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Macquarie Media


Sector: Services

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This owner of seven talk back AM radio stations including 2GB in Sydney and 3AW in Melbourne trades on a EV/EBITDA multiple for FY17 of below 5 times, yet radio assets have been sold recently on multiples of about 10 times. There is value but very little stock available. If you are a small investor, you should pick up small quantities up to $1, on the basis of its potential double-digit pre-tax yield if it pays 9 cents in dividends in FY17. Perhaps more stock will become available next year.

The merger should generate about $22m in synergies, of which it still has about $7m to secure. From its half year report, MRN is on track to achieve an EBITDA of about $26m. We believe it can make $33m in FY17 or almost 13 cents a share, leaving it easily able to pay a dividend of 9 cents, which would put it on a double digit yield at current prices around $0.72.

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  • Radar Rating Unlock
  • Market Cap ($m)* 247.4
  • Dividend Yield (%)* 4.8
  • NET DEBT ($M) 30
  • * Data as of 19 September 2019

Latest Research Summary

MACQUARIE MEDIA: RESEARCH TIP UPDATE - OCTOBER 2017
04 Oct, 2017

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Previous Research

Research Date Radar Rating  
MACQUARIE MEDIA: RESEARCH TIP UPDATE - OCTOBER 2017 04 Oct, 2017 6706eff0 View Research
MACQUARIE MEDIA: RESEARCH TIP UPDATE - JUNE 2017 22 Jun, 2017 49d36d9f View Research
MACQUARIE MEDIA: RESEARCH TIP UPDATE - APRIL 2017 20 Apr, 2017 784b8987 View Research
MACQUARIE MEDIA: RESEARCH UPDATE - AUGUST 2016 11 Aug, 2016 bb21dcac View Research
MACQUARIE MEDIA: INITIAL RESEARCH TIP - JUNE 2016 08 Jun, 2016 42b61697 View Research