Urban One (UONE) AI Stock Analysis

• Market Cap: $41.89M
• Dividend Yield: N/A
• Average Volume (3M): 20.35K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.61
• Revenue Growth: -13.08%
• EPS Growth: -69.47%
• Country: US
• Employees: 962
• Sector: Communication Services
• Sector Strength: 97
• Industry: Broadcasting
• EPS (TTM): -0.06
• Shares Outstanding: 6,150,809
• 10 Day Avg. Volume: 19,989
• 30 Day Avg. Volume: 20,347
• PEG Ratio: <0.01
• Price to Book (P/B): 0.43
• Price to Sales (P/S): 0.16
• P/FCF Ratio: 2.43
• Enterprise Value/Market Cap: 12.18
• Enterprise Value/Revenue: 1.30
• Enterprise Value/Gross Profit: 1.93
• Enterprise Value/Ebitda: -37.11
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: $1.00 ▼(-10.71% Downside)

Urban One's overall stock score is primarily impacted by its weak financial performance and negative valuation metrics. The technical analysis further indicates bearish momentum. While the company has taken steps to improve its financial structure, significant challenges remain, particularly in revenue generation and profitability. The earnings call provided some hope for future improvements, but the current outlook remains cautious.

Positive Factors

Debt Refinancing

The refinancing extends debt maturities and improves financial flexibility, positioning Urban One for better long-term stability.

Cash Flow Generation

Strong cash flow generation supports operational needs and debt servicing, enhancing Urban One's financial resilience.

Cost Savings

Effective cost management helps mitigate revenue declines, improving Urban One's operational efficiency and profitability potential.

Negative Factors

Revenue Decline

Significant revenue decline across segments indicates challenges in market demand and competitive positioning, impacting growth prospects.

High Leverage

High leverage constrains financial flexibility, increasing risk and limiting Urban One's ability to invest in growth opportunities.

Profitability Challenges

Ongoing profitability issues reflect operational inefficiencies and market pressures, challenging Urban One's long-term financial health.

Urban One Business Overview & Revenue Model

Company Description

Urban One, Inc. (UONE) is a diversified media company primarily serving African-American and urban audiences. Founded in 1980 and headquartered in Silver Spring, Maryland, Urban One operates in several sectors, including radio broadcasting, digital media, cable television, and community-focused initiatives. The company is best known for its radio division, which includes a network of over 50 radio stations across the United States, as well as its digital platform, Reach Media, which provides content and advertising solutions tailored to its target demographic.

How the Company Makes Money

Urban One generates revenue through multiple streams, primarily from advertising sales across its radio stations and digital platforms. The company sells airtime to advertisers looking to reach urban audiences, leveraging its extensive network to provide targeted advertising solutions. Additionally, Urban One earns revenue from its cable television operations, particularly through its flagship network, TV One, which features programming that resonates with African-American viewers. The company's revenue model is further supported by strategic partnerships with advertisers and brands that seek to engage with its audience through sponsorships, promotions, and co-branded content. Urban One also explores opportunities in event production and community engagement initiatives, enhancing its brand presence and revenue potential.

Urban One Financial Statement Overview

Summary

Urban One's financial performance is challenged by declining revenue and profitability, high leverage, and negative returns. Despite some positive cash flow generation, the overall financial stability is weak, necessitating strategic improvements.

Income Statement

Urban One's income statement shows a declining trend in revenue and profitability. The TTM data indicates a negative revenue growth rate of -4.31% and a significant drop in gross profit margin to 51.49% from 69.90% in the previous year. The net profit margin has also deteriorated, reflecting a loss-making position with a margin of -32.55%. The EBIT and EBITDA margins are negative, indicating operational challenges. Overall, the income statement reflects declining performance and profitability issues.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 0.48 in the TTM period, indicating a decrease from previous years but still reflecting significant leverage. The return on equity is negative at -104.34%, highlighting the company's inability to generate profits from shareholders' equity. The equity ratio stands at 10.89%, suggesting a low proportion of equity financing. While there is a reduction in debt levels, the overall financial stability remains a concern due to high leverage and negative returns.

Cash Flow

Urban One's cash flow statement shows some positive aspects, with a free cash flow growth rate of 56.5% in the TTM period. The operating cash flow to net income ratio is 0.49, indicating moderate cash generation relative to net income. The free cash flow to net income ratio is 0.80, suggesting that the company is generating cash despite net losses. While cash flow generation is relatively stable, the overall cash flow position is impacted by the company's profitability challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	393.67M	449.67M	477.69M	484.60M	440.29M	376.34M
Gross Profit	264.19M	314.34M	340.67M	361.97M	321.19M	272.50M
EBITDA	-13.75M	13.55M	136.01M	181.49M	183.65M	89.62M
Net Income	-128.13M	-105.39M	2.05M	34.34M	36.79M	-8.11M
Balance Sheet
Total Assets	723.48M	944.79M	1.21B	1.34B	1.33B	1.20B
Cash, Cash Equivalents and Short-Term Investments	79.81M	137.09M	233.09M	75.40M	132.25M	73.39M
Total Debt	522.09M	610.87M	749.27M	773.24M	859.92M	887.79M
Total Liabilities	642.06M	765.86M	920.59M	981.97M	1.01B	995.89M
Stockholders Equity	78.83M	170.94M	274.06M	330.75M	303.68M	186.90M
Cash Flow
Free Cash Flow	35.08M	30.00M	29.47M	34.78M	73.86M	69.59M
Operating Cash Flow	43.75M	37.48M	64.64M	66.55M	80.15M	73.87M
Investing Cash Flow	-7.26M	-1.64M	95.36M	-28.68M	1.71M	-3.41M
Financing Cash Flow	-72.17M	-131.83M	-28.31M	-94.70M	-3.50M	-30.14M

