(CCO) Clear Channel Outdoor - Overview
Sector: Communication Services | Industry: Advertising Agencies | Exchange: NYSE (USA) | Market Cap: 1.216m USD | Total Return: 125.2% in 12m
Avg Turnover: 11.8M
Qual. Beats: 0
Rev. Trend: -89.4%
Qual. Beats: 0
Warnings
Negative Equity with losses - insolvent profile
High Debt/EBITDA (16.8) with thin interest coverage (1.4)
Altman Z'' -6.40 < 1.0 - financial distress zone
Tailwinds
Rs Leader, Idiosyncratic Leader
Clear Channel Outdoor Holdings, Inc. (CCO) is an out-of-home (OOH) advertising provider operating primarily in the United States and Singapore. The company manages a diverse portfolio of physical and digital assets, including billboards, street furniture, transit displays, and airport advertising platforms. Its business model relies on the leasing of high-visibility space to brands, utilizing a proprietary data suite titled RADAR for audience planning, mobile integration, and campaign attribution.
The OOH sector is characterized by high barriers to entry due to local zoning regulations and long-term site leases, which limit the available inventory for new competitors. Unlike digital or television advertising, physical OOH media cannot be skipped or blocked by consumers, maintaining its relevance in fragmented media markets. Investors can find deeper insights into these industry dynamics and valuation metrics on ValueRay.
The company operates through two main segments, America and Airports, and maintains strategic content partnerships to deliver real-time digital updates across its network. Formerly known as Eller Media Company, the San Antonio-based firm has transitioned from traditional static displays to an integrated digital-first approach that incorporates mobile location data for precise targeting.
- Divestiture of European assets reduces debt load and focuses operational capital
- High interest rates increase debt servicing costs for highly leveraged balance sheet
- Digital billboard conversions drive higher yield and dynamic pricing across core markets
- Domestic advertising demand fluctuates based on national macroeconomic and consumer spending trends
- Airport contract renewals and passenger traffic volume dictate high-margin transit revenue growth
| Net Income: -205.4m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA 1.07 > 1.0 |
| NWC/Revenue: 8.98% < 20% (prev 17.01%; Δ -8.03% < -1%) |
| CFO/TA 0.03 > 3% & CFO 103.2m > Net Income -205.4m |
| Net Debt (7.60b) to EBITDA (452.9m): 16.78 < 3 |
| Current Ratio: 1.25 > 1.5 & < 3 |
| Outstanding Shares: last quarter (498.4m) vs 12m ago 1.65% < -2% |
| Gross Margin: 48.55% > 18% (prev 0.54%; Δ 4.80k% > 0.5%) |
| Asset Turnover: 42.62% > 50% (prev 37.90%; Δ 4.72% > 0%) |
| Interest Coverage Ratio: 1.41 > 6 (EBITDA TTM 452.9m / Interest Expense TTM 197.8m) |
| A: 0.04 (Total Current Assets 733.8m - Total Current Liabilities 586.1m) / Total Assets 3.72b |
| B: -1.88 (Retained Earnings -6.99b / Total Assets 3.72b) |
| C: 0.07 (EBIT TTM 279.4m / Avg Total Assets 3.86b) |
| D: -0.98 (Book Value of Equity -7.04b / Total Liabilities 7.16b) |
| Altman-Z'' = -6.40 = D |
| DSRI: 1.08 (Receivables 345.7m/294.0m, Revenue 1.64b/1.51b) |
| GMI: 1.11 (GM 48.55% / 54.12%) |
| AQI: 1.24 (AQ_t 0.42 / AQ_t-1 0.34) |
| SGI: 1.09 (Revenue 1.64b / 1.51b) |
| TATA: -0.08 (NI -205.4m - CFO 103.2m) / TA 3.72b) |
| Beneish M = -2.74 (Cap -4..+1) = A |
As of May 30, 2026, the stock is trading at USD 2.41 with a total of 5,988,912 shares traded.
Over the past week, the price has changed by +0.42%,
over one month by +0.42%,
over three months by +0.42% and
over the past year by +125.23%.
Clear Channel Outdoor has received a consensus analysts rating of 3.17. Therefore, it is recommended to hold CCO.
