Reviewing Townsquare Media (NYSE:TSQ) and Radioio (OTCMKTS:RAIO)

Townsquare Media (NYSE:TSQ) and Radioio (OTCMKTS:RAIO) are both consumer discretionary companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, valuation, profitability, analyst recommendations, dividends, earnings and institutional ownership.

Insider and Institutional Ownership

71.7% of Townsquare Media shares are owned by institutional investors. 29.2% of Townsquare Media shares are owned by insiders. Comparatively, 40.4% of Radioio shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Townsquare Media and Radioio”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Townsquare Media	$450.98 million	0.26	-$10.93 million	$2.02	3.50
Radioio	N/A	N/A	N/A	N/A	N/A

Radioio has lower revenue, but higher earnings than Townsquare Media.

Profitability

This table compares Townsquare Media and Radioio’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Townsquare Media	7.93%	-56.87%	3.43%
Radioio	N/A	N/A	N/A

Analyst Recommendations

This is a summary of current ratings and price targets for Townsquare Media and Radioio, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Townsquare Media	0	0	2	0	3.00
Radioio	0	0	0	0	0.00

Townsquare Media presently has a consensus price target of $17.00, indicating a potential upside of 140.62%. Given Townsquare Media’s stronger consensus rating and higher probable upside, research analysts clearly believe Townsquare Media is more favorable than Radioio.

Volatility & Risk

Townsquare Media has a beta of 1.17, meaning that its stock price is 17% more volatile than the S&P 500. Comparatively, Radioio has a beta of 0.42, meaning that its stock price is 58% less volatile than the S&P 500.

Summary

Townsquare Media beats Radioio on 8 of the 10 factors compared between the two stocks.

About Townsquare Media

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. The Digital Advertising segment provides digital advertising on its owned and operated, digital programmatic advertising, and data analytics and management platform. The Broadcast Advertising segment engages in the sale of advertising on local radio stations to local, regional, and national spot advertisers, as well as national network advertisers. It also owns and operates live events, including concerts, expositions, and other experiential events; and operates local media under the WYRK.com, WJON.com, and NJ101.5.com brands, as well as national music under the XXLmag.com, TasteofCountry.com, UltimateClassicRock.com, and Loudwire.com brands. The company was formerly known as Regent Communications, Inc. and changed its name to Townsquare Media, Inc. in May 2010. Townsquare Media, Inc. is headquartered in Purchase, New York.

About Radioio

Radioio, Inc. operates an Internet media platform that provides streamed music to targeted audiences. Radioio broadcasts 140 streaming channels, and offers Internet radio services, including customized channels with various genres of music ranging from high-brow classical to acid rock. The company also provides a background music and messaging ecosystem for large franchise businesses and other vertical markets, such as retail, hospitality, and health and wellness. In addition, it offers Radioio live channels that stream live and pre-recorded talk radio content over the Internet to individual customers via advertising. The company was formerly known as ioWorldMedia, Incorporated and changed its name to Radioio, Inc. December 2013. Radioio, Inc. was incorporated in 1995 and is based in New York, New York.