10 Most Volatile Stocks Under $3 For Day Trading

2. Clear Channel Outdoor Holdings, Inc. (NYSE:CCO)

Number of Hedge Fund Holders: 33

Clear Channel Outdoor Holdings, Inc. (NYSE:CCO) is a global outdoor advertising company that specializes in billboard, transit, and digital media advertising. It operates a diverse portfolio of advertising assets, including static and digital billboards, transit displays, and street furniture, in major markets across the Americas and international locations. CCO provides advertisers with the ability to target audiences at scale through high-visibility outdoor placements. The company serves a wide range of industries, including retail, automotive, entertainment, and technology, and generates revenue through the sale of advertising space, digital media solutions, and data-driven advertising services.

Clear Channel Outdoor Holdings, Inc. (NYSE:CCO) has made significant progress in its strategic realignment, with the successful sale of Europe-North set to close by the end of March 2025. The company has already completed sales of Switzerland, Italy, France, Chile, Peru, and Mexico, with only Brazil and Spain remaining in the divestiture pipeline. The Europe-North sale will generate proceeds of $625 million, with $375 million allocated to pay down the BV term loan. The company’s focus is shifting to the US market, which offers higher growth and higher-margin businesses with more stable revenue growth. Corporate expenses are expected to decrease by approximately $35 million following the divestitures, bringing the total down to roughly $100 million. In the core US business, digital revenue now accounts for 36% of full-year revenue, with potential for further growth as some markets have achieved digital penetration rates in the low 50s.

Clear Channel Outdoor Holdings, Inc. (NYSE:CCO) aims to be cash flow positive in 2025 and is focused on delivering the business, with a long-term leverage target between 4x to 6x, compared to the current level of approximately 9.5x. Management is exploring creative solutions for growth, including potential joint ventures with sponsors and strategic use of inventory through barter deals. With an equity beta of 2.71, CCO is one of the most volatile stocks under $3 for day trading.