Saga Communications (SGA) AI Stock Analysis

• Market Cap: $82.30M
• Dividend Yield: 7.83%
• Average Volume (3M): 12.50K
• Price to Earnings (P/E): 22.9
• Beta (1Y): 0.37
• Revenue Growth: -1.65%
• EPS Growth: -51.45%
• Country: US
• Employees: 601
• Sector: Communication Services
• Sector Strength: 78
• Industry: Broadcasting
• EPS (TTM): -0.29
• Shares Outstanding: 6,441,913
• 10 Day Avg. Volume: 4,243
• 30 Day Avg. Volume: 12,504
• PEG Ratio: N/A
• Price to Book (P/B): 0.51
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 39.56
• Enterprise Value/Market Cap: 0.89
• Enterprise Value/Revenue: 0.16
• Enterprise Value/Gross Profit: 4.40
• Enterprise Value/Ebitda: 1.81
• 1Y Price Target: $18.00
• Price Target Upside: 40.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 68 Neutral
• Price Target: $13.50 ▲(5.63%Upside)

Saga Communications' overall stock score reflects a stable financial foundation and a solid balance sheet, complemented by a positive dividend and shareholder return strategy. While technical indicators are neutral, the strong dividend yield and digital strategy growth are offset by high P/E valuation concerns and uncertain revenue prospects.

Saga Communications Business Overview & Revenue Model

Company Description

Saga Communications, Inc. (SGA) is a broadcasting company primarily engaged in the acquisition, development, and operation of radio stations throughout the United States. The company is involved in the broadcasting sector and focuses on delivering a diverse range of audio content through its network of radio stations across multiple markets. Saga Communications is dedicated to providing high-quality, locally-focused programming, including news, sports, music, and talk shows, tailored to meet the interests and needs of its local audiences.

How the Company Makes Money

Saga Communications generates revenue primarily through the sale of advertising airtime on its radio stations. The company offers advertisers the opportunity to reach targeted local audiences by broadcasting commercials during its various programming segments. This includes both traditional on-air advertising and digital advertising through the company's online platforms. Additionally, Saga Communications may engage in strategic partnerships and sponsorships to further enhance its revenue streams. The company's earnings are significantly influenced by factors such as audience ratings, advertising rates, and the overall health of the advertising market.

Saga Communications Financial Statement Overview

Summary

Saga Communications displays a stable financial profile with a solid balance sheet, reflecting low leverage and a strong equity position. The income statement shows moderate profitability, with margins indicating room for operational improvements. Cash flow management is generally positive but requires attention to maintain free cash flow stability.

Income Statement

Saga Communications has shown moderate stability in its income statement. The TTM (Trailing-Twelve-Months) gross profit margin is 14.74%, indicating a reasonable efficiency in managing production costs relative to revenue. However, the TTM net profit margin is 3.08%, suggesting room for improvement in profitability. Revenue growth has been relatively flat with minor fluctuations, showing a slight decrease in recent years. The EBIT margin at 2.20% and EBITDA margin at 8.01% underline the need for better operational efficiency.

Balance Sheet

The balance sheet of Saga Communications reflects solid financial stability. The debt-to-equity ratio is low, indicating conservative leverage use. The return on equity (ROE) stands at 2.12% for TTM, which is lower than ideal, pointing towards potential underutilization of equity. The equity ratio is strong at 74.59%, showcasing a robust capital structure with a high proportion of assets funded by equity.

Cash Flow

The cash flow position of Saga Communications is stable, with a positive operating cash flow to net income ratio of 3.27, indicating strong cash generation relative to net income. The free cash flow has seen some volatility, with a TTM free cash flow growth rate of -48.55%, requiring attention to sustain liquidity. The free cash flow to net income ratio stands at 0.64, highlighting the need for better cash conversion efficiency.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	112.92M	112.77M	114.89M	108.34M	95.81M
Gross Profit	16.01M	22.57M	27.36M	25.10M	14.23M
EBITDA	10.20M	18.10M	18.23M	20.80M	5.66M
Net Income	3.46M	9.50M	9.20M	11.16M	-1.91M
Balance Sheet
Total Assets	221.72M	232.21M	240.75M	247.93M	246.49M
Cash, Cash Equivalents and Short-Term Investments	27.79M	40.18M	46.92M	54.76M	51.35M
Total Debt	5.00M	7.35M	6.83M	6.43M	10.00M
Total Liabilities	55.80M	61.66M	62.22M	51.01M	55.95M
Stockholders Equity	165.92M	170.55M	178.53M	196.92M	190.54M
Cash Flow
Free Cash Flow	4.29M	11.02M	11.07M	14.98M	9.58M
Operating Cash Flow	13.77M	15.38M	17.13M	19.10M	12.09M
Investing Cash Flow	-6.68M	-2.50M	-14.99M	-3.35M	-604.00K
Financing Cash Flow	-17.81M	-20.10M	-20.09M	-12.35M	-4.17M

Saga Communications Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 12.78
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SGA, the sentiment is Neutral. The current price of 12.78 is below the 20-day moving average (MA) of 13.23, above the 50-day MA of 12.74, and above the 200-day MA of 12.07, indicating a neutral trend. The MACD of 0.04 indicates Positive momentum. The RSI at 45.25 is Neutral, neither overbought nor oversold. The STOCH value of 21.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SGA.

Saga Communications Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SGA	68 Neutral	$82.30M	22.92	2.06%	7.83%	-1.65%	-51.45%
Sector *	66 Neutral	¥441.68B	15.49	2.35%	2.33%	5.77%	-13.28%
EVC	57 Neutral	$201.97M	―	-82.15%	9.01%	-66.94%	-52.19%
UONE	56 Neutral	$40.07M	―	-56.08%	―	-7.35%	-1093.79%
CMLS	42 Neutral	$14.93M	―	-243.54%	―	-2.92%	-165.37%
BBGI	41 Neutral	$7.30M	3.37	-5.85%	―	-3.65%	89.15%

Saga Communications Corporate Events

Saga Communications Updates Bylaws for 2026 Meeting

Saga Communications has updated its Amended and Restated Bylaws regarding shareholder proposals and nominations for its 2026 Annual Meeting. The new bylaws specify that such proposals must be received by February 1, 2026, unless the meeting date changes, in which case different deadlines apply. This update revises the previously communicated deadlines in the 2025 proxy statement.

The most recent analyst rating on (SGA) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on Saga Communications stock, see the SGA Stock Forecast page.

Saga Communications Announces Quarterly Cash Dividend

On May 27, 2025, Saga Communications announced a quarterly cash dividend of $0.25 per share, to be paid on June 27, 2025, to shareholders of record on June 6, 2025, amounting to approximately $1.6 million. This dividend is part of Saga’s capital allocation plan for 2025, which includes potential stock buybacks funded by the sale of non-core assets, reflecting the company’s strategic focus on financial flexibility and shareholder returns.

The most recent analyst rating on (SGA) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on Saga Communications stock, see the SGA Stock Forecast page.

Saga Communications Elects Directors at Annual Meeting

At the Annual Meeting of Stockholders held on May 2, 2025, Saga Communications, Inc. elected seven directors for the upcoming year. Additionally, stockholders approved the appointment of Crowe LLP as independent auditors for the fiscal year ending December 31, 2024, re-approved the CEO Annual Incentive Plan, and supported a resolution on executive compensation.