NLSN - Embedded Expectations Analysis - 2020 04 13
ï€ Nielsen Holdings plc (NLSN:USA) currently trades near corporate averages relative to UAFRS-based (Uniform) earnings, with a 22.6x Uniform P/E. At these levels, the market has bearish expectations for the firm, and management may be concerned about revenue growth, their new products, and media marketsï€ Specifically, management reduced capex spending, the progress of their business separation, and increased media competition. Moreover, they may lack confidence in their ability to sustain Measure segment revenue growth and EBITDA margin expansion, meet Media revenue CAGR expectations, and cater their account plans to meet customer needs. In addition, management may have concerns about their TV contract renewals, their new product offerings in Plan/Optimize, and the progress of the Nielsen Connect platform deployment. Furthermore, they may be exaggerating their role in local markets, the strength of their pricing power, and their ability to assist innovation clients
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