Radio One (NASDAQ:UONEK – Get Free Report) and Creative Realities (NASDAQ:CREX – Get Free Report) are both small-cap communication services companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, valuation, profitability, institutional ownership, risk, analyst recommendations and earnings.
Institutional & Insider Ownership
19.7% of Radio One shares are held by institutional investors. Comparatively, 41.3% of Creative Realities shares are held by institutional investors. 50.5% of Radio One shares are held by insiders. Comparatively, 26.8% of Creative Realities shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Valuation & Earnings
This table compares Radio One and Creative Realities”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Radio One | $374.37 million | 0.05 | -$146.87 million | ($15.11) | -0.25 |
| Creative Realities | $72.32 million | 0.40 | -$8.28 million | ($2.11) | -1.02 |
Creative Realities has lower revenue, but higher earnings than Radio One. Creative Realities is trading at a lower price-to-earnings ratio than Radio One, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a breakdown of current ratings for Radio One and Creative Realities, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Radio One | 1 | 0 | 0 | 0 | 1.00 |
| Creative Realities | 1 | 1 | 2 | 0 | 2.25 |
Creative Realities has a consensus target price of $8.00, indicating a potential upside of 272.09%. Given Creative Realities’ stronger consensus rating and higher probable upside, analysts clearly believe Creative Realities is more favorable than Radio One.
Profitability
This table compares Radio One and Creative Realities’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Radio One | -19.04% | -7.13% | -0.43% |
| Creative Realities | -29.29% | -88.21% | -13.51% |
Risk & Volatility
Radio One has a beta of 0.28, meaning that its stock price is 72% less volatile than the S&P 500. Comparatively, Creative Realities has a beta of 1.52, meaning that its stock price is 52% more volatile than the S&P 500.
Summary
Creative Realities beats Radio One on 8 of the 14 factors compared between the two stocks.
About Radio One
Urban One, Inc., together with its subsidiaries, operates as an urban-oriented multi-media company in the United States. The company operates through four segments: Radio Broadcasting, Cable Television, Reach Media, and Digital. The Radio Broadcasting segment includes radio broadcasting operations that primarily target African-American and urban listeners. As of April 30, 2023, it owned and/or operated 66 broadcast stations, including 55 FM or AM stations, 9 HD stations, and the 2 low power television stations under the Radio One tradename located in 13 urban markets. The Cable Television segment operates TV One, an African-American targeted cable television network; and CLEO TV, a lifestyle and entertainment network. The Reach Media segment operates syndicated programming, including the Get Up! Mornings with Erica Campbell Show, Rickey Smiley Morning Show, the Russ Parr Morning Show, and the DL Hughley Show. This segment also operates BlackAmericaWeb.com, an African-American targeted news and entertainment website, as well as other event related activities. The Digital segment owns Interactive One, a digital platform serving the African-American community through social content, news, information, and entertainment websites, including Cassius and Bossip, HipHopWired, and MadameNoire digital platforms and brands. The company was formerly known as Radio One, Inc. and changed its name to Urban One, Inc. in May 2017. Urban One, Inc. was founded in 1980 and is based in Silver Spring, Maryland.
About Creative Realities
Creative Realities, Inc., together with its subsidiaries, provides digital marketing technology and solutions in the United States and internationally. It offers digital signage and media solutions to enhance communications in a wide-ranging variety of out-of-home environments. The company’s solutions include digital merchandising systems and omni-channel customer engagement systems; interactive digital shopping assistants; advisors and kiosks; and other interactive marketing technologies, such as mobile, social media, point-of-sale transactions, beaconing, and web-based media that enables its customers to engage with their consumers. It also provides hardware system design/engineering, hardware installation, content development, content scheduling, post-deployment network and field support, and media sales, as well as media management and distribution software platforms and networks; device and product management; and customized software service layers, systems, experiences, workflows, and integrated solutions. The company sells its solutions to the automotive, retail, digital out of home comprising advertising networks and retail media networks, foodservice/quick-serve restaurants, financial services, gaming, and sports and entertainment venues. Creative Realities, Inc. is headquartered in Louisville, Kentucky.
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