Entravision Communications (EVC): fair value, margin of safety and Wheel Score

Is EVC undervalued?

EVC closed at 6.67 on 16 Oct 2026, more than 30% above the GLS average fair value of 3.11. Only 1 of the 8 models that produced a value sit above the price. By our models the shares are priced well beyond what the filed earnings, cash flow and book value support; the Sunday Scan drops names like this at the "below fair value" rule.

The 8 models disagree widely: GLS Growth gives 0.1564 while 10 Cap gives 13.20. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.

The nightly engine files EVC under Blend.

Nine valuation models for EVC

Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.

Quality and financial health

On financial health EVC scores 7/9 (Piotroski): most of the nine tests - positive earnings and cash flow, falling debt, rising margins and turnover - are passed, which is the kind of balance sheet a wheel trader is happy to be assigned. The GLS Moat score is low at 0.3 out of 10, which says the ten-year record of revenue, earnings, margins and returns on capital has been inconsistent - growth and shocks rather than steady compounding.

Returns on capital are thin or negative - ROIC -29.1%, ROE -141.4%, ROA -20.2% - with debt at 3.85 times equity and a free-cash-flow yield of 8.8%. Debt of 3.85 times equity is on the high side for the sector and is worth checking against the cash flow before treating the stock as a long-term hold.

The dividend yield is 3.00% at a payout ratio of 372%; for a wheel trader holding assigned shares the dividend adds to the covered-call premium, and the ex-dividend date is worth knowing before a call is sold. Revenue comes mainly from Digital Advertising 85%, Broadcast Advertising 11%, Retransmission Consent 4% (quarter Q2 FY2026).

Institutional ownership scores 6/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.

Wheel Score 35: Weak

EVC scores 35 out of 100 on the Wheel Score, in the Weak band (under 50). Value 0/25, Health 16/20, Moat 0/15, Premium 7/20, Stability 12/20. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.

Implied volatility is 113% on the near-the-money contracts 20-60 days out - above the 60% ceiling of the sweet spot. Premiums are large, but the Wheel Score tapers the Premium points (7 of 20) because volatility this high usually comes with a reason. Chain open interest is 37,163 contracts across all expiries - enough for the wheel at normal size.

Volume runs at 1.2M shares a day on a market cap of $616M, with a beta of 1.74 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score gives that 12 of 20.

The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.

Upcoming events

Entravision Communications reports earnings on 29 Oct 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.

Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.

Similar stocks in Broadcasting

The 12 companies below are the closest to Entravision Communications by market cap within the Broadcasting industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.

⚖ Compare EVC with 7 of them   All Communication Services stocks →