Comparing Radio One (NASDAQ:UONEK) & Harte Hanks (NASDAQ:HHS)

Harte Hanks (NASDAQ:HHS) and Radio One (NASDAQ:UONEK) 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 analyst recommendations, institutional ownership, dividends, risk, profitability, valuation and earnings.

Valuation and Earnings

This table compares Harte Hanks and Radio One”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Harte Hanks	$154.63 million	0.19	-$810,000.00	($0.76)	-5.26
Radio One	$353.91 million	0.05	-$146.87 million	($15.11)	-0.25

Harte Hanks has higher earnings, but lower revenue than Radio One. Harte Hanks is trading at a lower price-to-earnings ratio than Radio One, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

33.8% of Harte Hanks shares are owned by institutional investors. Comparatively, 19.7% of Radio One shares are owned by institutional investors. 9.6% of Harte Hanks shares are owned by insiders. Comparatively, 50.5% of Radio One shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Harte Hanks and Radio One, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Harte Hanks	1	0	0	0	1.00
Radio One	1	0	0	0	1.00

Profitability

This table compares Harte Hanks and Radio One’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Harte Hanks	-3.70%	-30.14%	-6.30%
Radio One	-19.04%	-7.13%	-0.43%

Risk and Volatility

Harte Hanks has a beta of 0.17, suggesting that its stock price is 83% less volatile than the S&P 500. Comparatively, Radio One has a beta of 0.28, suggesting that its stock price is 72% less volatile than the S&P 500.

Summary

Radio One beats Harte Hanks on 6 of the 11 factors compared between the two stocks.

About Harte Hanks

Harte-Hanks, Inc. engages in the provision of marketing solutions. It specializes in consulting, data analytics, creative services, digital and social media, marketing strategy, marketing technology, and other related services. It supports a range of customers in the field of technology, travel and leisure, entertainment, pharmaceuticals, automotive, finance, and retail. The company was founded in 1923 and is headquartered in San Antonio, TX.

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.