Corus Entertainment Price Target Lowered to $3.50 at RBC 2022-10-24 07:47:40 AM ET (MT Newswires)
07:47 AM EDT, 10/24/2022 (MT Newswires) -- RBC Capital Markets lowered its price target on Corus Entertainment Inc. (CJR-B.TO) to $3.50 from $4.
Analyst Drew McReynolds maintained a Sector Perform rating on shares of the Canadian media company as he incorporated lowered television margins into his forecasts.
"Despite the more challenging macro/advertising environment, we continue to be impressed by management's execution on multiple strategic and tactical initiatives including digital, content and ad tech," McReynold said in a note to clients.
"Until macro/advertising visibility improves, our focus is on F2023/F2024 Television EBITDA given the general fixed nature of programming costs," the analyst said.
"We expect a range-bound stock pending improved macro/advertising visibility and look for more timely entry points," he said. "While under most macro/advertising scenarios the stock appears oversold, we believe renewed multiple expansion for Corus (which continues to navigate a rapidly changing media landscape) rests squarely on visibility around management's ability to return to, and deliver on, its target of sustained YoY revenue growth."