We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
5 Reasons to Add OUTFRONT Media (OUT) to Your Portfolio Now
Read MoreHide Full Article
Shares of OUTFRONT Media (OUT - Free Report) have had an impressive run in the past six months, appreciating 21.8% compared with its industry's 14.7% growth.
Image Source: Zacks Investment Research
What’s more, this Zacks Rank #2 (Buy) stock has been witnessing an upward trend in funds from operations (FFO) per share estimate revisions for the current year, indicating a favorable outlook for the company. Particularly, the Zacks Consensus Estimate for 2021 FFO per share has been revised 6% upward in a month time. Given its progress on fundamentals and positive estimate revisions, the stock is likely to keep performing well in the quarters ahead.Let’s now delve deeper into its strengths.
Portfolio Diversity: OUTFRONT Media’s advertising sites are geographically diversified, with a solid presence in key markets in the United States and Canada. This geographic diversity enables its clients to reach a national audience and provides the flexibility to tailor campaigns to specific regions or markets. This out-of-home (OOH) advertising company not only provides communication and advertising services to several transit authorities, but also offers services to various industries, including professional services, healthcare/pharmaceuticals, and retail. Hence, its diversity, both industry wise and geographical, makes the company’s revenues less volatile in nature.
Revenue Strength: Amid the rebound in the advertising environment, OUTFRONT Media is well poised to make steady progress in improving its top line. Revenues are expected to witness year-over-year growth of 16.2% and 14.5% in 2021 and 2020, respectively, to $1.44 billion and $1.65 billion.
Focus on Digital Billboards: OUTFRONT Media has been making strategic investments in its digital-billboard portfolio over the years.In fact, in the first quarter, the company has built or converted 17 new digital billboard displays in the United States. With this, the U.S digital billboard count increased to 1,258 as of Mar 31, 2021, from 1,162 at the end of first-quarter 2020. These demonstrate the company’s efforts to convert its business from traditional static-billboard advertising to digital displays which are helping expand the number of new advertising relationships, in turn, providing scope to boost digital revenues.
Industry Tailwinds: Since the cost of advertisement through the OOH medium is also comparatively lower than other media alternatives, the OOH advertising space has been gaining traction with a significant increase in its market share in comparison with other forms of media. In the upcoming years, higher technology investments are expected to provide further support to OOH advertising. Capitalizing on this, the company is expanding its footprint and providing unique technology platforms like OUTFRONT Mobile Network to offer advertisers additional data-analytic features and helps draw more audiences.
Acquisitions: OUTFRONT Media has also capitalized on acquisitions to enhance its portfolio. The company shelled out $15.8 million in first-quarter 2021 and $18.1 million in 2020 for acquisitions. In 2019, the company completed a number of acquisitions for a total price of $69.7 million. With such expansion efforts, the company remains poised to grow over the long term.
Other Stocks to Consider
Industrial Logistics Properties Trust’s (ILPT - Free Report) FFO per share estimate for the current year has moved marginally up to $1.88 in the past month. The company currently carries a Zacks Rank of 2.
Mack-Cali Realty Corporation’s Zacks Consensus Estimate for 2021 FFO per share has moved marginally north to 54 cents over the past week. The company currently carries a Zacks Rank of 2.
Braemar Hotels & Resorts Inc. (BHR - Free Report) carries a Zacks Rank of 2 at present. The Zacks Consensus Estimate for the ongoing year’s FFO per share has been revised 37.5% upward in the past month to 44 cents
Note: Anything related to earnings presented in this write-up represent funds from operations (FFO) — a widely used metric to gauge the performance of REITs.
Time to Invest in Legal Marijuana
If you’re looking for big gains, there couldn’t be a better time to get in on a young industry primed to skyrocket from $17.7 billion back in 2019 to an expected $73.6 billion by 2027.
After a clean sweep of 6 election referendums in 5 states, pot is now legal in 36 states plus D.C. Federal legalization is expected soon and that could be a still greater bonanza for investors. Even before the latest wave of legalization, Zacks Investment Research has recommended pot stocks that have shot up as high as +285.9%.
You’re invited to check out Zacks’ Marijuana Moneymakers: An Investor’s Guide. It features a timely Watch List of pot stocks and ETFs with exceptional growth potential.
