Head to Head Contrast: Radio One (NASDAQ:UONEK) vs. Trade Desk (NASDAQ:TTD)

Radio One (NASDAQ:UONEK) and Trade Desk (NASDAQ:TTD) are both communication services companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, dividends, institutional ownership, risk, valuation, earnings and analyst recommendations.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Radio One and Trade Desk, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Radio One	1	0	0	0	1.00
Trade Desk	9	26	4	0	1.87

Trade Desk has a consensus target price of $18.52, indicating a potential upside of 18.10%. Given Trade Desk’s stronger consensus rating and higher probable upside, analysts plainly believe Trade Desk is more favorable than Radio One.

Insider & Institutional Ownership

19.7% of Radio One shares are held by institutional investors. Comparatively, 67.8% of Trade Desk shares are held by institutional investors. 50.5% of Radio One shares are held by company insiders. Comparatively, 11.7% of Trade Desk shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Risk & Volatility

Radio One has a beta of 0.25, suggesting that its stock price is 75% less volatile than the S&P 500. Comparatively, Trade Desk has a beta of 0.98, suggesting that its stock price is 2% less volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Radio One	-52.62%	-77.06%	-3.00%
Trade Desk	11.03%	14.36%	6.21%

Valuation and Earnings

This table compares Radio One and Trade Desk”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Radio One	$374.37 million	0.03	-$146.87 million	($40.90)	-0.06
Trade Desk	$2.99 billion	2.47	$443.30 million	$0.69	22.72

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

Summary

Trade Desk beats Radio One on 13 of the 14 factors compared between the two stocks.

About Radio One

Urban One, Inc., formerly known as Radio One, is a multimedia company focused on serving African American and urban audiences in the United States. The company operates radio stations in several major markets and provides music, news, talk, entertainment and community-oriented programming through its audio platforms. Its businesses also include television and digital media. Urban One owns and operates TV One, an entertainment and lifestyle network, and CLEO TV, which offers programming aimed primarily at multicultural women.

About Trade Desk

The Trade Desk, Inc. provides a technology platform that helps advertisers and advertising agencies plan, buy, and measure digital advertising. Its self-service platform uses automated, data-driven tools to help clients purchase advertising inventory across channels such as connected TV, mobile, audio, and display. The company also offers tools for campaign management, audience targeting, measurement, and access to data and advertising inventory. Its platform is designed to help clients manage campaigns across multiple media channels and publishers.