I considered both - Jagran Prakashan and its subsidiary MBIL for investment. Happy to hear contradictory viewpoints : -
Jagran Prakashan :- This is a real Cigar-Butt valuation-wise. Taking a holding co. discount of 30-60% the co. is trading at 1.2 - 1.5 times trailing EV\EBITDA. While the co. will take some hit on topline this yr, the margins might be maintained owing to falling newsprint costs, Collaborative cost cutting by industry and circulation restored to 80% pre-covid levels.
Music Broadcast :- This is not an absolute cheap stock but a Fair business available at a cheap price. The company’s strong liquidity position will get it thru this phase where the topline hit might be 20-25%. Thus, here one is paying for a decent recovery and strong comeback of the business.
Which side to play is anybody’s call…
Disc. Not invested in Jagran. Exited MBIL in the recent run-up.