Entercom Communications Corp. (NYSE:ETM)’s interesting series of developments are underway around the US stock market these days. Now trading with a market value of 1.13B, the company has a mix of catalysts and obstacles that spring from the nature of its operations. In light of the many issues surrounding this company, we thought it was a good time to take a close look at the numbers in order to form a realistic perspective on the fundamental picture for this stock.Entercom Communications Corp. (NYSE:ETM) Fundamentals That Matter
It’s generally a good idea to start with the most fundamental piece of the picture: the balance sheet. The balance sheet health of any company plays a key role in its ability to meet its obligations and maintain the faith of its investment base. For ETM, the company currently has 34.77 million of cash on the books. The trend over time is important to note. In this case, the company’s debt has been growing.Entercom Communications Corp. (NYSE:ETM) Revenue Growth Potential
As far as key trends that demonstrate something of the future investment potential of this stock, we need to take a closer look at the top line, first and foremost. Last quarter, the company saw 300.56 million in total revenues. That represents a quarterly year/year change in revenues of 2.08 in sequential terms, the ETM saw sales decline by 0.22.
But what about the bottom line? After all, that’s what really matters in the end. Entercom Communications Corp. (ETM) is intriguing when broken down to its core data. The cost of selling goods last quarter was 264.2 million, yielding a gross basic income of 36.36 million. For shareholders, given the total diluted outstanding shares of 138.94 million, this means overall earnings per share of -0.10. Note, this compares with a consensus analyst forecast of 0.32 in earnings per share for its next fiscal quarterly report.Is Entercom Communications Corp. (NYSE:ETM) Valuation Attractive
Looking ahead at valuations, according to the consensus, the next fiscal year is forecast to bring about 1.16 in total earnings per share. If we consider a median price to earnings ratio on the stock, that corresponds with a stock price of 5.31. However, one should always remember: the trends are more important than the forecasts. This continues to be an interesting story, and we look forward to updating it again soon on Entercom Communications Corp..