Clear Channel Outdoor (CCO) AI Stock Analysis

• Market Cap: $536.45M
• Dividend Yield: N/A
• Average Volume (3M): 1.84M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.31
• Revenue Growth: -17.54%
• EPS Growth: 66.05%
• Country: US
• Employees: 4,100
• Sector: Communication Services
• Sector Strength: 89
• Industry: Advertising Agencies
• EPS (TTM): -0.11
• Shares Outstanding: 496,715,400
• 10 Day Avg. Volume: 1,870,803
• 30 Day Avg. Volume: 1,842,996
• PEG Ratio: -0.23
• Price to Book (P/B): -0.16
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -44.27
• 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: $1.44
• Price Target Upside: 33.33% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

• Rating: 48 Neutral
• Price Target: $1.00 ▼( -7.41% Downside)

Clear Channel Outdoor's overall score is weighed down primarily by its financial performance, characterized by negative net income and high leverage. Although recent strategic actions and technical indicators provide some optimism, the company's financial instability and valuation issues remain significant concerns.

Positive Factors

Digital Investments

Digital investments are a highlight of operations: Clear Channel Outdoor America added 33 digital billboards in the quarter and now operates 1,930 in total.

Operational Focus

The company's shift to a more focused structure has resulted in lower corporate expenses as it becomes a U.S.-focused entity.

Revenue Growth

Airports revenue grew 4.0%, surpassing expectations, and is guided to grow 3% - 7% as board digitization drives revenue growth.

Negative Factors

Cost Pressures

Downside risk builds as cost pressures and slowing demand take hold.

Financial Performance

Adjusted EBITDA margins were below expectations in the quarter due to the MTA roadside billboard contract, which pressured margins.

Market Uncertainty

Macro uncertainty causes unease over ad budgets.

Clear Channel Outdoor Business Overview & Revenue Model

Company Description

Clear Channel Outdoor Holdings, Inc. owns, operates, and sells advertising displays in the United States and internationally. It operates through two segments, Americas and Europe. The company offers advertising services through billboards, including bulletins and posters; transit displays, which are advertising surfaces on various types of vehicles or within transit systems; street furniture displays, such as advertising surfaces on bus shelters, information kiosks, freestanding units, and other public structures; spectaculars, which are customized display structures that incorporate videos, multidimensional lettering and figures, mechanical devices and moving parts, and other embellishments; wallscape, a display that drapes over or is suspended from the sides of buildings or other structures. It also provides street furniture equipment, cleaning and maintenance services, operation of public bike programs, and production services; and a public bicycle rental program, which offers bicycles for rent to the general public in various municipalities. As of December 31, 2021, it owned or operated approximately 69,000 advertising displays in the Americas; and 430,000 advertising displays in Europe. The company was formerly known as Eller Media Company and changed its name to Clear Channel Outdoor Holdings, Inc. in August 2005. Clear Channel Outdoor Holdings, Inc. was founded in 1901 and is headquartered in San Antonio, Texas.

How the Company Makes Money

Clear Channel Outdoor makes money primarily through the sale of advertising space on its vast network of outdoor media assets, which includes billboards, transit displays, and street furniture. The company's revenue model revolves around leasing these advertising spaces to businesses looking to promote their products and services. Key revenue streams include long-term contracts with advertisers, digital advertising placements, and dynamic pricing strategies that maximize the value of high-traffic locations. Additionally, CCO's partnerships with municipalities and transit authorities allow it to operate in prime locations, further enhancing its revenue potential. The company's ability to adapt to digital trends and offer innovative solutions also contributes to its earnings.

Clear Channel Outdoor Financial Statement Overview

Summary

Clear Channel Outdoor faces significant challenges in achieving profitability and financial stability, highlighted by its negative net income and high leverage. Operational margins are decent, but improving revenue trajectory and managing debt are crucial for long-term sustainability.

Income Statement

The company exhibits a volatile revenue trend with a significant decline in recent periods, as seen in the TTM data. Gross profit margin remains healthy at approximately 65.1% TTM, but net profit margin is negative due to persistent net losses. The EBIT and EBITDA margins are positive, indicating operational efficiency, yet the inability to achieve net profitability is a concern.

Balance Sheet

The balance sheet shows financial instability with negative stockholders' equity and a high debt-to-equity ratio, indicating excessive leverage. The equity ratio is also negative, highlighting concerns about long-term solvency and financial risk.

