GARP Research Maintains a 'Buy' on Arbitron (ARB); Cross-Platform Continues Gaining Taction
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Price: $29.75 +0.07%
Rating Summary:
2 Buy, 2 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 6 | New: 26
Rating Summary:
2 Buy, 2 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 6 | New: 26
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GARP Research maintains a 'Buy' on Arbitron (NYSE: ARB).
Analyst, Rob Furlong, said, "We believe earnings can grow to $3.30 over the next three years, almost entirely from contracts that are already signed by radio stations that transitioned to PPM surveys at price points 65% higher than the legacy diary product. As these price hikes occur, the company should begin to earn a return on the significant amount of up-front investment that has cut operating profitability in half over the past few years. Double-digit earnings growth returned in 2011, despite more than $11 million of investment for cross-platform initiatives. This should continue. We expect double-digit growth for 2012 earnings despite a ramp in expenses associated with mobile and cross platform.
For an analyst ratings summary and ratings history on Arbitron click here. For more ratings news on Arbitron click here.
Shares of Arbitron closed at $38.31 yesterday.
Analyst, Rob Furlong, said, "We believe earnings can grow to $3.30 over the next three years, almost entirely from contracts that are already signed by radio stations that transitioned to PPM surveys at price points 65% higher than the legacy diary product. As these price hikes occur, the company should begin to earn a return on the significant amount of up-front investment that has cut operating profitability in half over the past few years. Double-digit earnings growth returned in 2011, despite more than $11 million of investment for cross-platform initiatives. This should continue. We expect double-digit growth for 2012 earnings despite a ramp in expenses associated with mobile and cross platform.
For an analyst ratings summary and ratings history on Arbitron click here. For more ratings news on Arbitron click here.
Shares of Arbitron closed at $38.31 yesterday.
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