Yet they remain an interesting, if speculative, play. Share price rises thus far have been driven by a stronger than expected recovery in advertising revenues. That is continuing and there is evidence that analysts have been over-cautious about earnings prospects, so the companies may not be as expensive as they look.
Radio also appears to be taking a bigger slice of the advertising cake. The industry has begun to get its act together by making it easier for advertisers to exploit the medium, and the potential for improvement remains significant.
The sector has also been subject to the restrictive ownership rules that have dogged ITV companies.
This restriction may be lifted as a result of the Government's review of cross-media ownership. In that case, investors should prepare for the same flurry of rationalisations and silly share prices seen among television companies in recent weeks.Reuse content