Cable ONE (CABO) AI Stock Analysis

• Market Cap: $810.69M
• Dividend Yield: 10.95%
• Average Volume (3M): 95.01K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.48
• Revenue Growth: -4.94%
• EPS Growth: -335.70%
• Country: US
• Employees: 2,817
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): 14.52
• Shares Outstanding: 5,628,990
• 10 Day Avg. Volume: 93,786
• 30 Day Avg. Volume: 95,012
• PEG Ratio: -1.50
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 1.29
• P/FCF Ratio: 5.39
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 47 Neutral
• Price Target: $127.00 ▼(-23.83% Downside)

Cable ONE's overall stock score is primarily impacted by its financial performance and technical analysis. The company faces significant financial challenges with declining revenues and high leverage. Technical indicators suggest bearish momentum, further weighing on the score. While the earnings call highlighted some positive developments, such as debt reduction and new product launches, these are overshadowed by ongoing subscriber losses and revenue declines. The high dividend yield offers some appeal, but the negative P/E ratio reflects underlying financial difficulties.

Positive Factors

Debt Reduction

Significant debt reduction improves financial flexibility and reduces interest expenses, enhancing long-term financial stability.

New Product Launches

New product launches can drive customer engagement and revenue growth, potentially offsetting declines in traditional services.

Improved Churn Rates

Improved churn rates indicate better customer retention, which can stabilize revenue and improve long-term growth prospects.

Negative Factors

Subscriber Losses

Subscriber losses can lead to revenue declines and indicate competitive pressures, challenging the company's market position.

Revenue Decline

Declining revenues suggest challenges in maintaining market share and demand for services, impacting long-term financial health.

High Leverage

High leverage increases financial risk, limiting the company's ability to invest in growth and weather economic downturns.

Cable ONE Business Overview & Revenue Model

Company Description

Cable ONE, Inc. (ticker symbol: CABO) is a leading telecommunications and broadband service provider in the United States, primarily serving small to medium-sized communities. The company operates through its subsidiary, Sparklight, offering high-speed internet, cable television, and phone services. Cable ONE focuses on delivering reliable connectivity and entertainment solutions to residential and commercial customers, leveraging its extensive fiber-optic and hybrid fiber-coaxial networks.

How the Company Makes Money

Cable ONE generates revenue primarily through subscription services, which include residential and business broadband internet access, cable television packages, and voice services. The company's internet services are a significant revenue driver, as demand for high-speed connectivity has surged. Cable ONE also earns income from advertising through its cable television offerings and may engage in partnerships with local content providers to enhance its service offerings. Additionally, the company benefits from customer retention strategies, including bundled service packages that encourage long-term subscriptions, thus contributing to its overall earnings.

Cable ONE Financial Statement Overview

Summary

Cable ONE faces significant financial challenges, with declining revenues and profitability impacting all areas of its financial statements. High leverage and negative profit margins are key concerns, requiring strategic adjustments to stabilize and improve financial performance. The company must focus on reversing revenue declines and managing debt levels to enhance its financial position.

Income Statement

Cable ONE's income statement shows a concerning trend with declining revenue and profitability. The TTM data reveals a negative revenue growth rate and significant net losses, leading to negative profit margins. The gross profit margin remains relatively stable, but the negative EBIT and EBITDA margins indicate operational challenges. The company needs to address these issues to improve its financial health.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio, indicating significant leverage, which poses a risk in a declining revenue environment. The return on equity has turned negative in the TTM period, further highlighting profitability challenges. The equity ratio remains stable, suggesting a balanced asset structure, but the high leverage needs careful management.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth, with a significant drop in the TTM period. The operating cash flow to net income ratio is strong, indicating good cash generation relative to net income. However, the free cash flow to net income ratio has decreased, reflecting challenges in maintaining cash flow amidst declining profitability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.52B	1.58B	1.68B	1.71B	1.61B	1.33B
Gross Profit	1.13B	1.16B	1.24B	1.24B	1.15B	906.52M
EBITDA	122.83M	723.93M	924.43M	849.87M	789.60M	718.60M
Net Income	-454.07M	14.48M	224.62M	213.06M	291.82M	304.39M
Balance Sheet
Total Assets	5.69B	6.53B	6.76B	6.89B	6.95B	4.49B
Cash, Cash Equivalents and Short-Term Investments	166.65M	153.63M	190.29M	215.15M	388.80M	574.91M
Total Debt	3.29B	3.60B	3.66B	3.82B	3.85B	2.19B
Total Liabilities	4.26B	4.73B	4.95B	5.15B	5.16B	2.99B
Stockholders Equity	1.43B	1.80B	1.81B	1.74B	1.79B	1.50B
Cash Flow
Free Cash Flow	-146.28M	377.77M	292.72M	327.30M	319.81M	270.44M
Operating Cash Flow	-603.00K	664.13M	663.17M	738.04M	704.34M	574.37M
Investing Cash Flow	-400.87M	-564.45M	-341.90M	-448.27M	-2.47B	-954.91M
Financing Cash Flow	-244.53M	-136.34M	-346.13M	-463.43M	1.58B	830.18M

Cable ONE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 166.73
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CABO, the sentiment is Negative. The current price of 166.73 is above the 20-day moving average (MA) of 142.83, above the 50-day MA of 157.47, and below the 200-day MA of 186.61, indicating a bearish trend. The MACD of -13.23 indicates Positive momentum. The RSI at 21.27 is Positive, neither overbought nor oversold. The STOCH value of 4.75 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CABO.

Cable ONE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
GOGO	52 Neutral	$955.72M	―	-6.63%	―	102.05%	-110.74%
SIFY	50 Neutral	$769.89M	―	-8.89%	―	5.81%	―
WOW	50 Neutral	$444.80M	―	-42.79%	―	-8.70%	16.20%
CABO	47 Neutral	$810.69M	―	-27.38%	10.95%	-4.94%	-335.70%
SHEN	47 Neutral	$635.17M	-15.91	-4.41%	1.06%	11.59%	-106.83%
ATUS	40 Underperform	$835.91M	―	―	―	-4.19%	-982.67%

Cable ONE Corporate Events

Cable ONE’s Earnings Call: Mixed Signals Amid New Initiatives

Cable ONE, Inc. recently held its earnings call, revealing a mixed sentiment regarding its financial performance and strategic initiatives. The company highlighted significant achievements in debt reduction and improvements in customer connections and churn rates. However, challenges such as subscriber losses, revenue decline, and increased operating expenses were also discussed. While the launch of new mobile services and successful product offerings like Tech Assist are promising, the overall financial performance remains under pressure.

Cable One Reports Mixed Q3 2025 Financial Results

Cable One, Inc. is a prominent broadband communications provider operating in the United States, offering internet, video, and voice services to residential and business customers across 24 states. Known for its brand Sparklight, the company emphasizes innovation and reliability in its service delivery.