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Urban One Inc (UONE)
NASDAQ:UONE
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Urban One
(NASDAQ:UONE)
49Neutral
Urban One (UONE) vs. S&P 500 (SPY)
Market Cap
$36.88M
Dividend YieldN/A
Average Volume (3M)24.05K
Price to Earnings (P/E)―
Beta (1Y)0.62
Revenue Growth-5.86%
EPS Growth-4497.25%
CountryUS
Employees962
SectorCommunication Services
Sector Strength82
IndustryBroadcasting
Share Statistics
EPS (TTM)-0.26
Shares Outstanding7,434,344
10 Day Avg. Volume40,932
30 Day Avg. Volume24,054
Financial Highlights & Ratios
PEG Ratio0.02
Price to Book (P/B)0.44
Price to Sales (P/S)0.00
P/FCF Ratio1.26
Enterprise Value/Market Cap13.87
Enterprise Value/Revenue0.28
Enterprise Value/Gross Profit1.66
Enterprise Value/Ebitda4.14
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
Urban One Business Overview & Revenue Model
Company DescriptionUrban One, Inc. (UONE) is a diversified media company primarily serving African-American and urban audiences. Founded in 1980, it operates across several sectors including radio broadcasting, cable television networks, digital media, and event production. The company's core offerings include owning and operating radio stations, producing original television programming, and delivering online content through its digital platforms. Urban One is committed to providing culturally relevant content and entertainment that resonates with its audience.
How the Company Makes MoneyUrban One makes money through multiple revenue streams primarily driven by advertising sales across its radio, television, and digital media platforms. The company owns and operates numerous radio stations, making it one of the largest radio broadcasting companies targeting African-American audiences. Advertising revenue from these stations is a significant contributor to its earnings. Additionally, Urban One generates income from its cable television networks, such as TV One, where it earns through advertising and affiliate fees from cable operators. The company's digital presence also supports its revenue model by attracting advertising partners seeking to reach urban audiences online. Furthermore, Urban One leverages event production, producing and hosting events that generate ticket sales and sponsorship deals. Strategic partnerships and collaborations with other media companies enhance its ability to monetize content and expand its reach.
Urban One Financial Statement Overview
Summary
Urban One is experiencing financial difficulties characterized by declining revenues and profitability, evidenced by negative margins and net losses. The high leverage in the balance sheet increases financial risk, although cash flow generation remains positive but weakened. The company needs to address profitability challenges and high leverage to improve its financial health.Income Statement
Urban One's revenue has declined over the TTM (Trailing-Twelve-Months), with a revenue decrease from $477.69 million in 2023 to $449.67 million in 2024. The company is facing profitability challenges, evidenced by negative EBIT and EBITDA margins of -16.8% and -3.0%, respectively. The gross profit margin remains relatively stable at 68.6%, but the net profit margin has turned negative at -23.4%. These factors indicate pressure on profitability and efficiency.35
Negative
Balance Sheet
The company has a high debt-to-equity ratio of 3.57, reflecting significant leverage that could pose financial risk. Stockholders' equity has decreased, and the equity ratio is at 18.1%. ROE is negative, impacted by a net loss, indicating challenges in generating returns for shareholders. The balance sheet reflects high leverage and a need for improved equity and asset management.45
Neutral
Cash Flow
Operating cash flow is positive at $37.48 million, but has decreased from the previous year. However, free cash flow remains positive at $30.00 million, indicating some cash generation ability. The operating cash flow to net income ratio is negative due to net losses, highlighting potential cash flow challenges amidst profitability issues.50
Neutral
| Breakdown | ||||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 449.67M | 477.69M | 484.60M | 441.46M | 376.34M | Gross Profit |
| 314.34M | 340.67M | 361.97M | 322.39M | 272.52M | EBIT |
| -75.58M | -31.57M | 152.39M | 118.54M | 120.76M | EBITDA |
| 13.55M | 145.24M | 181.49M | 183.65M | 89.62M | Net Income Common Stockholders |
| -105.39M | 2.05M | 34.34M | 36.79M | -6.57M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 137.09M | 233.09M | 75.40M | 152.22M | 73.86M | Total Assets |
| 944.79M | 1.21B | 1.34B | 1.26B | 1.20B | Total Debt |
| 610.87M | 749.27M | 773.24M | 859.92M | 887.79M | Net Debt |
| 473.78M | 516.18M | 697.83M | 707.70M | 813.93M | Total Liabilities |
| 765.86M | 920.59M | 979.42M | 1.26B | 1.20B | Stockholders Equity |
| 178.93M | 274.06M | 333.77M | 254.12M | 186.90M |
| Cash Flow | Free Cash Flow | |||
| 30.25M | 29.47M | 35.30M | 73.86M | 69.59M | Operating Cash Flow |
| 37.48M | 64.64M | 67.06M | 80.15M | 73.87M | Investing Cash Flow |
| -1.64M | 95.36M | -28.68M | 1.71M | -3.41M | Financing Cash Flow |
| -124.23M | -28.31M | -95.22M | -3.50M | -30.14M |
Urban One Technical Analysis
Positive
1.64
Price Trends
1.42
Positive
1.44
Positive
1.59
Positive
Market Momentum
0.06
Negative
63.27
Neutral
76.19
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UONE, the sentiment is Positive. The current price of 1.64 is above the 20-day moving average (MA) of 1.48, above the 50-day MA of 1.42, and above the 200-day MA of 1.59, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 63.27 is Neutral, neither overbought nor oversold. The STOCH value of 76.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for UONE.
