Gilford Securities Reiterates Hold Rating on Arbitron Inc. (ARB)

Gilford Securities is out with a research report this afternoon, where it reiterates its Hold rating on Arbitron Inc. ARB; it has a $43.00 price target on the stock. The GS analysts cited the company's recent earnings results, which missed expectations; the company did affirm its 2011 earnings guidance, though. The analysts added that ARB would be greatly helped by rare large holdouts, Cumulus and Saga returning as clients, where there is a potential $12MM- plus in revenue for ARB might be derived from the two groups if they return. As for valuation, the analysts remarked, “ARB is at 19.8x ‘11E P/E and 16.8x '12E P/E. Also, ARB at 0.9x P/E vs. L-T Growth for ‘10A-‘14E. It's at 10.9x ‘11E EBITDA mult.”