Scripps downgraded to Equal Weight on ad weakness at Wells Fargo

Wells Fargo analyst Steven Cahall downgraded E.W. Scripps to Equal Weight from Overweight with a price target of $11, down from $20. The company’s challenges include weaker political, a lot of ad softness at Networks, and higher leverage due to the ION deal, Cahall tells investors in a research note. The analyst says Scripps is a stock with "puts vs takes," warranting a downgrade. Weakness in advertising and cash interest of perhaps $180M in 2023 "are headwinds to cash/earnings growth in the near to medium term," writes Cahall.