IHRTQ - Negative Sentiment In Entercom Communications Is Misconceived
Entercom Communications Corp (ETM) is the second largest terrestrial radio broadcasting company in the United States. As a ‘traditional media’ business, it is subject to the prevailing market view that its business is in terminal decline, whilst ‘new media’ companies like Spotify Technology SA (SPOT) are expected to grow to the sky (and are priced by the market accordingly). At the present share price, the market is implying that the decline in Entercom’s business will be rapid. This negative sentiment has been strengthened by the bankruptcy of its largest competitors iHeartMedia