oOh media Ltd (OML) AI Stock Analysis

• Market Cap: AU$945.56M
• Dividend Yield: 2.99%
• Average Volume (3M): 1.01M
• Price to Earnings (P/E): 25.7
• Beta (1Y): 0.66
• Revenue Growth: 0.27%
• EPS Growth: 6.59%
• Country: AU
• Employees: 1,800
• Sector: Communication Services
• Sector Strength: 83
• Industry: Advertising Agencies
• EPS (TTM): 0.09
• Shares Outstanding: 538,781,300
• 10 Day Avg. Volume: 911,298
• 30 Day Avg. Volume: 1,010,295
• PEG Ratio: 3.25
• Price to Book (P/B): 1.26
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.94
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: AU$1.87
• Price Target Upside: 6.25% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 74 Outperform
• Price Target: AU$2.00 ▲(13.64%Upside)

The stock of oOh media Ltd is positively rated due to strong technical indicators and consistent financial performance, despite high leverage. The valuation suggests some caution due to a high P/E ratio, but the dividend yield provides a counterbalance. The absence of earnings call and corporate events data had no impact on the score.

Positive Factors

New Contracts

OML has announced a number of new contract wins.

Strategic Expansion

Strategic expansion of its retail media division, reo, is planned.

Negative Factors

Revenue Performance

Revenue performance in 2Q/3Q24 below expectations.

oOh media Ltd Business Overview & Revenue Model

Company Description

oOh!media Ltd (OML) is a leading out-of-home media company in Australia and New Zealand, specializing in outdoor advertising solutions. The company operates across various sectors including roadside billboards, retail, airports, office buildings, cafes, universities, and more. Its core products and services revolve around providing advertisers with high-impact digital and classic advertising displays that reach audiences in high-traffic areas.

How the Company Makes Money

oOh!media Ltd generates revenue primarily through the sale of advertising space across its extensive portfolio of outdoor media assets. Key revenue streams include leasing advertising spots on roadside billboards, digital screens, and other out-of-home locations such as airports and retail centers. The company also earns income through long-term contracts with advertisers and strategic partnerships with property owners and real estate operators to secure prime locations for its advertising displays. Additionally, oOh!media invests in technology and data analytics to enhance audience targeting and measurement capabilities, further attracting advertisers looking for effective media solutions.

oOh media Ltd Financial Statement Overview

Summary

oOh media Ltd shows consistent revenue growth and profitability with improved gross profit margins, indicating operational efficiency. However, the high leverage due to the debt-to-equity ratio and the decline in free cash flow growth highlight financial risks that need management.

Income Statement

The company has shown steady revenue growth over the past few years, with a recent increase from AUD 592.6M in 2022 to AUD 635.6M in 2024. Gross profit margin improved significantly from prior years, indicating better cost management and efficiency. The net profit margin has also been positive, indicating profitability, though there was a slight decline in EBITDA in 2024 compared to 2023, suggesting a need for careful cost management.

Balance Sheet

The debt-to-equity ratio is relatively high, reflecting significant leverage which could pose financial risk if not managed properly. However, the equity ratio shows that a substantial portion of the company is funded by equity, which is a positive sign. Return on equity is reasonable, showing that the company is effectively using shareholder equity to generate profits.

Cash Flow

Operating cash flow remains strong, although there was a decline from 2023 to 2024. Free cash flow has been positive and indicates good cash generation capability. However, the free cash flow growth has been negative from 2023 to 2024, suggesting potential challenges in maintaining cash flow levels. The operating cash flow to net income ratio is healthy, indicating good cash conversion from income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	635.63M	633.91M	592.62M	503.73M	426.52M
Gross Profit	433.88M	417.75M	112.10M	49.52M	-1.60M
EBITDA	149.72M	244.92M	290.90M	238.38M	233.62M
Net Income	36.58M	34.62M	31.52M	-10.29M	-36.18M
Balance Sheet
Total Assets	1.79B	1.66B	1.73B	1.85B	1.91B
Cash, Cash Equivalents and Short-Term Investments	21.45M	31.65M	40.05M	60.05M	80.04M
Total Debt	956.93M	806.84M	827.90M	951.74M	995.83M
Total Liabilities	1.05B	918.13M	929.06M	1.05B	1.10B
Stockholders Equity	746.93M	742.23M	805.75M	803.55M	806.93M
Cash Flow
Free Cash Flow	135.65M	171.25M	195.65M	141.38M	152.25M
Operating Cash Flow	180.67M	211.00M	222.69M	156.08M	167.96M
Investing Cash Flow	-38.52M	-41.90M	-28.89M	-13.80M	-13.22M
Financing Cash Flow	-154.01M	-177.50M	-213.80M	-162.28M	-135.90M

oOh media Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.76
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:OML, the sentiment is Positive. The current price of 1.76 is above the 20-day moving average (MA) of 1.73, above the 50-day MA of 1.69, and above the 200-day MA of 1.39, indicating a bullish trend. The MACD of 0.01 indicates Positive momentum. The RSI at 56.60 is Neutral, neither overbought nor oversold. The STOCH value of 51.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:OML.

