May 17 (Reuters) - TV station operator Media General could see its shares rise 50 percent over the next two years, helped by acquisitions and diversification of its revenue stream, according Barron’s financial newspaper.
Cost saving synergies and revenue from its acquisitions of Young Broadcasting and LIN Media should generate enhanced free cash flow that could spur a 50 percent rise in its share price to the low $20s, portfolio manager David Cohen of Midwood Capital Management told Barron’s in the May 18 edition.
Media General is expected to renegotiate 90 percent of its cable subscriber fees this year and next, which should increase cash flow and earnings and enable to company to pay down debt, the article said.
Media General shares closed at $15.44 on the New York Stock Exchange on Friday. (Reporting by Bill Berkrot; Editing by Rosalind Russell)