The effect of the stock share action by radio group Saga Communications (spiced with television assets) was to lower its earnings per share by about a dollar and its Wells Fargo valuation by about ten dollars per share.
The move was effective as of 1/16/13. It was designed to lower the share price of stock.
According to Wells Fargo’s Marci Ryvicker, EPS moved from $4.15/$4.02 to $3.11/$3.02; and the valuation range shrunk from $51-$53 to $40-$42. Wells Fargo believes that there are about 5.67M shares. It place market capitalization at $239.29M.
Wells Fargo has rated Saga market perform.
