One-glance verdict
Undervalued
$9.44 our estimate vs market $6.32
33% below our estimate, below the bear case
Fundamentals snapshot
Entravision Communications Corporation
EVC · NYQ · Communication Services · Advertising Agencies
Current price
$6.32
52-week range
$1.95 - $13.74
Market cap
$583.26M
Balance sheet
Distressed
0.04x Concerning
Net debt $122.89M. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
2 Risks
3 rewards · 2 risks
- Reward Revenue grew 51.9% last year.
- Reward Returns 5.7% on equity, ahead of 60% of its peers.
- Risk Stock trades 1282.5% above its 5-year average P/E.
- Risk Net debt grew 43.2% over 3 years.
What this company does
Entravision Communications Corporation
Entravision Communications is a global advertising company that helps other businesses find customers through TV, radio, and especially online platforms like TikTok and Netflix. It makes most of its money by creating and managing digital advertising campaigns for clients, placing ads everywhere from social media to mobile gaming apps. The company's success is therefore closely linked to the overall amount businesses are willing to spend on digital advertising to reach new people.
How the company got here
Entravision was founded in 1996 to serve the growing Hispanic population in the United States through television and radio stations. For many years, it focused on expanding its network of Spanish-language TV and radio stations, becoming the largest affiliate group of major networks like Univision and UniMás. Starting in the 2010s, the company began a major shift, transforming itself into a global advertising technology company through strategic acquisitions. This pivot has reshaped the company from a traditional broadcaster into a business where digital advertising technology now drives the majority of its growth.
What it actually does
Entravision helps businesses reach customers through two main avenues: traditional media and modern digital advertising. On the media side, it owns and operates TV and radio stations, primarily in Spanish, that show news and entertainment, earning money by selling advertising spots to local and national businesses. On the digital side, it provides powerful, automated advertising services that help companies, especially mobile app developers, find new users around the world using artificial intelligence. Think of it as having one foot in traditional TV and radio commercials and the other in the high-tech world of online and mobile app ads.
Media
This is Entravision's original business, focused on the Latino community in the U.S. It includes a network of television and radio stations that broadcast news, music, and entertainment in Spanish. Businesses pay Entravision to run commercials and advertisements on these stations to reach their Spanish-speaking customers. While this was once the core of the company, it is now the smaller part of the business and has been facing the same challenges as the broader broadcast industry.
Advertising Technology & Services (ATS)
This is the new, high-growth engine of the company and now makes up the majority of its revenue. This segment provides sophisticated digital advertising tools, like its Smadex platform, that help businesses run targeted ad campaigns online and on mobile devices. Companies, particularly those with mobile games or apps, pay Entravision to use this technology to find and attract new users efficiently, a service known as user acquisition. This part of the business is global and has seen explosive growth, fundamentally changing what Entravision is today.
What management is betting on now
Management's top priority is to continue investing in and expanding its Advertising Technology & Services (ATS) business. They are heavily focused on enhancing the artificial intelligence (AI) capabilities of their advertising platforms to deliver better results for clients and attract larger customers. While the traditional media segment is still part of the company, the clear bet for the future is on growing the high-tech, global digital advertising side of the house. The company is also focused on a disciplined capital allocation strategy (how a company decides to spend its money), which includes reducing debt and paying a consistent dividend (a portion of a company's profits paid out to shareholders).
Price history
How the share price has moved
—
Loading price history…
Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q3
$9.30M
FY2024 Q4
$10.61M
FY2025 Q1
$-17.89M
FY2025 Q2
$5.67M
FY2025 Q3
$7.06M
FY2025 Q4
$8.67M
FY2026 Q1
$18.15M
FY2026 Q2
$20.45M
Revenue
$227.90M
Net income
—
Diluted EPS
0.19
Operating cash flow
$23.77M
Free cash flow
$20.45M
Fetching…
Sources
Revenue
$196.97M
Net income
—
Diluted EPS
0.13
Operating cash flow
$21.78M
Free cash flow
$18.15M
Fetching…
Sources
Revenue
$134.38M
Net income
—
Diluted EPS
-0.19
Operating cash flow
$9.79M
Free cash flow
$8.67M
Fetching…
Sources
Revenue
$120.63M
Net income
—
Diluted EPS
-0.11
Operating cash flow
$8.28M
Free cash flow
$7.06M
Fetching…
Sources
Revenue
$100.73M
Net income
—
Diluted EPS
-0.04
Operating cash flow
$7.83M
Free cash flow
$5.67M
Fetching…
Sources
Revenue
$91.85M
Net income
—
Diluted EPS
-0.53
Operating cash flow
$-15.24M
Free cash flow
$-17.89M
Fetching…
Sources
Revenue
$-92.31M
Net income
—
Diluted EPS
-0.63
Operating cash flow
$12.78M
Free cash flow
$10.61M
Fetching…
Sources
Revenue
$97.16M
Net income
—
Diluted EPS
-0.13
Operating cash flow
$10.85M
Free cash flow
$9.30M
Fetching…
Sources
Is it cheap or expensive?
Fair value $9.44 vs current price $6.32
Our most-likely fair value is $9.44 a share — about 49.4% above today's price of $6.32, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Distressed
Net debt $122.9M. Interest coverage 0.0x.
Net debt
$122.89M
Interest coverage
0.04x
Entravision Communications Corporation's profit covers its interest bill about 0.0 times over. and 2 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Distressed
Worse cushion
Baseline
Better cushion
EVC
BASELINE
Entravision Communications Corporation
Total debt $206.27M Interest coverage 0.04x This is the baseline the peer rows are being compared against.
Total debt $1.71B Interest coverage 1.65x +4,513% vs EVC Carries about 46.1x more debt cushion than EVC.
Total debt $77.66M Interest coverage 8.06x +22,398% vs EVC Carries about 225.0x more debt cushion than EVC.
Total debt $356.09M Interest coverage 0.58x +1,521% vs EVC Carries about 16.2x more debt cushion than EVC.
Total debt $22.09M Interest coverage -20.30x -100% vs EVC This peer has almost no interest-payment cushion compared with EVC.
Total debt $488.19M Interest coverage 1.29x +3,501% vs EVC Carries about 36.0x more debt cushion than EVC.
What you should know
The case for and against EVC
3 Rewards
2 Risks
Rewards
-
Revenue grew 51.9% last year.
-
Returns 5.7% on equity, ahead of 60% of its peers.
-
Free cash flow was positive in 10/10 years.
Risks
-
Stock trades 1282.5% above its 5-year average P/E.
-
Net debt grew 43.2% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
316.00x
Forward P/E
-33.26x
P/B
6.98x
P/S
0.86x
EV/EBITDA
10.02x
PEG ratio
6.43x
Profitability
How much profit each dollar creates
Gross margin
25.6%
Operating margin
13.3%
Net margin
0.6%
ROE
5.7%
ROA
8.3%
Health
Liquidity and balance-sheet strength
Debt / equity
2.47x
Current ratio
1.48x
Quick ratio
1.31x
Total debt
$206.27M
Total cash
$83.38M
Growth
How the business has been compounding
Revenue TTM
$679.88M
Revenue 5Y CAGR
-12.4%
EPS TTM
0.02
EPS 5Y CAGR
—
Cash flow
How much cash the business throws off
Operating CF TTM
$63.62M
Free CF TTM
$3.51M
FCF margin
0.5%
Dividend
Shareholder payout
Yield
3.2%
Payout ratio
1,084.1%
Last ex-div date
2026-09-16