Barrington Research has adjusted its outlook on Clear Channel Outdoor (CCO, Financial), moving its rating from "Outperform" to "Market Perform." This decision comes ahead of the company's first-quarter financial report.
The firm acknowledges Clear Channel’s strategic position within a highly appealing market segment but highlights potential challenges due to its financial leverage. This leverage is seen as a risk factor, especially given the current uncertain economic climate.
Looking ahead, Clear Channel continues to grapple with significant debt obligations. The company aims to reduce this debt, which is necessary before transitioning to a more tax-efficient business structure, according to the analyst's note.
