iHeartMedia Inc. (NASDAQ: IHRT) stock fell -0.29% on Friday to $3.40 against a previous-day closing price of $3.41. With 1.5 million shares changed hands, the volume of the stock remained heavier than its average volume of 1.12 million shares. During the session, the Broadcasting company that operates in wider Communication Services sector, reached to the highest price of $3.4700 whereas the lowest price it dropped to was $3.3200. The 52-week range on IHRT shows that it touched its highest point at $10.56 and its lowest point at $2.21 during that stretch. It currently has a 1-year price target of $6.10. Beta for the stock currently stands at 1.83.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of IHRT was up-trending over the past week, with a rise of 2.41%, but this was up by 2.72% over a month. Three-month performance dropped to -8.60% while six-month performance fell -28.27%. The stock lost -66.40% in the past year, while it has lost -44.54% so far this year. A look at the trailing 12-month EPS for IHRT yields -8.98 with Next year EPS estimates of 0.57. For the next quarter, that number is -0.05. This implies an EPS growth rate of -64.80% for this year and 107.90% for next year. EPS is expected to grow by 7.00% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 25.40%.
Float and Shares Shorts:
At present, 149.18 million IHRT shares are outstanding with a float of 117.64 million shares on hand for trading. On Aug 30, 2023, short shares totaled 6.86 million, which was 4.75% higher than short shares on Jul 30, 2023. In addition to Mr. Robert W. Pittman as the firm’s Chairman & CEO, Mr. Richard J. Bressler serves as its Pres, COO, CFO & Director.
Through their ownership of 95.06% of IHRT’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 65.21% of IHRT, in contrast to 23.30% held by mutual funds. Shares owned by individuals account for 20.80%. As the largest shareholder in IHRT with 18.40% of the stake, Pacific Investment Management Co holds 22,656,926 shares worth 22,656,926. A second-largest stockholder of IHRT, Global Media & Entertainment Inve, holds 18,140,000 shares, controlling over 14.73% of the firm’s shares. The Vanguard Group, Inc. is the third largest shareholder in IHRT, holding 8,139,695 shares or 6.61% stake. With a 2.66% stake in IHRT, the Vanguard Total Stock Market ETF is the largest stakeholder. A total of 3,280,407 shares are owned by the mutual fund manager. The iShares Russell 2000 ETF, which owns about 1.96% of IHRT stock, is the second-largest Mutual Fund holder. It holds 2,415,976 shares valued at 8.72 million. Schwab Fundamental US Small Compa holds 1.57% of the stake in IHRT, owning 1,929,904 shares worth 6.97 million.
An Overview of Recent Financials:
Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on Jun 29, 2023, IHRT reported revenue of $954.00M and operating income of $83.11M. The EBITDA in the recently reported quarter was $191.70M and diluted EPS was $0.10.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for IHRT since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With IHRT analysts setting a high price target of $12.00 and a low target of $3.00, the average target price over the next 12 months is $6.10. Based on these targets, IHRT could surge 252.94% to reach the target high and fall by -11.76% to reach the target low. Reaching the average price target will result in a growth of 79.41% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy.
Summary of Insider Activity:
Insiders traded IHRT stock several times over the past three months with 1 Buys and 2 Sells. In these transactions, 58,480 shares were bought while 4,113 shares were sold. The number of buy transactions has increased to 23 while that of sell transactions has risen to 4 over the past year. The total number of shares bought during that period was 3,210,010 while 16,995 shares were sold.