Investors are once again expressing confidence in a solid Wall Street performer that recently became the newest pure-play radio broadcasting company in the U.S.
After a shaky summer that saw its shares dip from $49.25 on June 1 to $37.75 on July 24, Saga Communications is clawing back toward the $50 range—and away from a range not seen since September 2015.
At the Closing Bell on Tuesday, Saga was trading at $46.10, up 4.3% from Monday’s close. Having gone Ex-Dividend on Sept. 22, investors are gearing up for what could be a positive Q3 earnings release on Nov. 7, just before the Opening Bell on Wall Street.
Until Sept. 5, Saga was a media company that operated a handful of TV stations while focused mainly on radio broadcast properties. The next day, it completed its $23 million acquisition of Apex Media Corp.‘s radio stations in Charleston, S.C., and Hilton Head Island, S.C. — money that came directly from its $66.6 million sale of CBS affiliate KOAM-7 in the Joplin market, which includes city of license Pittsburg, Kan., and most of its Victoria Television Group, to Morgan Murphy Media.
Concurrently, FOX affiliates KFJX-14 in Joplin-Pittsburg, and KVCT-19 in Victoria, were transferred from Surtsey Media — a wholly owned subsidiary of Surtsey Productions, which is housed alongside Saga at its Grosse Pointe Farms, Mich., headquarters — to SagamoreHill Midwest. This entity will enter into operating agreements with subsidiaries of Morgan Murphy.
With a market capitalization of $272.34 million, Saga has been a consistently strong media company on Wall Street, delivering some of the industry’s biggest dividends.
For a complete look at today’s closing prices for media companies on Wall Street, visit the Wall Street Report on the homepage of RBR.com.