Wells Fargo analyst Steven Cahill says he doesn’t believe Audacy is set to improve quickly in 2022 and investors already fear the worst when it comes to radio losing share to digital. Cahill says Audacy’s revenue recovery is taking longer than expected.
Part of the what appears to concern Cahill, who Audacy lists as an analyst that covers the company, is that he says Audacy’s performance has lagged advertising-focused peers, and he believes that’s due to its lesser exposure to digital and heavier exposure to sectors seeing heavy supply-chain impacts, like automobiles.
Wells Fargo now expects 2022 spot revenue to be 82% of 2019’s (lower than the Q3 guidance for about 85%).
The company has cut its price target for the stock to $3 from $5.
