Short Interest in Townsquare Media, Inc. (NYSE:TSQ) Drops By 28.2%

Key Points

• Townsquare Media saw a significant reduction in short interest, dropping 28.2% to 127,500 shares by August 31st, with current short sales accounting for 1.0% of the stock.
• The company declared a quarterly dividend of $0.20 per share, scheduled for payment on November 3rd, indicating a strong annualized dividend yield of 11.5%.
• Despite a negative return on equity of 56.87%, Townsquare Media outperformed analyst expectations by reporting $0.22 earnings per share for the previous quarter against a consensus estimate of $0.21.

Townsquare Media, Inc. (NYSE:TSQ - Get Free Report) was the target of a large decrease in short interest in August. As of August 31st, there was short interest totaling 127,500 shares, a decrease of 28.2% from the August 15th total of 177,700 shares. Based on an average daily trading volume, of 101,800 shares, the days-to-cover ratio is presently 1.3 days. Currently, 1.0% of the company's stock are sold short. Currently, 1.0% of the company's stock are sold short. Based on an average daily trading volume, of 101,800 shares, the days-to-cover ratio is presently 1.3 days.

Townsquare Media Price Performance

Townsquare Media stock traded up $0.19 during midday trading on Friday, reaching $7.06. The company's stock had a trading volume of 94,064 shares, compared to its average volume of 40,431. The stock's 50-day simple moving average is $7.16 and its 200-day simple moving average is $7.29. Townsquare Media has a 52-week low of $6.47 and a 52-week high of $10.79. The stock has a market capitalization of $116.07 million, a P/E ratio of 3.50, a PEG ratio of 2.04 and a beta of 1.17.

Townsquare Media (NYSE:TSQ - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The company reported $0.22 EPS for the quarter, beating analysts' consensus estimates of $0.21 by $0.01. Townsquare Media had a negative return on equity of 56.87% and a net margin of 7.93%.The company had revenue of $115.45 million during the quarter, compared to analysts' expectations of $114.77 million. As a group, equities research analysts expect that Townsquare Media will post 1.07 earnings per share for the current fiscal year.

Townsquare Media Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, November 3rd. Stockholders of record on Monday, October 27th will be paid a $0.20 dividend. This represents a $0.80 annualized dividend and a dividend yield of 11.3%. The ex-dividend date is Monday, October 27th. Townsquare Media's dividend payout ratio (DPR) is presently 39.60%.

Insiders Place Their Bets

In other news, COO Erik Hellum sold 10,000 shares of the stock in a transaction on Monday, June 23rd. The stock was sold at an average price of $7.09, for a total transaction of $70,900.00. Following the transaction, the chief operating officer owned 723,948 shares of the company's stock, valued at approximately $5,132,791.32. This represents a 1.36% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Stephen A. Kaplan purchased 10,000 shares of the company's stock in a transaction dated Friday, August 22nd. The shares were purchased at an average cost of $6.92 per share, for a total transaction of $69,200.00. Following the transaction, the director directly owned 208,618 shares in the company, valued at approximately $1,443,636.56. This represents a 5.03% increase in their position. The disclosure for this purchase can be found here. 30.50% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the company. Beck Mack & Oliver LLC raised its stake in shares of Townsquare Media by 2.5% in the second quarter. Beck Mack & Oliver LLC now owns 967,425 shares of the company's stock worth $7,652,000 after purchasing an additional 23,711 shares during the last quarter. American Century Companies Inc. raised its stake in shares of Townsquare Media by 18.0% in the second quarter. American Century Companies Inc. now owns 856,651 shares of the company's stock worth $6,776,000 after purchasing an additional 130,537 shares during the last quarter. RBF Capital LLC raised its stake in shares of Townsquare Media by 862.7% in the second quarter. RBF Capital LLC now owns 422,931 shares of the company's stock worth $3,345,000 after purchasing an additional 379,000 shares during the last quarter. Access Investment Management LLC purchased a new position in shares of Townsquare Media in the second quarter worth about $3,160,000. Finally, Gamco Investors INC. ET AL raised its position in Townsquare Media by 2.4% during the second quarter. Gamco Investors INC. ET AL now owns 383,107 shares of the company's stock valued at $3,030,000 after acquiring an additional 9,075 shares in the last quarter. 71.69% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Separately, Barrington Research reaffirmed an "outperform" rating and set a $13.00 price objective on shares of Townsquare Media in a research report on Thursday, August 7th. Two research analysts have rated the stock with a Buy rating, According to MarketBeat, Townsquare Media presently has an average rating of "Buy" and an average price target of $17.00.

Townsquare Media Company Profile

Townsquare Media, Inc operates as a digital media and marketing solutions company in small and medium-sized businesses. It operates through three segments: Subscription Digital Marketing Solutions, Digital Advertising, and Broadcast Advertising. The Subscription Digital Marketing Solutions segment offers website design, creation, and development, as well as hosting services; and search engine optimization, online directory optimization, e-commerce solutions, online reputation monitoring, social media management, appointment scheduling, payment and invoice, customer management, and email and SMS marketing services.