BBGI BEASLEY BROADCAST GROUP INC

Nasdaq Radio Broadcasting Stations DE CIK: 0001099160
AI RATING
STRONG_SELL
97% Confidence

Investment Thesis

Beasley faces existential financial distress with negative stockholders' equity of -$49.3M, operating losses of -$111.5% margin, and negative free cash flow of -$13.3M that will deplete remaining cash reserves within months. With $235.3M in debt, only $9.9M in cash, and inability to service interest (-17.4x coverage), the company is functionally insolvent and at severe risk of bankruptcy or debt restructuring.

Strengths

  • + Maintains minimal positive liquidity with 1.00x current ratio providing short-term survival buffer
  • + Established broadcasting market presence with infrastructure assets of $299.3M
  • + No insider selling pressure in past 90 days suggests stabilization attempts may be underway

Risks

  • ! Negative stockholders' equity of -$49.3M indicates technical insolvency; liabilities exceed assets by $49.3M
  • ! Negative operating cash flow of -$8.5M with -$13.3M FCF will exhaust $9.9M cash reserves within months
  • ! Long-term debt of $235.3M is unserviceable with negative operating income and -17.4x interest coverage ratio
  • ! Revenue declining 14.3% YoY in capital-intensive business indicates structural demand deterioration
  • ! Operating margin of -111.5% demonstrates fundamentally broken business model

Key Metrics to Watch

Financial Metrics

Revenue
205.9M
Net Income
-196.5M
EPS (Diluted)
$-109.27
Free Cash Flow
-13.3M
Total Assets
299.3M
Cash
9.9M

Profitability Ratios

Gross Margin N/A
Operating Margin -111.5%
Net Margin -95.4%
ROE N/A
ROA -65.7%
FCF Margin -6.5%

Balance Sheet & Liquidity

Current Ratio
1.00x
Quick Ratio
1.00x
Debt/Equity
N/A
Debt/Assets
116.5%
Interest Coverage
-17.36x
Long-term Debt
235.3M
Disclaimer: This analysis is generated by 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 before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: 2026-05-15T08:45:31.234594 | Data as of: 2025-12-31 | Powered by Claude AI