Cable One, a cable operator, provides consumers in the U.S. with high speed Internet, cable television and telephone service. The company was founded in 1986 and is based in Phoenix, Arizona.
CABO Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for CABO, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Cable One Inc ranked in the 55th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 44.67% on a DCF basis. In terms of the factors that were most noteworthy in this DCF analysis for CABO, they are:
The company's compound free cash flow growth rate over the past 5.45 years comes in at 0.49%; that's greater than 79.49% of US stocks we're applying DCF forecasting to.
87% of the company's capital comes from equity, which is greater than 70.8% of stocks in our cash flow based forecasting set.
The company's cost of debt, derived from its interest coverage, tax rate, and market capitalization, is greater than only 18.06% of stocks in its sector (Communication Services).
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
GTT, SHEN, NUVR, BCE, and VZ can be thought of as valuation peers to CABO, in the sense that they are in the Communication Services sector and have a similar price forecast based on DCF valuation.
KeyBanc has reiterated a Buy on Cable One (CABO -0.2%), joining other analysts in reacting to the company's $574B deal with Mega Broadband Investments. KeyBanc has raised its Q3 estimates, and anticipates the company will acquire several billion dollars worth of broadband assets in the near future. That ties to...
Hargray Communications and Cable One (CABO) announces that the companies have completed the contribution of Cable One’s system serving Anniston, Alabama and surrounding areas, which operates under the Sparklight brand, to Hargray in exchange for a minority equity interest in Hargray.The transaction follows Hargray’s 2019 acquisition of USA Communications’ Alabama assets in nearby Pell City and further expands Hargray’s...
HILTON HEAD, S.C. & PHOENIX--(BUSINESS WIRE)--Hargray Communications (“Hargray”) and Cable One, Inc. (NYSE: CABO) (“Cable One”) announced today that the companies have completed the contribution of Cable One’s system serving Anniston, Alabama and surrounding areas, which operates under the Sparklight® brand, to Hargray in exchange for a minority equity interest in Hargray. The transaction follows Hargray’s 2019 acquisition of USA Communications’ Alabama assets in nearby Pell City and further ex
SHAWNEE, Okla. & PHOENIX--(BUSINESS WIRE)--Mega Broadband Investments Holdings LLC ("MBI" or the “Company”) and Cable One, Inc. (NYSE: CABO) (“Cable One”) announced today that they have entered into a definitive agreement providing for a strategic investment by Cable One in MBI. Cable One will purchase a 45% minority stake in MBI from affiliates of GTCR LLC (“GTCR”), a leading private equity firm, for approximately $574.1 million in cash, subject to adjustment for certain new debt incurrences a
'Big Cable' Lost Over $55 Million In Q2 Despite Lockdown-Driven Couch-Surfing Tyler Durden Fri, 08/28/2020 - 21:40 One would imagine, with tens of millions of Americans quarantined at home during the second quarter, that years of cord-cutting would not just subside but reverse. However, according to the website Kill The Cable Bill , people canceling their pay-TV subscriptions during the lockdown period accelerated. Kill The Cable Bill cited a report from Leichtman Research, revealing major cable companies lost 501,400 subscribers in the three months ending on June 30. Here's a breakdown of the exodus: Comcast: (478,000) Charter: +94,000 Cox: (50,000) Altice: (34,600) Mediacom: (17,000) Atlantic Broadband: (2,800) Cable One: (13,000) Kill The Cable Bill estimates the 501,400 subscriber d...