An investing theme that’s run too far

Charles Leyland, Managing Director of Leyland Private Asset Management, says the outdoor advertising theme is no longer looking as attractive as it did. Companies such as APN Outdoor and oOh Media have been beneficiaries of a move away from newspaper and television advertising while at the same time leveraging this through the digitisation of billboards. “While those core tenants are still in place, the stocks have run so far that the risk/reward proposition doesn’t stack up quite as well.” Compounding this is the “outlying risk” posed by the development of driverless cars; “billboards can be disrupted if you’re not looking at the road because you’re looking at your phone instead.” Watch the video below for his full thoughts on outdoor advertising.