ambitious operational scaling. What sets these projections apart? Unlock the full narrative and see the unexpected numbers behind this valuation.

Result: Fair Value of $133.80 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, softer top-line growth and lost contracts, such as Vancouver transit, could challenge the company's earnings momentum and create uncertainty in the near-term outlook.

Find out about the key risks to this Lamar Advertising narrative.

Build Your Own Lamar Advertising Narrative

If you’d rather dig into the underlying data or take a different approach, you can craft your own insights and perspective in just a few minutes. Do it your way

A great starting point for your Lamar Advertising research is our analysis highlighting 2 key rewards and 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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