Constant Contact Inc. (CTCT): Today's Featured Media Loser

Constant Contact ( CTCT) pushed the Media industry lower today making it today's featured Media loser. The industry as a whole closed the day up 1%. By the end of trading, Constant Contact fell 34 cents (-1.2%) to $27.62 on heavy volume. Throughout the day, one million shares of Constant Contact exchanged hands as compared to its average daily volume of 466,600 shares. The stock ranged in price between $26.90-$28.30 after having opened the day at $28.30 as compared to the previous trading day's close of $27.96. Other company's within the Media industry that declined today were: LodgeNet Interactive Corporation ( LNET), down 37%, Scholastic Corporation ( SCHL), down 7.2%, Promotora de Informaciones SA/FI ADR ( PRIS), down 6.2%, and Salem Communications Corporation ( SALM), down 5%.

Constant Contact, Inc. provides on-demand email marketing, social media marketing, event marketing, and online survey products primarily in the United States. Constant Contact has a market cap of $864.7 million and is part of the services sector. The company has a P/E ratio of 37.2, equal to the average media industry P/E ratio and above the S&P 500 P/E ratio of 17.7. Shares are up 20.5% year to date as of the close of trading on Tuesday. Currently there are nine analysts that rate Constant Contact a buy, one analyst rates it a sell, and six rate it a hold.

TheStreet Ratings rates Constant Contact as a buy. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income, robust revenue growth, largely solid financial position with reasonable debt levels by most measures and reasonable valuation levels. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.

On the positive front, ReachLocal ( RLOC), up 8.6%, Gray Television ( GTN), up 7.1%, Digital Cinema Destinations ( DCIN), up 6.7%, and Sinclair Broadcast Group ( SBGI), up 6%, were all gainers within the media industry with Sirius XM Radio ( SIRI) being today's featured media industry winner.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the media industry could consider PowerShares Dynamic Media ( PBS) while those bearish on the media industry could consider ProShares Ultra Sht Consumer Services ( SCC).
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