oOh media Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IGL	74 Outperform	AU$484.13M	11.64	20.66%	5.73%	0.18%	176.90%
OML	74 Outperform	AU$945.56M	25.66	4.91%	2.99%	0.27%	6.59%
GTN	64 Neutral	AU$112.49M	18.97	2.80%	8.93%	2.57%	55.50%
Sector *	62 Neutral	$41.14B	-1.94	-12.05%	4.72%	2.10%	-69.66%
MXO	56 Neutral	AU$13.09M	―	-18.57%	―	33.99%	64.89%
SXL	54 Neutral	AU$146.34M	―	-71.41%	1.66%	-7.85%	-3088.82%

oOh media Ltd Corporate Events

oOh!media Faces Contract Non-Renewal with Auckland Transport

oOh!media Limited announced that its contract with Auckland Transport, which accounted for 4% of its FY24 revenue, will not be renewed upon its expiration in September 2025. Despite this setback, the company remains confident in maintaining its leading position in the New Zealand Out Of Home market, emphasizing its diverse lease maturity profile and strong contract discipline to ensure sustainable growth and returns.

The most recent analyst rating on (AU:OML) stock is a Hold with a A$1.50 price target. To see the full list of analyst forecasts on oOh media Ltd stock, see the AU:OML Stock Forecast page.

oOh!media Ltd Issues Performance Rights to Employees

oOh!media Ltd has announced the issuance of 1,525,035 performance rights under an employee incentive scheme. These securities are unquoted and subject to transfer restrictions until the restriction period ends, reflecting the company’s strategy to incentivize and retain talent, potentially impacting its operational efficiency and market competitiveness.

The most recent analyst rating on (AU:OML) stock is a Hold with a A$1.50 price target. To see the full list of analyst forecasts on oOh media Ltd stock, see the AU:OML Stock Forecast page.

oOh!media Limited Concludes 2025 AGM with Key Resolutions

oOh!media Limited held its 2025 Annual General Meeting, where all resolutions were determined by poll. Notably, resolutions regarding the grant of performance rights and deferred restricted shares under the Equity Incentive Plan for Ms. Catherine O’Connor were withdrawn. The meeting’s outcomes are expected to maintain the company’s strategic direction, reinforcing its market position in the Out of Home media industry.

The most recent analyst rating on (AU:OML) stock is a Hold with a A$1.67 price target. To see the full list of analyst forecasts on oOh media Ltd stock, see the AU:OML Stock Forecast page.

oOh!media Poised for Growth Amidst Out of Home Advertising Boom

oOh!media’s recent Annual General Meeting highlighted the company’s strong position in the Out of Home advertising market, which is experiencing significant growth compared to other traditional media channels. Despite a challenging first half in CY24, the company ended the year with strong financial performance, reporting $636 million in revenue and a robust balance sheet. The company is optimistic about continued growth, driven by structural trends like urban population expansion and digital advancements, and has declared a final dividend reflecting confidence in its business outlook.

The most recent analyst rating on (AU:OML) stock is a Hold with a A$1.80 price target. To see the full list of analyst forecasts on oOh media Ltd stock, see the AU:OML Stock Forecast page.

oOh!media Presents at 2025 Annual General Meeting

oOh!media Limited announced its presentation at the 2025 Annual General Meeting, highlighting its ongoing commitment to enhancing public spaces and connecting advertisers with large audiences. This strategic focus is expected to strengthen the company’s market position in Australia and New Zealand, benefiting stakeholders by leveraging its expansive network of digital and static advertising locations.

The most recent analyst rating on (AU:OML) stock is a Hold with a A$1.80 price target. To see the full list of analyst forecasts on oOh media Ltd stock, see the AU:OML Stock Forecast page.

Leadership Transition at oOh!media as CEO Cathy O’Connor Announces Departure

oOh!media Limited has announced the planned departure of its Managing Director and CEO, Cathy O’Connor, in the second half of 2025. Under her leadership, the company has seen significant growth, with a 13% increase in total revenue and a 16% rise in Australian media revenue in early 2025. The Board is confident in the company’s strategic direction and has initiated a search for a new CEO to continue its momentum and growth trajectory.

oOh!media Announces Director’s Interest Change

oOh!media Limited has announced a change in the director’s interest, specifically regarding Catherine O’Connor’s holdings. The change involves the vesting of 53,625 Deferred Short Term Incentive (DSTI) restricted shares, which were initially allocated in April 2024 as part of the company’s Equity Incentive Plan. This development reflects the end of the restriction period for these shares, thereby increasing O’Connor’s direct holding of fully paid ordinary shares. This change is part of the company’s ongoing efforts to align director interests with shareholder value and incentivize performance.