Today, we’re extremely excited to share SMI's new Ad Earnings Model with everyone. In short, it’s a new, predictive data point that helps investors understand the fundamental performance of key media companies, such as Google and Facebook, to assess near and long-term potential upside.
It works by taking the real ad spend in our Core and AccuTV products, and combines it with proprietary ad market knowledge and unpublished information, to model out 100% of the expected reported advertising revenue for select media companies. While SMI has always been known for real-time, accurate ad spend data, this is the first time SMI has developed a predictive product. SMI analysts have built a model using machine learning algorithms that get even more accurate with every iteration.
Here’s what SMI CEO James Fennessy had to say about why SMI developed the model, and why it’s so important:
“The Ad Earnings Model marks a significant moment for us. While we’ve always focused on helping our clients use our data to find the right insights in as timely a manner as possible, this is the first time we’ve expanded our product offering to include predictions and forward-looking analysis. We believe that data is the new ‘expert networks,’ and saw an opportunity to give investors an even smarter data point by evolving what’s been one of the most trusted sources of advertising expenditures for years.”
SMI knows that the importance of accurate and reliable data points to manage risk in the ever-changing media investment industry cannot be taken lightly. If you’re already using SMI's Core and AccuTV products, adding SMI's Ad Earnings Models to your plate, creates a powerful trifecta. For investors who want more conviction around their own market models, and the ability to better gauge potential upsides over the next six to 12 months, there’s no better information out there. The Investors who have tested the model, continue to subscribe due to the consistency, and correlation of the numbers to reported earnings.
The Ad Earnings Model is currently available for a select universe of stocks which includes Facebook and Google.
Read more about the Ad Earnings Model at SMI and the Nasdaq Global Newswire.