OUTFRONT Media (NYSE:OUT) Sets New 1-Year High - Still a Buy?

Key Points

• New 52-week high: OUTFRONT Media traded as high as $29.53 (last $29.452) and is trading above its 50- and 200-day moving averages, giving the stock a market cap of about $5.19 billion.
• Analyst optimism: Six analysts rate the stock Buy and one Hold, several recently raised price targets (Wells Fargo to $30, TD Cowen to $32, Barrington to $33), leaving an average MarketBeat target of $27.86 and an overall "Moderate Buy" consensus.
• Mixed fundamentals and risks: The company missed quarterly EPS ($0.55 vs. $0.71) despite a slight revenue beat, pays a 4.1% dividend with a 150% payout ratio, carries high leverage (debt/equity 3.63), and has seen notable insider sales even as institutions increased holdings.

OUTFRONT Media Inc. (NYSE:OUT - Get Free Report) reached a new 52-week high during trading on Thursday . The company traded as high as $29.53 and last traded at $29.4520, with a volume of 992476 shares changing hands. The stock had previously closed at $29.07.

Wall Street Analysts Forecast Growth

A number of research firms recently commented on OUT. Wells Fargo & Company upped their price objective on OUTFRONT Media from $27.00 to $30.00 and gave the company an "overweight" rating in a report on Friday, February 27th. TD Cowen upped their price objective on OUTFRONT Media from $24.00 to $32.00 and gave the company a "buy" rating in a report on Thursday, February 26th. Zacks Research downgraded OUTFRONT Media from a "strong-buy" rating to a "hold" rating in a report on Tuesday, March 3rd. Finally, Barrington Research upped their price objective on OUTFRONT Media from $27.00 to $33.00 and gave the company an "outperform" rating in a report on Monday, March 2nd. Six analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of $27.86.

OUTFRONT Media Stock Up 1.3%

The firm has a fifty day simple moving average of $27.16 and a 200-day simple moving average of $23.70. The company has a market capitalization of $5.19 billion, a P/E ratio of 36.82, a P/E/G ratio of 1.41 and a beta of 1.51. The company has a quick ratio of 0.92, a current ratio of 0.92 and a debt-to-equity ratio of 3.63.

OUTFRONT Media (NYSE:OUT - Get Free Report) last announced its quarterly earnings results on Wednesday, February 25th. The financial services provider reported $0.55 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.71 by ($0.16). OUTFRONT Media had a return on equity of 24.86% and a net margin of 8.03%.The business had revenue of $513.30 million during the quarter, compared to the consensus estimate of $511.61 million. On average, equities research analysts expect that OUTFRONT Media Inc. will post 1.59 EPS for the current fiscal year.

OUTFRONT Media Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, March 31st. Shareholders of record on Friday, March 6th were issued a $0.30 dividend. This represents a $1.20 annualized dividend and a dividend yield of 4.1%. The ex-dividend date was Friday, March 6th. OUTFRONT Media's dividend payout ratio is 150.00%.

Insider Activity

In related news, Director Manuel A. Diaz sold 11,271 shares of the stock in a transaction dated Monday, March 23rd. The stock was sold at an average price of $26.93, for a total transaction of $303,528.03. Following the completion of the transaction, the director directly owned 36,244 shares in the company, valued at approximately $976,050.92. This trade represents a 23.72% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Matthew Siegel sold 50,000 shares of the stock in a transaction dated Tuesday, March 31st. The stock was sold at an average price of $25.79, for a total value of $1,289,500.00. Following the transaction, the executive vice president owned 289,925 shares of the company's stock, valued at approximately $7,477,165.75. The trade was a 14.71% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 72,542 shares of company stock valued at $1,869,055 over the last 90 days. Corporate insiders own 0.47% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of OUT. Balyasny Asset Management L.P. grew its holdings in shares of OUTFRONT Media by 226.8% during the fourth quarter. Balyasny Asset Management L.P. now owns 2,310,195 shares of the financial services provider's stock worth $55,676,000 after buying an additional 1,603,315 shares in the last quarter. Vanguard Group Inc. grew its holdings in shares of OUTFRONT Media by 5.3% during the fourth quarter. Vanguard Group Inc. now owns 22,654,899 shares of the financial services provider's stock worth $545,983,000 after buying an additional 1,131,954 shares in the last quarter. Ameriprise Financial Inc. grew its holdings in shares of OUTFRONT Media by 85.2% during the second quarter. Ameriprise Financial Inc. now owns 1,788,695 shares of the financial services provider's stock worth $29,192,000 after buying an additional 822,845 shares in the last quarter. Woodline Partners LP bought a new position in shares of OUTFRONT Media during the third quarter worth about $13,705,000. Finally, Federated Hermes Inc. grew its holdings in shares of OUTFRONT Media by 199.9% during the fourth quarter. Federated Hermes Inc. now owns 905,641 shares of the financial services provider's stock worth $21,826,000 after buying an additional 603,694 shares in the last quarter.

OUTFRONT Media Company Profile

OUTFRONT Media Inc is a leading out-of-home (OOH) advertising company offering a broad range of billboard, transit and digital display solutions across major urban markets in the United States and Canada. Its portfolio encompasses traditional static billboards, high-resolution digital signage, transit media on buses, trains and taxis, as well as street furniture placements such as bus shelters, kiosks and urban panels. The company partners with brand marketers to deliver high-impact campaigns that engage consumers outside the home environment.

Through an extensive network of assets in key metropolitan areas, OUTFRONT provides advertisers with premium visibility along highways, city streets and transit corridors.

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