Clear Channel Outdoor (CCO) AI Stock Analysis

• Market Cap: $504.76M
• Dividend Yield: N/A
• Average Volume (3M): 2.33M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.33
• Revenue Growth: -13.48%
• EPS Growth: 55.39%
• Country: US
• Employees: 4,100
• Sector: Communication Services
• Sector Strength: 79
• Industry: Advertising Agencies
• EPS (TTM): -0.28
• Shares Outstanding: 490,058,320
• 10 Day Avg. Volume: 3,297,305
• 30 Day Avg. Volume: 2,327,165
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.38
• Price to Cash Flow (P/CF): 4.90
• P/FCF Ratio: 0.00
• 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: $1.83
• Price Target Upside: 77.67% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4

Clear Channel Outdoor faces significant financial challenges with high debt and negative cash flows posing risks. While recent strategic divestitures and revenue growth in certain segments provide some optimism, the overall financial instability and bearish technical indicators significantly impact the stock's attractiveness.

Positive Factors

Ad revenue growth

The economic environment appears relatively stable and expansionary, which can be supportive of continued growth in ad budgets.

Digital investments

Investments in digital boards and other facets have helped support ad spend levels, which have continued to grow despite challenges facing other traditional media.

Market positioning

Clear Channel Outdoor Holdings has announced entry into a definitive agreement to sell their Europe North segment to Bauer Radio Limited for $625mn, or ~6.5x Adjusted EBITDA.

Negative Factors

Financial leverage

High financial leverage remains a risk.

Margin pressure

The NYC MTA roadside contract, along with the lapping of rent abatements in Airports, will both weigh on margins.

Sales process disruption

The sales process was certainly disrupted due to the geopolitical conflict and various macro challenges.

Clear Channel Outdoor Business Overview & Revenue Model

Company Description

Clear Channel Outdoor Holdings, Inc. (CCO) is a global leader in outdoor advertising, providing advertising solutions across airports, transit systems, and roadside billboards. With a presence in major markets around the world, CCO offers a wide range of advertising formats, including traditional billboards, digital displays, and experiential marketing opportunities. The company focuses on leveraging its extensive network of locations to deliver impactful advertising campaigns that reach large audiences effectively.

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 is facing significant financial challenges, characterized by declining revenue, high leverage, and persistent losses. The negative equity position and cash flow difficulties highlight the need for strategic restructuring and financial stabilization. The ongoing negative trends pose risks to financial sustainability without significant improvements.

Income Statement

Clear Channel Outdoor has been experiencing declining revenue over the past few years, with a significant drop in 2024. The company shows a negative EBIT and EBITDA, indicating operational challenges. The net profit margin is negative, which highlights ongoing unprofitability issues. The overall revenue growth rate has been negative, and the absence of gross profit margin calculations due to data constraints further complicates the financial outlook.

Balance Sheet

The balance sheet shows that Clear Channel Outdoor has a high debt load with a negative stockholders' equity, which is a significant concern. The debt-to-equity ratio is not calculable due to negative equity, indicating potential financial distress. The equity ratio is negative, reflecting financial instability and high leverage risks.

Cash Flow

The company's cash flow situation is concerning, with negative free cash flow across the periods. The operating cash flow to net income ratio underscores the negative cash generation from operations. There is also a substantial decline in free cash flow, indicating potential liquidity issues.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.51B	2.13B	2.48B	2.24B	1.85B
	Gross Profit
824.65M	1.03B	1.15B	970.86M	653.40M
	EBIT
279.18M	236.89M	231.54M	104.52M	-142.18M
	EBITDA
507.98M	488.94M	450.74M	497.64M	319.04M
	Net Income Common Stockholders
-179.25M	-310.92M	-94.39M	-433.12M	-600.23M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
109.71M	251.65M	286.78M	410.77M	785.31M
	Total Assets
4.80B	4.72B	5.09B	5.30B	5.76B
	Total Debt
7.02B	7.17B	7.13B	7.23B	7.26B
	Net Debt
6.91B	6.92B	6.84B	6.82B	6.47B
	Total Liabilities
8.44B	8.17B	8.35B	8.49B	8.54B
	Stockholders Equity
-3.64B	-3.46B	-3.26B	-3.19B	-2.78B
Cash Flow		Free Cash Flow
-62.65M	-147.48M	-44.69M	-281.50M	-261.97M
	Operating Cash Flow
79.75M	31.25M	139.99M	-133.50M	-137.81M
	Investing Cash Flow
-155.94M	-119.57M	-221.70M	-152.70M	94.52M
	Financing Cash Flow
-8.18M	45.64M	-32.72M	-85.24M	418.28M

Clear Channel Outdoor Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.03
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• 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 1.03 is below the 20-day moving average (MA) of 1.08, below the 50-day MA of 1.22, and below the 200-day MA of 1.45, indicating a bearish trend. The MACD of -0.07 indicates Negative momentum. The RSI at 43.37 is Neutral, neither overbought nor oversold. The STOCH value of 64.60 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	79 Outperform	$422.28M	6.77	16.75%	―	-33.07%	-43.07%
DDI	72 Outperform	$485.87M	3.93	15.08%	―	10.71%	21.74%
MCS	63 Neutral	$495.65M	―	-1.66%	1.75%	0.82%	-152.64%
Sector *	58 Neutral	$26.25B	2.79	-10.85%	4.33%	2.15%	-44.22%
THRY	52 Neutral	$493.56M	―	-42.46%	―	-10.12%	72.31%
NCMI	50 Neutral	$549.26M	―	-5.27%	0.52%	45.67%	-100.72%
CCO	34 Underperform	$504.76M	―	4.92%	―	-13.48%	55.39%

Clear Channel Outdoor Corporate Events

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.

Clear Channel Outdoor Sells Latin American Assets

On February 6, 2025, Clear Channel Outdoor Holdings, Inc. announced the completion of the sale of its businesses in Mexico, Peru, and Chile to Global Media US LLC for $20 million in cash, with an additional $1.25 million earn-out potential. This move is part of Clear Channel’s strategy to optimize its portfolio, improve liquidity, and focus on its American and Airport segments, while the sale of its remaining Latin American business in Brazil is ongoing.