If you haven’t gotten nervous yet about the performance on Wall Street of two very different companies that, unfortunately, some confuse because of their similar names, today might be the day to start the nail biting.
Entercom shares tumbled another 3.2%, while Entravision shares dipped to the $4 mark.
Thursday’s 22-cent drop to $6.88 is the latest worrisome slump for Entercom shares. Volume was slightly higher than average, at 2.52 million shares.
At one point, shares sunk as far as $6.80. Still, Entercom is now at a 52-week low and well off from its 1-year target estimate of $12.67. Its market cap stands at $971.22 million.
How far south have Entercom shares slid? It was November 2012 when ETM was last trading in this range.
While there was no clear reason for Entercom’s Thursday drop, it comes following top-level management changes at its Pittsburgh and Washington, D.C., stations, and after a May 25 report in the Philadelphia Inquirer that suggests Fidelity Investments “is taking a hit from an investment in Entercom.”
Meanwhile, Entravision’s 3.6% drop in stock value on Thursday puts the Hispanic-centric media company that is being led by its Headway programmatic ad unit at $4 a share.
This puts EVC shares precariously close to a five-year low of $3.96, seen in October 2014.
And, with Thursday’s close, Entravision shares are 50% of their $8 1-year target price.
What is Entravision’s current ailment? This week’s Hispanic Radio Podcast features an interview with Entravision Communications Chief Revenue Officer Mario Carrera, who notes that the World Cup 2018 ad market for his radio stations isn’t as robust as his company hoped it would be.