Cash Flow

Cash flow analysis reveals a positive trend in operating cash flow for the TTM period, yet free cash flow remains low. The operating cash flow to net income ratio is favorable, but reliance on debt financing is evident, posing potential risks.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.36B	1.51B	2.13B	2.48B	2.24B	1.85B
	Gross Profit
715.85M	824.65M	1.03B	1.15B	970.86M	653.40M
	EBIT
265.78M	279.18M	236.89M	231.54M	104.52M	-142.18M
	EBITDA
492.45M	442.41M	488.94M	450.74M	497.64M	319.04M
	Net Income Common Stockholders
-27.08M	-179.25M	-310.92M	-94.39M	-433.12M	-600.23M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
395.81M	109.71M	251.65M	286.78M	410.77M	785.31M
	Total Assets
3.99B	4.80B	4.72B	5.09B	5.30B	5.76B
	Total Debt
6.65B	7.02B	7.17B	7.13B	7.23B	7.26B
	Net Debt
6.26B	6.91B	6.92B	6.84B	6.82B	6.47B
	Total Liabilities
7.41B	8.44B	8.17B	8.35B	8.49B	8.54B
	Stockholders Equity
-3.42B	-3.64B	-3.46B	-3.26B	-3.19B	-2.78B
Cash Flow		Free Cash Flow
-12.23M	-62.65M	-147.48M	-44.69M	-281.50M	-261.97M
	Operating Cash Flow
129.49M	79.75M	31.25M	139.99M	-133.50M	-137.81M
	Investing Cash Flow
463.26M	-155.94M	-119.57M	-221.70M	-152.70M	94.52M
	Financing Cash Flow
-390.15M	-8.18M	45.64M	-32.72M	-85.24M	418.28M

Clear Channel Outdoor Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.08
• 50DMA: Positive
• 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 CCO, the sentiment is Negative. The current price of 1.08 is below the 20-day moving average (MA) of 1.11, above the 50-day MA of 1.07, and below the 200-day MA of 1.37, indicating a neutral trend. The MACD of 0.02 indicates Positive momentum. The RSI at 46.37 is Neutral, neither overbought nor oversold. The STOCH value of 24.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CCO.

Clear Channel Outdoor Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GRVY	78 Outperform	$440.28M	7.67	14.97%	―	-33.83%	-38.30%
DDI	75 Outperform	$500.49M	4.26	13.91%	―	10.71%	21.74%
MCS	66 Neutral	$522.02M	―	-2.83%	1.64%	4.18%	-207.46%
Sector *	60 Neutral	$14.12B	6.43	-3.56%	3.69%	2.49%	-35.43%
THRY	59 Neutral	$569.03M	―	-51.21%	―	-14.71%	66.24%
CCO	48 Neutral	$536.45M	―	4.92%	―	-17.54%	66.05%
NCMI	47 Neutral	$462.09M	―	-4.73%	0.61%	42.01%	-100.56%

Clear Channel Outdoor Corporate Events

Clear Channel Outdoor Sells Brazilian Business for $14M

On May 7, 2025, Clear Channel Outdoor Holdings, Inc. announced an agreement to sell its Brazilian business to Publibanca Brasil S.A., an affiliate of Eletromidia S.A., for approximately R$80 million (US$14 million). This sale, expected to close in 2025 pending regulatory approval, is part of Clear Channel’s strategy to optimize its portfolio and focus on its America and Airports segments, marking the divestment of all its Latin American businesses.

Clear Channel Outdoor Completes Sale of Europe-North Segment

On March 31, 2025, Clear Channel Outdoor Holdings, Inc. announced the completion of the sale of its Europe-North segment to Bauer Radio Limited, a subsidiary of Bauer Media Group, for $625 million. This transaction, which included the prepayment of $386.9 million in outstanding loans, is part of Clear Channel’s strategy to reduce leverage and improve its balance sheet, with plans to use the proceeds to retire advantageous debt and enhance shareholder value. The sale marks a significant step in the company’s international divestitures, amounting to approximately $745 million, and aligns with its goals to divest businesses in Spain and Brazil.

Clear Channel Outdoor Gains Approval for Europe-North Sale

On March 10, 2025, Clear Channel Outdoor Holdings, Inc. announced it received all necessary regulatory clearances for the sale of its Europe-North segment to Bauer Radio Limited, a subsidiary of Bauer Media Group. The transaction, expected to close on March 31, 2025, marks a significant step in the company’s strategic realignment, potentially impacting its market positioning and stakeholder interests.

Clear Channel Outdoor Shifts Focus to U.S. Markets

Clear Channel Outdoor Holdings, Inc. reported its financial results for the fourth quarter and full year of 2024, revealing a strategic shift towards focusing on higher margin U.S. markets following the sale of its Europe-North segment and businesses in Mexico, Chile, and Peru. The company’s America segment achieved record revenue driven by digital and local sales, contributing to a consolidated revenue increase despite losing a Singapore contract. Ongoing initiatives include expanding its digital footprint and leveraging data analytics to enhance its position in the digital advertising ecosystem. The company also announced plans to sell its remaining Latin American business in Brazil and resume efforts for its business in Spain.