iHeartMedia Stock Drops 6.4% After Q4 Loss and Weak $800M EBITDA Guidance
iHeartMedia shares fell 6.4% after Q4 revenue of $1.13B matched year-ago levels while GAAP loss per share reached $0.27 versus a $0.13 profit forecast and operating margin fell to 7.6% from 9.3%. The company set 2026 Adjusted EBITDA guidance at about $800M versus $861.7M consensus, reinforcing concerns over future profitability.
1. Q4 Financial Results
iHeartMedia reported fourth-quarter revenue of $1.13B, flat year over year and slightly above analyst forecasts. The company posted a GAAP loss per share of $0.27 versus an expected $0.13 profit and saw operating margin contract to 7.6% from 9.3%.
2. FY2026 EBITDA Forecast
The firm set its 2026 Adjusted EBITDA guidance at approximately $800M at the midpoint, below the $861.7M consensus estimate. This shortfall highlights ongoing challenges in driving higher profitability amid stable revenue trends.
3. Stock Reaction and Volatility
Shares slid 6.4% in afternoon trading following the earnings release, marking one of 65 moves greater than 5% over the past year. The stock’s heightened volatility underscores investor sensitivity to earnings and guidance updates.
4. Long-Term Performance
iHeartMedia is down 30.7% year to date and trading 43.6% below its 52-week high of $5.10. A $1,000 investment in the stock five years ago would now be worth approximately $187.42, reflecting significant underperformance.