Results from Amazon, Google and UK website star Future provide good news for LADbible and UNILAD publisher LBG Media PLC (AIM:LBG), reckon analysts at Berenberg.
Particularly, the analysts noted that online and video advertising, two areas that LBG focuses on, outperformed offline, out-of-home and brand marketing.
This should help it outperform the general market, even if its business leans slightly more towards brand than performance marketing.
This is supported by a recent IPA market report, with online and video growing by 4%, while all other advertising was in decline in the second quarter.
In addition, LBG, which floated on AIM in December 2021, has significant volume levers that it can pull in North America, where it is currently focusing investment to establish a direct route to market, which the broker believes combined with cash for future mergers & acquisitions puts it in a stronger position than the general media market.
LBG has begun exploring transformative M&Gs according to Berenberg to help build its direct revenue stream as well as scale its reach into North America.
Berenberg kept its target price of 180p unchanged, as well as its 'buy' rating.