Urban One Risk Analysis
Urban One disclosed 36 risk factors in its most recent earnings report. Urban One reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Urban One Peers Comparison
Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
66 Neutral | $73.50M | 20.47 | 2.06% | 8.76% | -1.65% | -51.45% | |
60 Neutral | $13.80B | 7.25 | -2.76% | 3.77% | 2.19% | -42.55% | |
49 Neutral | $36.88M | ― | -56.08% | ― | -5.86% | -4497.25% | |
43 Neutral | $10.28M | 3.37 | -5.85% | ― | -3.65% | 89.15% | |
35 Underperform | $15.00M | ― | -243.54% | ― | -2.92% | -165.37% | |
34 Underperform | $178.07M | ― | 86.54% | ― | 3.31% | -39.47% |
* Communication Services Sector Average
Performance Comparison
UONE
Urban One
1.64
-0.47
-22.27%
BBGI
Beasley Broadcast Group
5.62
-9.17
-62.00%
CMLS
Cumulus Media
0.13
-2.66
-95.34%
SGA
Saga Communications
11.97
-6.72
-35.96%
IHRT
iHeartMedia
1.23
-0.03
-2.38%
Urban One Earnings Call Summary
Earnings Call Date:May 13, 2025
(Q1-2025)
| % Change Since: -2.38%|
Next Earnings Date:Jul 31, 2025
Earnings Call Sentiment Neutral
Urban One's earnings call reflected a challenging financial environment with significant revenue declines across segments. However, the company has implemented effective cost control and debt reduction strategies while stabilizing TV ratings and achieving growth in select advertising categories. Despite these efforts, the overall financial performance remains pressured, with a substantial net loss and declines in key revenue areas.Q1-2025 Updates
Positive Updates
Debt Reduction Strategy
Urban One reduced its gross debt to $495.9 million by buying back $88.6 million of debt at an average price of 53.9%, maintaining a strong liquidity position with $80 million cash on hand and an undrawn revolver.
Cost Control Measures
Operating expenses decreased by 8.6% year-over-year, primarily due to lower third-party professional fees, content expenses, and employee compensation costs.
Stabilization in TV Ratings
TV One ratings have stabilized in Q1 and Q2, maintaining levels that were budgeted for, with CLEO TV showing a 29% increase in total day persons 25-54 delivery.
Increase in Service and Travel Advertising
The largest radio ad category, services, increased by 11%, driven by legal services, while travel and transportation saw a 17% increase.
Negative Updates
Overall Revenue Decline
Consolidated net revenue was $92.2 million, down 11.7% year-over-year. Radio Broadcasting segment revenue decreased by 10.3%, and Digital segment revenue fell by 16.2%.
Radio and Digital Advertising Weakness
Radio pacings are down about 9%, with national ad sales down 14.6%. Digital segment had adjusted EBITDA of $58,000 compared to $2.3 million in the prior year.
Cable TV Revenue Decline
Cable television segment revenue decreased by 7.9% with advertising revenue down 6.3% and affiliate revenue down by 10% due to subscriber churn.
Net Loss and Impairments
The company reported a net loss of approximately $11.7 million and recorded $6.4 million in non-cash impairments against FCC licenses.
Company Guidance
During the Urban One 2025 First Quarter Earnings Call, the company reaffirmed its guidance of $75 million in EBITDA for the year, reflecting a decline from the $103 million EBITDA in 2024, which included a $10 million non-cash adjustment. The guidance incorporates a decrease in Q1 consolidated net revenue to $92.2 million, down 11.7% year-over-year, and a reduction in radio broadcasting revenue by 10.3%. Despite a 9% drop in Q2 radio pacings, TV ratings have stabilized, aligning with budget expectations. Urban One has proactively managed its financial position by repurchasing $88.6 million of debt, reducing gross debt to $495.9 million, and maintaining $80 million in cash with an undrawn revolver. The company reported a net loss of $11.7 million, or $0.26 per share, compared to a net income of $7.5 million in Q1 2024. Operating expenses decreased by 8.6% from the previous year, primarily due to cost-cutting measures and lower third-party fees. Urban One remains focused on cost controls, leverage management, and liquidity enhancement in a challenging economic environment.Urban One Corporate Events
Business Operations and StrategyFinancial Disclosures
Urban One Faces Revenue Decline, Reaffirms 2025 Guidance
Negative
May 13, 2025
Urban One reported a challenging first quarter for 2025, with net revenue of approximately $92.2 million, marking an 11.7% decrease from the same period in 2024. The company experienced a net loss of $11.7 million compared to a net income of $7.5 million in the previous year. Despite these setbacks, Urban One reaffirmed its full-year guidance of $75 million in Adjusted EBITDA and emphasized its ongoing efforts in debt reduction, with net debt standing at approximately $496 million as of May 13, 2025. The company continues to focus on a disciplined capital allocation strategy, prioritizing debt management and corporate development opportunities amid a challenging market environment.
Spark’s Take on UONE Stock
According to Spark, TipRanks’ AI Analyst, UONE is a Neutral.
Urban One’s overall stock score reflects substantial financial challenges, with declining revenues and negative profitability margins. The high leverage and negative P/E ratio indicate elevated financial risk and poor valuation. Despite some positive technical indicators, caution is advised due to potentially overbought conditions. The company’s guidance and strategic focus on cost containment and debt reduction offer some assurance, but significant operational challenges remain.
To see Spark’s full report on UONE stock, click here.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.