Entravision Communications Corp. shares fell 20 percent on Friday after Citgroup downgraded shares from "buy" to "hold" on a challenging outlook for the Spanish language broadcaster.
The Santa Monica-based company last month reported its first-quarter loss had more than doubled due to slower-than-expected ad sales. The company also expected revenues to decrease by low- to mid-single digit percentages while operating expenses were expected to increase by low-single digit percentages.
"We began 2008 in a challenging environment for our Television and radio businesses, due to a difficult advertising market and strong comparisons from the year-ago period, when our television and radio revenue was up 8 percent and 14 percent respectively," said Chief Executive Officer Walter Ulloa during a conference call with analysts.
Shares of Entravision were down $1.14 to $4.64 as of midday Friday and topped the list of largest percentage decliners on the New York Stock Exchange. The share price is down 55 percent from a year ago.
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