Stock Spotlight: oOh!media Limited (ASX:OML)

This week's Stock Spotlight is ASX-listed oOh!media Limited.

About oOh!media Limited.

oOh!media Limited engages in the outdoor media, and production and advertising businesses in Australia and New Zealand. It offers large format digital and classic roadside screens; large and small format digital and classic signs located in retail precincts, such as shopping centres, airport terminals, lounges and in flight; digital and classic street furniture signs; digital and classic format advertising in public transport corridors, including rail; and digital and classic signs in high dwell time environments, such as universities and office buildings. The company also provides advertising creative and printing services. oOh!media Limited was founded in 1989 and is based in North Sydney, Australia.

Source: EODHD

Key Stats

Source: EODHD. Data as of 05/03/26.

Growth Potential

• The share price trades below our blended valuation (DCF / PE-multiple).
• Offers an attractive and growing dividend yield.
• Strong market share (in Australia & New Zealand) in a growing advertising medium Out Of Home (OOH). OML operates the largest and most diverse Out of Home network across Australia and New Zealand with over 35,000 assets, reaching 98% of metropolitan Australians every week. OML’s share of the ANZ OOH market was 35.4% in 1H25.
• OOH market could grow at a double digit growth rate. During 1H25 Out of Home was again the standout performer in the Australian media sector, increasing its share of agency media spend in FY25 to 16.4%. Now, this is a record high.
• The market that OML competes in is concentrated (majority share with three very well financed competitors), which poses a challenge for international players wanting to come in (need to have a network established to be an out-of-home player).
• Invariably OML is leveraged to advertising markets and broader markets have been subdued. If there is a material improvement in advertising markets, this will be positive for OML’s earnings and it is likely to see earnings revisions higher.
• Strong balance sheet with leverage below management’s target levels. 
  

Key Risks

• Competitive threats lead to market share loss or contracts loss.
• Re-contracting is done at lower revenue and/or margins due to competitive bidding.
• Disappointing growth (company and industry specific).
• Cyclicality in advertising markets
• Disappointing updates on contract renewals.
• Significant change in senior management.
• Other emerging advertising trends / mediums which take advertising dollars away from OOH.