TNL Mediagene Getting Noticed On Wall Street: Benchmark Equity Research Starts Coverage With Speculative Buy, $3.50 Per Share Price Target

Associated Press

6 days ago

By Meg Flippin Benzinga
DETROIT, MICHIGAN - May 28, 2025 ( NEWMEDIAWIRE ) - TNL Mediagene (NASDAQ: TNMG), the next-gen media company focused on Millennial and Gen Z audiences in Japan and Taiwan that leverages its AI-powered data to offer its client base of over 850 regional and global advertisers an innovative and effective way to reach this audience, is getting noticed by Wall Street.
Benchmark Equity Research recently initiated coverage of TNL MEdiagene with a speculative buy rating and set a $3.50 per share price target, implying nearly 350% growth in the stock.
In a research report, Benchmark Equity analysts Fawne Jiang and Long Lin said the stock provides investors with a 'highly attractive opportunity to invest in a differentiated, data-driven digital media platform in Asia.'
The analysts noted their price target, while in line with its global peers, is on the conservative side, largely because TNL Mediagene isn't well known to investors and Wall Street. 'We believe it significantly undervalues TNMG's stronger growth profile and expanding addressable market,' wrote the analysts of their price target.
Tens Of Millions Of Monthly Unique Users
TNL Mediagene, the result of a merger between Taiwan's The News Lens Co., Ltd. and Japan's Mediagene Inc. in May of 2023, publishes major publications including Business Insider Japan, Gizmodo Japan and Digiday Japan, among several others. With that pedigree of publications, it's not surprising that the company boasts about 45 million monthly unique users. That's more than some larger and more established media leaders, including Nikkei Japan, South China Morning Post, The Wall Street Journal and the Financial Times, reports the company. All told, it operates 25 publications across news & business, B2B media, technology, lifestyle & food and sports & entertainment.
What drew the Benchmark analysts to TNL Mediagene is its technology-first approach to advertising and marketing. The company leverages its expertise in AI to offer data-driven solutions for businesses and brands. TNL Mediagene collects data from over 175 million digital footprints and about 45 million readers, enabling it to accurately identify and engage with the right audience, says TNL Mediagene. What's more, its real-time data aggregation enables the company to track advertising outcomes and consumer behavior to learn what works and what doesn't. TNL Medigene feeds all that data into an AI analytics platform to create audience profiles for its advertisers.
'TNMG appears well positioned to benefit from secular shifts in the global media and ad tech landscape, where audience targeting, first-party data, and measurable performance outcomes are becoming increasingly critical,' wrote the Benchmark analysts. 'With an integrated platform that combines premium content, AI-powered ad tech, and deep data capabilities, TNMG stands out as a next-generation media solution provider for brands and agencies across Asia.'
Regulations Change The Landscape
Blame it on rising regulations like the General Data Protection Regulation in Europe and the California Consumer Privacy Act or the diminishing reliability of third-party cookies – either way, marketers and advertisers are increasingly placing more importance on first-party and zero-party data. As a result, the Benchmark analysts said media brands with content channels that gather and leverage proprietary data are becoming more valuable and increasingly seen as 'prime targets for advertising opportunities.'
It doesn't hurt that TNL Mediagene publishes trusted brands, something that is increasingly important in this polarized world. The company says today's Millennial and Gen Z readers want access to information without bias. They are looking for trusted sources, and advertisers want to place ads on venues that tell it like it is.
The company also has the ability to ensure brands are creating a unified experience for consumers, regardless of how they interact with the brand. Not only does that serve to improve brand recognition and increase engagement, but it also enhances reach. Media and ad tech networks that have the ability to provide omnichannel solutions with cross-platform access like TNL Mediagene does stand to receive more of advertisers' budgets, wrote the Benchmark analysts. 'AI and machine learning take it a step further, optimizing targeting, personalization and creative strategies in real-time,' they wrote.
Dual Growth Strategy
Another attribute that Benchmark likes about TNL Mediagene is the company's dual strategy of growing both organically and inorganically through mergers and acquisitions. On the organic side, TNL Mediagene is investing in AI, personalized content and performance-led market campaigns. Its data approach, argue the analysts, enhances engagement and delivers better return on investment for its clients.
As for M&A, since 2018, the company has completed ten acquisitions that have either expanded its tech prowess, audience reach or coverage. It doesn't appear to be done with M&A. Part of TNL Mediagene's strategy is to complete one to two acquisitions per year focused on media and content brands, technology or data solutions.
'We expect M&A to remain a core lever of growth, particularly in East and Southeast Asia,' wrote the analysts. 'We view this dual-track model as well aligned with industry trends, offering both scalability and diversification across TNMG's core markets.' The analysts expect TNL Mediagene to realize organic growth of 10% to 20% and inorganic growth of 25-30% annually over the next three to four years. For fiscal year 2025, the analysts expect TNL Mediagene to achieve break-even adjusted EBITDA. Beyond that, the analysts expect ongoing margin expansion and forecast an adjusted EBITDA margin of 12% in fiscal year 2027.
'It is our view that TNL Mediagene stands out as a forward-looking media-tech platform uniquely equipped to navigate and lead Asia's dynamic digital media landscape. With a clear vision, operational leverage and a differentiated regional footprint, we believe TNMG is well-positioned to deliver sustainable long-term value for both its clients and stakeholders,' wrote Jiang and Lin.
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