Frontier Communications Parent (FYBR) AI Stock Analysis

• Market Cap: $9.36B
• Dividend Yield: N/A
• Average Volume (3M): 3.21M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.15
• Revenue Growth: 4.15%
• EPS Growth: -311.82%
• Country: US
• Employees: 12,738
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): -0.49
• Shares Outstanding: 250,314,000
• 10 Day Avg. Volume: 4,253,598
• 30 Day Avg. Volume: 3,208,468
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.19
• Enterprise Value/Revenue: 3.42
• Enterprise Value/Gross Profit: 6.00
• Enterprise Value/Ebitda: 9.69
• 1Y Price Target: $37.67
• Price Target Upside: 0.91% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

• Rating: 48 Neutral
• Price Target: $36.00 ▼(-3.56% Downside)

The overall stock score reflects significant financial challenges and a difficult valuation environment. While technical indicators show some positive momentum, the company's high leverage and negative profitability weigh heavily on the score. The strategic shift towards fiber services offers potential, but current financial and valuation metrics remain concerning.

Positive Factors

Revenue Growth

The company's focus on broadband and telecommunications services, especially fiber-optic broadband, supports consistent revenue growth, enhancing its market position in the telecommunications sector.

Strategic Shift to Fiber

Investing in fiber and broadband services positions the company for long-term growth by meeting increasing demand for high-speed internet, particularly in underserved areas.

Governance and Strategy

Strong governance with confirmed leadership and strategic oversight can enhance operational stability and investor confidence, supporting long-term business objectives.

Negative Factors

High Leverage

High leverage indicates significant reliance on debt financing, which can strain financial resources and limit the company's ability to invest in growth opportunities.

Profitability Challenges

Ongoing profitability issues, reflected in negative net income and declining margins, hinder financial performance and may impact the company's ability to sustain operations long-term.

Cash Flow Difficulties

Negative free cash flow and low cash conversion ratios highlight challenges in generating sufficient cash, potentially affecting the company's operational flexibility and investment capacity.

Frontier Communications Parent Business Overview & Revenue Model

Company Description

Frontier Communications Parent, Inc., together with its subsidiaries, provides communications services for consumer and business customers in 25 states in the United States. It offers data and Internet, voice, video, and other services. The company was formerly known as Frontier Communications Corporation and changed its name to Frontier Communications Parent, Inc. in April 2021. Frontier Communications Parent, Inc. was incorporated in 1935 and is based in Norwalk, Connecticut.

How the Company Makes Money

Frontier Communications generates revenue through a variety of streams primarily centered around its broadband and telecommunications services. The company's core revenue comes from providing residential and business customers with high-speed internet services, including fiber-optic broadband. Additional income is derived from offering digital television and voice services. Frontier Communications also earns from business solutions and carrier services, which include providing network access and infrastructure to other telecommunications companies. Key factors contributing to its earnings include subscription fees for its services, customer retention, and strategic investments in expanding its fiber-optic network to increase market penetration.

Frontier Communications Parent Financial Statement Overview

Summary

Frontier Communications Parent faces significant financial challenges. While there is some revenue growth, profitability remains elusive with negative net income and declining margins. The balance sheet is heavily leveraged, posing risks to financial stability. Cash flow issues are evident, with negative free cash flow and low cash conversion ratios. The company needs to address these issues to improve its financial health and sustainability.

Income Statement

The income statement shows a mixed performance. The company has experienced a slight revenue growth in the TTM period, but it is overshadowed by a negative net profit margin, indicating ongoing profitability challenges. Gross profit margin remains healthy, yet EBIT and EBITDA margins have declined compared to previous years, suggesting increased operational costs or inefficiencies.

Balance Sheet

The balance sheet reveals high leverage with a debt-to-equity ratio above 2, indicating significant reliance on debt financing. The negative return on equity in the TTM period highlights profitability issues, while the equity ratio suggests moderate equity financing. The company's financial stability is at risk due to high debt levels.

Cash Flow

Cash flow analysis indicates a concerning trend with negative free cash flow and a declining free cash flow growth rate. The operating cash flow to net income ratio is low, reflecting challenges in converting income into cash. The negative free cash flow to net income ratio further emphasizes cash flow difficulties.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.98B	5.87B	5.75B	5.79B	6.41B	7.16B
Gross Profit	3.41B	3.76B	3.63B	3.62B	2.81B	4.45B
EBITDA	2.11B	2.08B	2.19B	2.27B	6.52B	1.87B
Net Income	-264.12M	-322.00M	29.00M	441.00M	-402.00M	-402.00M
Balance Sheet
Total Assets	21.27M	20.61B	20.69B	18.62B	16.48B	16.80B
Cash, Cash Equivalents and Short-Term Investments	412.00K	750.00M	2.20B	2.07B	2.13B	1.83B
Total Debt	11.87M	11.56B	11.66B	9.13B	7.98B	5.78B
Total Liabilities	16.50M	15.67B	15.41B	13.49B	11.88B	21.70B
Stockholders Equity	4.76M	4.94B	5.28B	5.13B	4.60B	-4.90B
Cash Flow
Free Cash Flow	-579.61M	-1.16B	-1.87B	-1.34B	-908.00M	808.00M
Operating Cash Flow	913.00M	1.62B	1.34B	1.40B	797.00M	1.99B
Investing Cash Flow	-3.07B	-1.68B	-2.56B	-4.47B	-1.68B	-19.00M
Financing Cash Flow	481.00M	-268.00M	2.13B	1.21B	1.18B	-893.00M

Frontier Communications Parent Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 37.33
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FYBR, the sentiment is Positive. The current price of 37.33 is above the 20-day moving average (MA) of 37.20, above the 50-day MA of 36.96, and above the 200-day MA of 36.11, indicating a bullish trend. The MACD of 0.15 indicates Negative momentum. The RSI at 60.60 is Neutral, neither overbought nor oversold. The STOCH value of 35.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FYBR.

Frontier Communications Parent Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TIMB	79 Outperform	10.54B	16.61	14.43%	5.53%	-7.99%	2.16%
KT	72 Outperform	8.82B	14.96	2.91%	3.01%	-1.56%	-18.33%
SKM	68 Neutral	8.46B	11.95	11.13%	4.49%	-4.74%	-16.57%
LUMN	54 Neutral	5.74B	-4.85	198.15%	―	-6.50%	43.47%
AD	53 Neutral	4.29B	-159.74	-0.54%	47.21%	-3.65%	-134.04%
FYBR	48 Neutral	$9.36B	―	-7.82%	―	4.15%	-311.82%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

Frontier Communications Parent Corporate Events

Frontier Communications Confirms Key Votes at Annual Meeting

At Frontier Communications Parent, Inc.’s 2025 Annual Meeting of Stockholders held on May 21, 2025, several key votes took place. The election of ten directors was confirmed, the appointment of KPMG LLP as the independent registered public accounting firm for 2025 was ratified, and the advisory vote on executive compensation was approved. These decisions reflect the company’s ongoing governance and operational strategies, potentially impacting its market positioning and stakeholder relations.