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CMLSQ Stock Analysis - CUMULUS MEDIA INC AI Rating

CMLSQ OTC Radio Broadcasting Stations DE CIK: 0001058623
Recently Updated • Analysis: Mar 22, 2026 • SEC Data: 2025-09-30
AI Rating
STRONG SELL
92% Confidence

📊 CMLSQ Key Takeaways

Revenue: $553.6M
Net Margin: -11.8%
Free Cash Flow: $-23.6M
Current Ratio: 1.74x
Debt/Equity: N/A
EPS: $-3.78
AI Rating: STRONG SELL with 92% confidence

Investment Thesis

Cumulus Media exhibits severe financial distress with negative stockholders equity of -$56.9M, indicating the company is technically insolvent. The company is burning cash with negative operating cash flow of -$8.2M and negative free cash flow of -$23.6M, while carrying $697.1M in long-term debt that cannot be serviced given negative operating income of -$15.4M and an interest coverage ratio of -0.5x. Revenue is declining and the company is unprofitable with an -11.8% net margin, presenting an existential solvency risk.

CMLSQ Strengths

  • + Current ratio of 1.74x provides near-term liquidity cushion
  • + Cash position of $90.4M offers temporary runway for operations
  • + Radio broadcasting represents established industry with known business model

CMLSQ Risks

  • ! Negative stockholders equity of -$56.9M indicates technical insolvency and equity value destruction
  • ! Negative free cash flow of -$23.6M and negative operating cash flow unsustainable long-term
  • ! Debt-to-asset ratio of 63% with $697.1M long-term debt cannot be serviced given -$15.4M operating income and -0.5x interest coverage
  • ! Declining revenue (-2.1% YoY) in structurally challenged radio broadcasting industry
  • ! Negative net income of -$65.6M and deteriorating EPS trend (-145.8% YoY) signal operational deterioration
  • ! Zero insider buying activity suggests management has lost confidence in turnaround prospects

Key Metrics to Watch

CMLSQ Financial Metrics

Revenue
$553.6M
Net Income
$-65.6M
EPS (Diluted)
$-3.78
Free Cash Flow
$-23.6M
Total Assets
$1.1B
Cash Position
$90.4M

💡 AI Analyst Insight

CUMULUS MEDIA INC presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.

CMLSQ Profitability Ratios

Gross Margin N/A
Operating Margin -2.8%
Net Margin -11.8%
ROE N/A
ROA -6.1%
FCF Margin -4.3%

CMLSQ vs Default Sector

How CUMULUS MEDIA INC compares to Default sector averages

Net Margin
CMLSQ -11.8%
vs
Sector Avg 12.0%
CMLSQ Sector
ROE
CMLSQ 0.0%
vs
Sector Avg 15.0%
CMLSQ Sector
Current Ratio
CMLSQ 1.7x
vs
Sector Avg 1.8x
CMLSQ Sector
Debt/Equity
CMLSQ 0.0x
vs
Sector Avg 0.7x
CMLSQ Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

CMLSQ Balance Sheet & Liquidity

Current Ratio
1.74x
Quick Ratio
1.74x
Debt/Equity
N/A
Debt/Assets
105.3%
Interest Coverage
-0.47x
Long-term Debt
$697.1M

CMLSQ 5-Year Financial Trend

CMLSQ 5-year financial data: Year 2020: Revenue $1.1B, Net Income $61.3M, EPS $3.02. Year 2021: Revenue $916.5M, Net Income -$59.7M, EPS $-2.94. Year 2022: Revenue $953.5M, Net Income $17.3M, EPS $0.83. Year 2023: Revenue $953.5M, Net Income $16.2M, EPS $0.81. Year 2024: Revenue $844.5M, Net Income -$117.9M, EPS $-6.83.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: CUMULUS MEDIA INC's revenue has declined by 24% over the 5-year period, indicating business contraction. The most recent EPS of $-6.83 indicates the company is currently unprofitable.

CMLSQ Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-4.3%
Free cash flow / Revenue

CMLSQ Quarterly Performance

Quarterly financial performance data for CUMULUS MEDIA INC including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $180.3M -$10.3M $-0.61
Q2 2025 $186.0M -$12.8M $-0.74
Q1 2025 $187.3M -$14.2M $-0.85
Q3 2024 $203.6M -$1.1M $0.16
Q2 2024 $204.8M -$1.1M $-0.06
Q1 2024 $200.1M -$14.2M $-0.85
Q3 2023 $207.4M -$905.0K $0.16
Q2 2023 $210.1M -$905.0K $-0.06

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

CMLSQ Capital Allocation

Operating Cash Flow
-$8.2M
Cash generated from operations
Capital Expenditures
$15.5M
Investment in assets
Dividends
None
No dividend program

CMLSQ SEC Filings

Access official SEC EDGAR filings for CUMULUS MEDIA INC (CIK: 0001058623)

📋 Recent SEC Filings

Date Form Document Action
Mar 5, 2026 8-K tm267873d1_8k.htm View →
Jan 15, 2026 8-K cmls-20260114.htm View →
Oct 30, 2025 10-Q cmls-20250930.htm View →
Oct 30, 2025 8-K cmls-20251030.htm View →
Aug 7, 2025 10-Q cmls-20250630.htm View →

Frequently Asked Questions about CMLSQ

What is the AI rating for CMLSQ?

CUMULUS MEDIA INC (CMLSQ) has an AI rating of STRONG SELL with 92% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CMLSQ's key strengths?

Current ratio of 1.74x provides near-term liquidity cushion. Cash position of $90.4M offers temporary runway for operations.

What are the risks of investing in CMLSQ?

Negative stockholders equity of -$56.9M indicates technical insolvency and equity value destruction. Negative free cash flow of -$23.6M and negative operating cash flow unsustainable long-term.

What is CMLSQ's revenue and growth?

CUMULUS MEDIA INC reported revenue of $553.6M.

Does CMLSQ pay dividends?

CUMULUS MEDIA INC does not currently pay dividends.

Where can I find CMLSQ SEC filings?

Official SEC filings for CUMULUS MEDIA INC (CIK: 0001058623) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CMLSQ's EPS?

CUMULUS MEDIA INC has a diluted EPS of $-3.78.

How is the AI analysis conducted?

Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 22, 2026 | Data as of: 2025-09-30 | Powered by Claude AI