Boston Omaha (BOC) AI Stock Analysis

• Market Cap: $395.06M
• Dividend Yield: N/A
• Average Volume (3M): 172.53K
• Price to Earnings (P/E): 525.9
• Beta (1Y): 0.51
• Revenue Growth: 9.53%
• EPS Growth: N/A
• Country: US
• Employees: 407
• Sector: Industrials
• Sector Strength: 76
• Industry: Advertising Agencies
• EPS (TTM): -0.07
• Shares Outstanding: 30,872,875
• 10 Day Avg. Volume: 225,583
• 30 Day Avg. Volume: 172,530
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.22
• Enterprise Value/Revenue: 4.32
• Enterprise Value/Gross Profit: 5.27
• Enterprise Value/Ebitda: 16.65
• 1Y Price Target: $18.50
• Price Target Upside: 42.42% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 50 Neutral
• Price Target: $12.50 ▼(-3.77% Downside)

The overall stock score of 50 reflects significant challenges in both technical analysis and valuation. The stock is experiencing bearish momentum and appears overvalued with a high P/E ratio. While the financial performance shows some strengths, such as strong gross profit margins and a robust balance sheet, the company's profitability and cash flow issues weigh heavily on the score.

Positive Factors

Insurance performance

The Insurance segment posted a strong quarter, with premium and commission revenues growing significantly year over year.

Revenue growth

Boston Omaha delivered another strong quarter, with broad-based revenue growth across all segments.

Negative Factors

Broadband challenges

Broadband revenue growth decelerated, and its EBITDA was significantly below estimates.

Capital consumption

Broadband is consuming significant capital, requiring BOC to demonstrate improvement to ensure the durability of potential cash flows.

Boston Omaha Business Overview & Revenue Model

Company Description

Boston Omaha Corporation, together with its subsidiaries, engages in the outdoor billboard advertising business in the southeast United States. It is also involved in the surety insurance and related brokerage, broadband, and investment businesses. The company provides high-speed internet service to approximately 7,000 subscribers in communities in southern Arizona; and 10,000 subscribers in Salt Lake City, Park City, Ogden, Provo, and surrounding communities. As of March 25, 2022, it operated approximately 3,900 billboards containing approximately 7,400 advertising faces of which 80 are digital displays. The company was formerly known as REO Plus, Inc. and changed its name to Boston Omaha Corporation in March 2015. Boston Omaha Corporation was incorporated in 2009 and is headquartered in Omaha, Nebraska.

How the Company Makes Money

Boston Omaha generates revenue through multiple streams, primarily from its subsidiaries in the insurance and outdoor advertising sectors. The insurance division earns money through premiums collected from policyholders, investment income from the reserves held, and fees from various insurance products. The outdoor advertising segment generates revenue through leasing advertising space on billboards and other media formats to businesses. Additionally, BOC invests in real estate and related ventures, earning rental income and capital appreciation. Key partnerships with local businesses and municipalities enhance revenue opportunities, while the company's strategy of acquiring and growing its subsidiaries contributes significantly to its overall earnings.

Boston Omaha Financial Statement Overview

Summary

Boston Omaha demonstrates robust revenue growth and a strong equity position. Nevertheless, profitability and cash flow management are areas of concern, as reflected in negative margins and free cash flow. The company should focus on improving operational efficiency and cash flow generation to enhance financial health.

Income Statement

The company has shown consistent revenue growth over the years, with a strong increase in 2024. However, the net profit margin is negative due to net losses, impacting overall profitability. Gross profit margin remains solid, but negative EBIT and EBITDA margins indicate operational challenges.

Balance Sheet

The balance sheet shows a strong equity base with a low debt-to-equity ratio, indicating financial stability. The company maintains a healthy equity ratio, suggesting a strong asset base backed by equity. However, there is an increase in total liabilities, which needs monitoring.

Cash Flow

Operating cash flow has improved, but the company faces challenges with negative free cash flow in recent years. The free cash flow to net income ratio is unfavorable, indicating cash flow issues despite operating profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	111.57M	108.28M	96.25M	81.23M	56.97M	45.74M
Gross Profit	91.45M	92.78M	64.35M	54.54M	38.38M	6.36M
EBITDA	28.97M	32.59M	17.27M	29.73M	88.82M	10.22M
Net Income	761.92K	-1.29M	-7.00M	10.23M	52.75M	-49.09K
Balance Sheet
Total Assets	730.63M	728.35M	768.21M	683.72M	807.05M	640.71M
Cash, Cash Equivalents and Short-Term Investments	90.18M	86.61M	96.02M	74.07M	235.40M	153.52M
Total Debt	7.24M	99.89M	88.86M	92.98M	90.61M	74.99M
Total Liabilities	175.35M	165.63M	151.75M	157.07M	166.46M	114.11M
Stockholders Equity	530.97M	532.82M	538.21M	503.53M	496.33M	402.88M
Cash Flow
Free Cash Flow	-3.57M	-10.96M	-35.81M	-45.22M	-13.24M	-3.00M
Operating Cash Flow	22.84M	21.24M	16.06M	-5.17M	7.77M	5.57M
Investing Cash Flow	-13.35M	28.10M	-64.25M	87.86M	-45.67M	-169.40M
Financing Cash Flow	1.35M	-47.56M	32.94M	-109.73M	64.64M	202.81M

Boston Omaha Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 12.99
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BOC, the sentiment is Negative. The current price of 12.99 is below the 20-day moving average (MA) of 13.15, below the 50-day MA of 13.64, and below the 200-day MA of 14.39, indicating a bearish trend. The MACD of -0.32 indicates Positive momentum. The RSI at 36.09 is Neutral, neither overbought nor oversold. The STOCH value of 22.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BOC.

Boston Omaha Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NEXN	73 Outperform	$656.07M	13.26	9.91%	―	9.65%	―
DLX	71 Outperform	$854.17M	14.82	9.20%	5.99%	-1.92%	49.63%
Sector *	65 Neutral	€10.66B	24.01	6.13%	2.50%	4.78%	-14.92%
TSQ	54 Neutral	$111.01M	3.35	74.55%	11.54%	-0.11%	―
CCO	51 Neutral	$596.42M	―	4.92%	―	-21.67%	81.70%
BOC	50 Neutral	$395.06M	525.91	0.14%	―	9.53%	―
NCMI	50 Neutral	$402.02M	―	-5.50%	1.98%	13.34%	-107.92%

Boston Omaha Corporate Events

Boston Omaha’s Chief Accounting Officer Resigns

Boston Omaha Corporation has announced that its 2025 Annual Meeting of Stockholders will be held on August 25, 2025, at The Salvation Army Omaha Kroc Center in Omaha, Nebraska. The meeting will be conducted in person without remote streaming, and it will take place within 30 days of the anniversary of the 2024 Annual Meeting. Additionally, Joseph M. Meisinger, who became the full-time CEO of Boston Omaha Broadband, LLC in August 2024, has resigned from his role as Chief Accounting Officer of Boston Omaha Corporation, effective June 18, 2025, to focus on his CEO responsibilities.