MediaCo's EstrellaTV: Outperforming the Spanish-Language TV Sector Amid Industry-Wide Declines

In a media landscape increasingly defined by fragmentation and declining traditional TV viewership, MediaCo (NASDAQ: MDIA) has carved out a unique niche with its EstrellaTV network. While industry giants like Univision and Telemundo grapple with double-digit declines in prime-time viewership, EstrellaTV has defied the trend, delivering consistent year-over-year growth in the critical P18–49 demographic. This outperformance is not accidental—it is the result of a strategic, data-driven approach to content creation, digital expansion, and audience retention. For investors, EstrellaTV's trajectory offers a compelling case study in how a media company can adapt to shifting consumer habits while capturing a growing multicultural audience.

A Sector in Decline, A Network on the Rise

The Spanish-language TV sector has long been a cornerstone of U.S. media, but recent trends paint a grim picture. In July 2025, Univision saw a 35% year-over-year drop in prime-time P18–49 viewership, while Telemundo's audience fell by 21%. Even short-lived spikes, like Unimas' 15% growth driven by FIFA Mundial coverage, proved unsustainable. Against this backdrop, EstrellaTV's performance stands out: it delivered a 13% increase in P18–49 prime-time viewership in July 2025 compared to July 2024, with a 24% surge in weekly delivery during the final week of the month. This marks the fourth consecutive month of year-over-year gains and the sixth in the past eight months.

The network's success is rooted in its programming strategy. Shows like Alarma TV, Tengo Talento, Mucho Talento, and 100 Latinos Dijeron have become cultural touchstones, blending entertainment with authenticity. Alarma TV, for instance, averaged 30.4k P18–49 viewers in July 2025—a 37% increase from its season-to-date average. Such momentum is not just a function of content quality but also of timing: EstrellaTV has mastered the art of scheduling, ensuring its most popular shows anchor prime-time slots.

Digital Expansion: The New Frontier

While traditional TV remains a core strength, EstrellaTV's digital expansion has been equally transformative. MediaCo's integration of FAST (Free Ad-Supported Streaming Television) channels has driven a 290% year-over-year increase in monetized premium CTV ad inventory. By July 2025, EstrellaTV's FAST channels had surpassed 310 million monthly watch minutes—a metric that underscores both scale and engagement. This digital pivot is not just about reaching new audiences; it's about redefining how advertisers access them.

The network's YouTube presence further amplifies its reach. EstrellaTV's YouTube channel reported a 35% increase in video views and a 7.4% rise in watch time year-over-year, with specific shows like Don Cheto Al Aire seeing a 300% surge in views. Social media metrics are equally impressive: EstrellaTV's Instagram reach grew by 19.1%, while Noticias EstrellaTV's Facebook reach exploded by 41%. These platforms serve as both amplifiers and feedback loops, allowing the network to refine its content in real time.

Strategic Positioning: Content, Culture, and Community

MediaCo's long-term strategy hinges on three pillars: culturally resonant content, digital innovation, and strategic partnerships. The acquisition of Estrella Media in April 2024 was a masterstroke, expanding MediaCo's reach to over 20 million monthly users across radio, TV, and digital platforms. This acquisition also provided access to 11 radio stations and 9 TV stations, creating a multimedia ecosystem that strengthens audience retention.

Programming innovation is another key lever. In 2025, EstrellaTV launched Objetivo Fama, a live music and reality competition, and expanded its sports coverage with Liga MX soccer matches. These initiatives tap into the Hispanic community's passion for live events and music, creating a flywheel effect: loyal audiences return for more, and advertisers pay a premium for access to engaged viewers.

Strategic partnerships further solidify MediaCo's position. Collaborations with Hemisphere Media and Curiosity Stream have expanded EstrellaTV's FAST channel distribution, while a partnership with DO IT Outdoors has unlocked new local advertising solutions for Hispanic and Black communities. These alliances not only diversify revenue streams but also position MediaCo as a bridge between traditional media and the digital-first world.

Audience Retention: The Secret Sauce

In a fragmented media landscape, retention is king. EstrellaTV's ability to sustain viewership in a declining sector is a testament to its deep understanding of its audience. For instance, Alarma TV's late-night repeats saw double-digit gains in July 2025, indicating strong repeat viewership. Similarly, Noticiero Cierre de Edición and 24 Horas Late delivered consistent gains, with the latter rising 14% in viewership.

MediaCo's focus on original programming is not just about attracting new viewers—it's about creating a sense of community. Shows like Buenas Noticias, a feel-good news magazine, resonate with audiences by highlighting stories of resilience and hope. This emotional connection fosters loyalty, which is critical in an era where viewers are more likely to switch platforms than stick with a brand.

Investment Implications

MediaCo's trajectory is not just a story of survival—it's a blueprint for growth. The company's 345% surge in digital advertising revenue in H1 2025, coupled with its expanding FAST platform, positions it to capture a larger share of the $120 billion U.S. streaming ad market. With the Hispanic and Black populations representing over 30% of the U.S. population and growing, MediaCo is uniquely positioned to benefit from demographic tailwinds.

For investors, the key metrics to watch are:
1. Prime-time P18–49 viewership trends for EstrellaTV.
2. Digital ad revenue growth, particularly in FAST channels.
3. Subscriber engagement metrics on YouTube and social media.

MediaCo's stock has already reflected some of this momentum, but with the company targeting a 30%+ share of the U.S. multicultural demographic, there is significant upside. The recent $45 million term loan and $60 million preferred stock issuance provide financial flexibility to fund further expansion, while the leadership team's focus on AI-driven ad optimization and live event monetization ensures long-term scalability.

Conclusion

MediaCo's EstrellaTV is more than a Spanish-language network—it is a case study in strategic reinvention. By combining culturally resonant content, digital innovation, and a deep understanding of audience behavior, the network has not only outperformed its peers but also redefined what it means to serve a multicultural audience in the digital age. For investors, this is a rare opportunity to back a company that is not just adapting to change but leading it. As the media landscape continues to evolve, MediaCo's ability to balance tradition with innovation will likely keep it at the forefront of the industry.