We think technology will aid Clear Channel's growth during the next decade.
NCM took on a significant amount of debt as part of its recapitalization. The company might have trouble paying its interest expense if operating profits decline significantly. NCM's fate is partially tied to box-office trends and the health of its partners, factors that NCM cannot control.Movie
Although the firm faces tough industry dynamics, growth prospects have improved for Valassis.
InnerWorkings keeps adding new, well-known clients to its roster--despite weakened spending.
Consolidation in China's airline industry and airport managers would diminish AirMedia's pricing power.The fixed cost of installing and maintaining digital screens limits AirMedia's flexibility in reacting to market changes.AirMedia combines advertising with news, weather, and entertainment
Rising concession fees for digital advertising in Chinese air travel should limit AirMedia's profitability.
National CineMedia should benefit from consolidation in the movie theater industry.
Its growth through aggressive acquisitions raises questions of sustainability and risks of a potential misstep.The company has client and geographic concentration risk. In 2009 its top 10 clients accounted for 29% of revenues.InnerWorkings' enterprise clients, who accounted for 65% of sales in
The company is looking to expand overseas, so there is acquisition risk, especially in countries that have less attractive economics than the U.S.Minority shareholders in Clear Channel Outdoor are just along for the ride, because the firm is 89% owned by CC Media.The company's rollout of digital
The time frame for stabilization of housing markets in Florida and California, a key to success in the company's shopper segment, is highly uncertain.Advertisers' dollars are migrating from traditional forms of print media to the Internet, and we expect that trend to continue. This is a head wind