Image: Bigstock
5 Reasons to Add OUTFRONT Media (OUT) to Your Portfolio Now
Shares of OUTFRONT Media (OUT - Free Report) have had an impressive run in the past six months, appreciating 21.8% compared with its industry's 14.7% growth.
What’s more, this Zacks Rank #2 (Buy) stock has been witnessing an upward trend in funds from operations (FFO) per share estimate revisions for the current year, indicating a favorable outlook for the company. Particularly, the Zacks Consensus Estimate for 2021 FFO per share has been revised 6% upward in a month time. Given its progress on fundamentals and positive estimate revisions, the stock is likely to keep performing well in the quarters ahead.Let’s now delve deeper into its strengths.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Reasons to Buy OUTFRONT Media
Portfolio Diversity: OUTFRONT Media’s advertising sites are geographically diversified, with a solid presence in key markets in the United States and Canada. This geographic diversity enables its clients to reach a national audience and provides the flexibility to tailor campaigns to specific regions or markets. This out-of-home (OOH) advertising company not only provides communication and advertising services to several transit authorities, but also offers services to various industries, including professional services, healthcare/pharmaceuticals, and retail. Hence, its diversity, both industry wise and geographical, makes the company’s revenues less volatile in nature.
Revenue Strength: Amid the rebound in the advertising environment, OUTFRONT Media is well poised to make steady progress in improving its top line. Revenues are expected to witness year-over-year growth of 16.2% and 14.5% in 2021 and 2020, respectively, to $1.44 billion and $1.65 billion.
Focus on Digital Billboards: OUTFRONT Media has been making strategic investments in its digital-billboard portfolio over the years.In fact, in the first quarter, the company has built or converted 17 new digital billboard displays in the United States. With this, the U.S digital billboard count increased to 1,258 as of Mar 31, 2021, from 1,162 at the end of first-quarter 2020. These demonstrate the company’s efforts to convert its business from traditional static-billboard advertising to digital displays which are helping expand the number of new advertising relationships, in turn, providing scope to boost digital revenues.
Industry Tailwinds: Since the cost of advertisement through the OOH medium is also comparatively lower than other media alternatives, the OOH advertising space has been gaining traction with a significant increase in its market share in comparison with other forms of media. In the upcoming years, higher technology investments are expected to provide further support to OOH advertising. Capitalizing on this, the company is expanding its footprint and providing unique technology platforms like OUTFRONT Mobile Network to offer advertisers additional data-analytic features and helps draw more audiences.
Acquisitions: OUTFRONT Media has also capitalized on acquisitions to enhance its portfolio. The company shelled out $15.8 million in first-quarter 2021 and $18.1 million in 2020 for acquisitions. In 2019, the company completed a number of acquisitions for a total price of $69.7 million. With such expansion efforts, the company remains poised to grow over the long term.
Other Stocks to Consider
Industrial Logistics Properties Trust’s (ILPT - Free Report) FFO per share estimate for the current year has moved marginally up to $1.88 in the past month. The company currently carries a Zacks Rank of 2.
Mack-Cali Realty Corporation’s Zacks Consensus Estimate for 2021 FFO per share has moved marginally north to 54 cents over the past week. The company currently carries a Zacks Rank of 2.
Braemar Hotels & Resorts Inc. (BHR - Free Report) carries a Zacks Rank of 2 at present. The Zacks Consensus Estimate for the ongoing year’s FFO per share has been revised 37.5% upward in the past month to 44 cents
Note: Anything related to earnings presented in this write-up represent funds from operations (FFO) — a widely used metric to gauge the performance of REITs.
Time to Invest in Legal Marijuana
If you’re looking for big gains, there couldn’t be a better time to get in on a young industry primed to skyrocket from $17.7 billion back in 2019 to an expected $73.6 billion by 2027.
After a clean sweep of 6 election referendums in 5 states, pot is now legal in 36 states plus D.C. Federal legalization is expected soon and that could be a still greater bonanza for investors. Even before the latest wave of legalization, Zacks Investment Research has recommended pot stocks that have shot up as high as +285.9%.
You’re invited to check out Zacks’ Marijuana Moneymakers: An Investor’s Guide. It features a timely Watch List of pot stocks and ETFs with exceptional growth potential.
Today, Download Marijuana Moneymakers FREE >>