Radio Stocks Continue To Collapse
by Brian Maloney, December 17th, 2007 at 09:37pm
Watching radio stocks collapse has become an obsession inside the industry this year, with emails bouncing around daily to note the latest drops.
With the bottom falling out of broadcasting, at least from Wall Street’s perspective, radio operators are finding their stock prices crushed into tiny bits. It seems to get worse by the day.
WPRO / Providence owner Citadel Communications (NYSE:CDL) today joined WRKO / WEEI owner Entercom (NYSE:ETM) in closing at fresh 10-year lows: CDL finished for the first time under $2, while ETM fell another 47 cents to $14.03.
Several years ago, Citadel traded at ten times that amount, while Entercom shares once resided above the $60 mark.
Industry expert / USC professor Jerry Del Colliano has more here.
For Entercom, the point I made last week is even more appropriate today: what’s it like to take a $10, $15 or $20 million dollar haircut nearly every day? When the downward spiral has taken on such a life of its own, does it matter what the company does one way or another?
The big money has now been burned so badly by radio, they’ve moved on for good.
Entry Filed under: Entercom
1 Comment
1. Chris | December 18th, 2007 at 7:02 am
I wonder what kind of propaganda the folks at the Connecticut School of Broadcasting use to entice ’students’ into this moribund industry.
Wal-Mart door greeter, or radio talk show host…hmmmmm…tough choice. From the listeners’ perspective, we see no difference based on today’s talent levels.