DHX Media Ltd VV (DHX), was revisited by a Wall Street analyst today. The company received a Buy rating from B.Riley FBR’s analyst Eric Wold, with a C$3.50 price target.
Wold noted:
“This morning (11/13), DHX Media (DHX-CA – Buy; C$3.50 PT) reported 1Q19 results that exceeded our and consensus’ estimates for revenues and adjusted EBITDA (even after the adverse impact of the IFRS 15 accounting standard). With a renewed focus over the past few quarters on boosting core content operations in a cost-effective manner, we were impressed by the +11% increase in core content revenues, with both the Peanuts/Strawberry Shortcake acquisition and WildBrain AVOD platform providing solid contributions to that growth. We continue to believe the longer-term opportunity underlying the company’s brands and online distribution strategy remains underappreciated at the current valuation (even admittedly after some years of mismanagement) and are reiterating our Buy rating and C$3.50 PT.”
According to TipRanks.com, Wold is a 4-star analyst with an average return of 3.7% and a 45.5% success rate. Wold covers the Services sector, focusing on stocks such as Reading International Inc, Cinemark Holdings Inc, and National Cinemedia.
Currently, the analyst consensus on DHX Media Ltd VV is a Hold with an average price target of C$1.96.
Based on DHX Media Ltd VV’s latest earnings release for the quarter ending June 30, the company reported a quarterly GAAP net loss of C$21.61 million. In comparison, last year the company had a net profit of C$8.15 million.
DHX Media Ltd. is engages in developing, producing, distributing, broadcasting, and exploiting the rights for television and film programming and brands. It operates through the following segments: Content Business, DHX Television, and Consumer Products Represented.
The company’s shares closed on Monday at C$2.53.
