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Thursday, August 19, 2010

Radio stocks have been sliding – quietly but sharply

Wall Street

A number of radio company stocks have hit static since rebounding and hitting highs in the spring. A share of Radio One stock (ROIAK) was $5.28 on May 4. Just over three months later, the same share closed on August 18 at just 81 cents. Salem Communications (SALM) fell 13% on Wednesday to close at $2.98, a dollar less than its closing price just 19 days ago. Shares of Cumulus Media (CMLS) could be bought for $5.46 on April 22. Less than four months later, they closed Wednesday at just $2.34. Stock in Westwood One (WWON), after their 1 for 200 reverse-stock split, breached $17 on May 10, but by August 10, Westwood closed at $6.52. Shares of Spanish Broadcasting System (SBSA) have lost half of their value within the last three months, while Journal Communications (JRN) shares have shed 20% of their value between August 4-13. In many cases, revenue misses or slow pickups in advertising have been blamed. Other stocks that have fared better include Emmis Communications (EMMS), which is in a holding pattern following plans to go private. Shares in CBS have rebounded since July 1, and shares of Fisher Communications (FSCI) are up by over $1 in the past 5 days. You can track all of these radio stocks here.

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