Why is Cumulus Media, Inc. ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 7.02 times
- The company has been able to generate a Return on Equity (avg) of 2.63% signifying low profitability per unit of shareholders funds
2
Flat results in Jun 25
- ROCE(HY) Lowest at -274.3%
- NET SALES(Q) Lowest at USD 186.02 MM
3
Risky - Negative Operating Profits
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -85.87%, its profits have fallen by -88.8%
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -85.87% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Media & Entertainment)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Cumulus Media, Inc. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Cumulus Media, Inc.
-86.17%
-0.67
142.13%
S&P 500
13.22%
0.61
20.17%
Quality key factors
Factor
Value
Sales Growth (5y)
-3.29%
EBIT Growth (5y)
-24.91%
EBIT to Interest (avg)
0.62
Debt to EBITDA (avg)
7.02
Net Debt to Equity (avg)
-25.80
Sales to Capital Employed (avg)
0.95
Tax Ratio
3.09%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
40.70%
ROCE (avg)
4.13%
ROE (avg)
2.63%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
-0.60
EV to EBIT
655.70
EV to EBITDA
9.94
EV to Capital Employed
1.06
EV to Sales
0.81
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
0.05%
ROE (Latest)
Negative BV
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
No Trend
Mildly Bearish
OBV
No Trend
Mildly Bullish
Technical Movement
9What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -6.39% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at -2,514.01 %
PRE-TAX PROFIT(Q)
At USD -8.63 MM has Grown at 65.24%
NET PROFIT(Q)
At USD -9 MM has Grown at 64.84%
-3What is not working for the Company
ROCE(HY)
Lowest at -274.3%
NET SALES(Q)
Lowest at USD 186.02 MM
Here's what is working for Cumulus Media, Inc.
Pre-Tax Profit
At USD -8.63 MM has Grown at 65.24%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
At USD -9 MM has Grown at 64.84%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
Debt-Equity Ratio
Lowest at -2,514.01 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -6.39% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Cumulus Media, Inc.
Net Sales
Lowest at USD 186.02 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (USD MM)






