The Business of Radio
by Tom Gordon & Jeff McKay
We’ve reached the halfway point in the year and when it comes to radio stocks, the big surprise may be Emmis Communications, which started the year at $3.52 per share and closed at the end of June at $5.29 – a 50% increase. Both Sirius XM (25%), Radio One (20%) and Salem Media (14%) along with Pandora are also up double-digits this year. Radio stocks that aren’t faring as well include Entravision down 30% in the first six months of the year, along with Entercom, E.W. Scripps, Beasley Broadcast Group and Townsquare Media all in negative territory. Emmis is congratulating their stock increase by giving a new contract to co-founder/CEO Jeff Smulyan, keeping him in the fold through 2022, which includes a $1 million signing bonus and $2,000 monthly auto allowance among other perks.