- StrongBuy: 1
- Buy: 0
- Hold: 4
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 2.4 | 0.8% |
P/E Forward = 114.9425
P/S = 0.74
P/EG = 16.5714
Revenue TTM = 1.64b USD
EBIT TTM = 279.4m USD
EBITDA TTM = 452.9m USD
Long Term Debt = 5.10b USD (from longTermDebt, last quarter)
Short Term Debt = 132.1m USD (from shortTermDebt, last quarter)
Debt = 7.78b USD (from shortLongTermDebtTotal, last quarter) + Leases 1.34b
Net Debt = 7.60b USD (calculated: Debt 7.78b - CCE 182.4m)
Enterprise Value = 8.81b USD (1.22b + Debt 7.78b - CCE 182.4m)
Interest Coverage Ratio = 1.41 (Ebit TTM 279.4m / Interest Expense TTM 197.8m)
EV/FCF = 308.1x (Enterprise Value 8.81b / FCF TTM 28.6m)
FCF Yield = 0.32% (FCF TTM 28.6m / Enterprise Value 8.81b)
FCF Margin = 1.74% (FCF TTM 28.6m / Revenue TTM 1.64b)
Net Margin = -12.50% (Net Income TTM -205.4m / Revenue TTM 1.64b)
Gross Margin = 48.55% ((Revenue TTM 1.64b - Cost of Revenue TTM 845.7m) / Revenue TTM)
Gross Margin QoQ = 40.72% (prev 44.93%)
Tobins Q-Ratio = 2.37 (Enterprise Value 8.81b / Total Assets 3.72b)
Interest Expense / Debt = 2.54% (Interest Expense 197.8m / Debt 7.78b)
Taxrate = 21.0% (US default 21%)
NOPAT = 220.7m (EBIT 279.4m * (1 - 21.00%))
Current Ratio = 1.25 (Total Current Assets 733.8m / Total Current Liabilities 586.1m)
Debt / Equity = -2.26 (negative equity) (Debt 7.78b / totalStockholderEquity, last quarter -3.44b)
Debt / EBITDA = 16.78 (Net Debt 7.60b / EBITDA 452.9m)
Debt / FCF = 265.6 (Net Debt 7.60b / FCF TTM 28.6m)
Total Stockholder Equity = -3.43b (last 4 quarters mean from totalStockholderEquity)
RoA = -5.33% (Net Income -205.4m / Total Assets 3.72b)
RoE = -5.77% (Net Income TTM -205.4m / Total Stockholder Equity 3.56b)
RoCE = 3.22% (EBIT 279.4m / Capital Employed (Equity 3.56b + L.T.Debt 5.10b))
RoIC = 6.80% (NOPAT 220.7m / Invested Capital 3.25b)
WACC = 3.27% (E(1.22b)/V(9.00b) * Re(11.37%) + D(7.78b)/V(9.00b) * Rd(2.54%) * (1-Tc(0.21)))
Discount Rate = 11.37% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 74.00 | Cagr: 0.84%
[DCF] Terminal Value 75.44% ; FCFF base≈28.6m ; Y1≈28.7m ; Y5≈30.4m
[DCF] Fair Price = N/A (negative equity: EV 473.2m - Net Debt 7.60b = -7.12b; debt exceeds intrinsic value)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.08 | # QB: 0
Revenue Correlation: -89.40 | Revenue CAGR: -14.02% | SUE: 0.10 | # QB: 0
EPS current Quarter (2026-06-30): EPS=-0.01 | Chg30d=N/A | Revisions=+0% | Analysts=2
EPS next Quarter (2026-09-30): EPS=-0.01 | Chg30d=N/A | Revisions=-20% | Analysts=2
EPS current Year (2026-12-31): EPS=-0.08 | Chg30d=+8.73% | Revisions=+33% | GrowthEPS=-305.3% | GrowthRev=+6.6%
EPS next Year (2027-12-31): EPS=0.03 | Chg30d=N/A | Revisions=+20% | GrowthEPS=+136.4% | GrowthRev=+2.4%
[Analyst] Revisions Ratio: +33%