Urban One Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.12
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UONE, the sentiment is Negative. The current price of 1.12 is below the 20-day moving average (MA) of 1.16, below the 50-day MA of 1.22, and below the 200-day MA of 1.47, indicating a bearish trend. The MACD of -0.04 indicates Positive momentum. The RSI at 34.19 is Neutral, neither overbought nor oversold. The STOCH value of 5.14 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for UONE.

Urban One Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SSP	64 Neutral	$355.21M	-9.14	1.81%	―	-3.27%	86.01%
SGA	63 Neutral	$73.42M	230.30	0.18%	8.81%	-0.77%	-93.46%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
EVC	53 Neutral	$279.30M	-2.37	-81.68%	6.56%	-45.95%	-75.87%
BBGI	46 Neutral	$8.98M	-1.05	-5.90%	―	-7.78%	-369.53%
UONE	44 Neutral	$41.89M	-0.36	-90.36%	―	-13.08%	-69.47%
MDIA	38 Underperform	$50.74M	-1.09	-53.47%	―	83.96%	-73.70%

Urban One Corporate Events

Urban One completes major debt refinancing and recapitalization

On December 18, 2025, Urban One, Inc. completed a sweeping balance-sheet transaction centered on the exchange and refinancing of its secured debt, issuing $291.02 million of 7.625% second-lien senior secured notes due 2031 and $60.6 million of 10.500% first-lien senior secured notes due 2030, alongside an amended and restated $75 million asset-based lending facility with $25 million of incremental capacity. The new notes and ABL facility, all senior secured and governed by tight covenants, were used together with cash on hand to repurchase $185 million of its 7.375% senior secured notes due 2028 for $111 million in cash and to support an exchange offer and consent solicitation that attracted tenders from holders of roughly 97.6% of the outstanding existing notes as of December 15, 2025, effectively reshaping the company’s capital structure and easing restrictive provisions on the legacy notes. The capital structure reset, which also included a supplemental indenture stripping most covenants and collateral from the remaining existing notes and a transaction letter agreement revising CEO Alfred C. Liggins III’s total cash compensation, is designed to extend Urban One’s maturities, re-tier its lien stack and secure liquidity for working capital and general corporate purposes, with significant implications for creditors’ priority, governance constraints and the company’s financial flexibility.

Urban One Amends Senior Secured Notes Agreement

On December 3, 2025, Urban One, Inc. entered into a supplemental indenture with Wilmington Trust for its existing 7.375% senior secured notes due 2028. This amendment will become effective upon the completion of a previously announced exchange offer and consent solicitation, potentially impacting the company’s financial structure and stakeholder interests.

Urban One Announces Early Results of Notes Exchange

On December 1, 2025, Urban One, Inc. announced the early results of its offers to exchange and purchase its outstanding 7.375% Senior Secured Notes due 2028. The company received tenders and consents from eligible holders representing approximately 92.2% of the outstanding principal amount of the existing notes. The offers include exchanging existing notes for new notes with different terms and purchasing notes for cash. The early results indicate a strong participation rate, which could positively impact the company’s financial restructuring efforts. However, the offers are subject to conditions, and if not completed, Urban One’s financial condition could be adversely affected.

Urban One Announces Transaction Support Agreement

On November 14, 2025, Urban One, Inc. announced a Transaction Support Agreement with holders of its 7.375% senior secured notes due 2028, representing 73% of the outstanding principal amount. The agreement involves offers to exchange these notes for new 7.625% second lien senior secured notes due 2031, purchase up to $185 million of the existing notes for cash, and subscribe to new 10.500% first lien senior secured notes due 2030. The company also seeks consent to amend the indenture governing the existing notes, eliminating restrictive covenants and default provisions. The agreement aims to strengthen Urban One’s financial position, although it is subject to conditions and may impact stakeholders depending on market conditions.

Urban One Reports Q3 2025 Revenue Decline

Urban One, Inc. reported a decrease in net revenue of 16% for the third quarter of 2025 compared to the same period in 2024, with net revenue at approximately $92.7 million. The company also noted a reduction in its full-year 2025 Adjusted EBITDA guidance due to soft market conditions, adjusting it from $60.0 million to a range of $56.0 million to $58.0 million. Despite these challenges, Urban One achieved an operating income of $2.5 million, a significant improvement from an operating loss of $26.2 million in the previous year. The company remains focused on cost control, debt management, and corporate development opportunities.