JP Morgan Maintains Overweight, $46 PT on Arbitron

In a published report, JP Morgan reiterates its Overweight rating and $46 price target on Arbitron Inc. (NYSE: ARB) following the company's presentation at JPM's 2nd annual “Ultimate Services” conference. JPM commented, “Discussion focused on recent trends, radio industry prospects, digital measurement, EBITDA margin, and FCF priorities. No update to 2011 guidance that was last reiterated on 10/25—revs. up 6-8% with EPS up 16-25% to $1.90-2.05 (v. 2010's $1.64). We like Arbitron's dominant position in US Radio ratings, and are intrigued by its cross-platform and digital efforts. Valuation appears reasonable at 16.3 times 2013E EPS and 7.7 times EBITDA.”

ARB closed at $40.65 on Monday.