Liberty Global C (LBTYK) AI Stock Analysis

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Liberty Global C

(NASDAQ:LBTYK)

Rating:56Neutral

Price Target:

$11.50

▲(2.59% Upside)

Liberty Global C's overall stock score reflects significant financial challenges, particularly in profitability and cash flow generation, which weigh heavily on the score. Technical analysis provides some positive momentum, but valuation concerns due to negative earnings and lack of dividends further impact the score. The earnings call offers a mixed outlook with strategic initiatives but also highlights ongoing market challenges.

Positive Factors

Asset Management

Liberty management is taking steps to simplify and at least partially monetize certain of its assets, with a history of successful asset sales at valuation levels well above analyst’s expectations.

Financial Performance

Higher than forecast revenue and EBITDA results at consolidated operations were driven by Euro/Pound strength relative to the dollar.

Negative Factors

Market Conditions

Liberty operates in competitive environments exacerbated by relatively high leverage and slight overall revenue growth.

Partnership Challenges

A possible transaction for a stake in the UK Netco was ended by 50% partner Telefonica, and it is unlikely Telefonica will buy Liberty out of its 50% stake in the JV.

Subscriber Results

Liberty’s consolidated and JV assets reported generally worse than expected subscriber results due to the highly competitive environment.

Liberty Global C (LBTYK) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$3.78B

Dividend YieldN/A

Average Volume (3M)980.17K

Price to Earnings (P/E)―

Beta (1Y)0.38

Revenue Growth3.53%

EPS Growth3.23%

CountryUS

Employees6,820

SectorCommunication Services

Sector Strength81

IndustryTelecommunications Services

Share Statistics

EPS (TTM)-8.15

Shares Outstanding153,409,400

10 Day Avg. Volume1,165,953

30 Day Avg. Volume980,169

Financial Highlights & Ratios

PEG Ratio-0.02

Price to Book (P/B)0.38

Price to Sales (P/S)1.10

P/FCF Ratio4.24

Enterprise Value/Market Cap2.97

Enterprise Value/Revenue3.80

Enterprise Value/Gross Profit10.28

Enterprise Value/Ebitda-4.65

Forecast

1Y Price Target

$13.75

Price Target Upside22.66% Upside

Rating ConsensusModerate Buy

Number of Analyst Covering2

Liberty Global C Business Overview & Revenue Model

Company DescriptionLiberty Global C (LBTYK) is a leading telecommunications and television services provider operating primarily in Europe. The company focuses on delivering broadband internet, video, and mobile services to residential and business customers. Liberty Global C is known for its extensive network infrastructure and various product offerings, including high-speed internet, digital TV, and mobile services, catering to a diverse customer base in multiple countries.

How the Company Makes MoneyLiberty Global C generates revenue through several key channels. The primary source of income comes from subscription fees for its broadband internet and video services, which include cable television and on-demand streaming. The company also earns revenue from mobile services offered to consumers and businesses. Additionally, Liberty Global C monetizes its network infrastructure by providing wholesale services to other telecommunications companies. Significant partnerships with content providers enhance its offerings, allowing the company to bundle services and attract more subscribers. The company's ability to innovate and expand its service portfolio, along with strategic mergers and acquisitions, further contributes to its revenue growth.

Liberty Global C Earnings Call Summary

Earnings Call Date:Aug 01, 2025

(Q2-2025)

% Change Since: 9.58%|

Next Earnings Date:Nov 04, 2025

Earnings Call Sentiment Neutral

The earnings call highlighted several strategic achievements and positive guidance improvements, particularly in asset monetization and regional developments. However, these were offset by challenges in subscriber growth, competitive pressures, and revenue declines in key markets. While Liberty Global maintains a strong cash position and continues to invest strategically, the balance of highlights and lowlights suggests a cautious outlook.

Q2-2025 Updates

Positive Updates

Revenue and EBITDA Performance

Liberty Global reported revenue and EBITDA in line with guidance expectations, supported by price increases and strong ARPU results.

Strategic Investments and Asset Monetization

Liberty Global's portfolio is worth $3.4 billion, with plans to sell assets totaling $500 million to $750 million, aiming to rotate capital into higher return investments.

Positive Developments in Benelux Region

In Belgium, Telenet was recognized for the best 5G coverage. In the Netherlands, VodafoneZiggo is seeing some green shoots due to management's strategic pivot, and a deal with Delta expanded their footprint by 600,000 homes.

Improved Guidance

Liberty Services and Corporate improved their adjusted EBITDA guidance by $25 million, and Telenet's adjusted EBITDA guidance was tightened to a low single-digit decline.

Cash Balance and Share Buyback

Liberty Global ended the quarter with a cash balance of $1.9 billion and bought back about 3% of its shares.

Negative Updates

Subscriber Challenges and Competitive Pressures

Subscriber results were mixed due to competitive pressures from new entrants like Altnets in the U.K., impacting gross adds and churn.

Broadband and Mobile Performance Issues

Virgin Media O2 experienced a decline in broadband net adds due to higher churn, and VodafoneZiggo's postpaid net adds were impacted by B2B port outs.

Revenue Decline in Key Markets

VodafoneZiggo reported a revenue decline of 2.4% during the quarter, and Virgin Media O2 reported a modest revenue decline of 0.4%.

Challenges in the U.K. Market

Virgin Media O2 faced challenges with higher churn due to competitive pressures and aggressive pricing from competitors, impacting broadband performance.

Company Guidance

During Liberty Global's Second Quarter 2025 Investor Call, the company maintained its guidance, highlighting stable financial performance amidst competitive challenges. Liberty Global reported revenue and EBITDA in line with expectations, supported by price increases and strong ARPU results. The company outlined plans to sell assets totaling $500 million to $750 million, targeting completion potentially into Q1 2026, while emphasizing strategic asset rotations for higher returns. Liberty Global improved its adjusted EBITDA guidance for Liberty Services and Corporate to around negative $175 million, up from $200 million, reflecting cost optimization efforts. The call also detailed the company's strategic focus on network upgrades and monetization, with ongoing fiber and 5G enhancements, and emphasized its commitment to shareholder value through potential spin-offs and asset separations within the next 12 to 24 months.

Liberty Global C Financial Statement Overview

Summary

Liberty Global C faces challenges with revenue and profit stability, impacted by fluctuating income and a reliance on debt financing. While the company maintains strong cash flows and a solid equity base, it must address its profitability issues to enhance overall financial health.

Income Statement

Neutral

Liberty Global C shows a declining trend in revenue and profitability. The gross profit margin is relatively strong, but the net profit margin is inconsistent due to significant fluctuations in net income, swinging from a loss in 2023 to a profit in 2024. The company experienced a sharp decline in revenue from 2021 to 2022, contributing to negative EBIT and EBITDA margins in recent years.

Balance Sheet

Neutral

The balance sheet reflects a strong equity position, with a positive equity ratio. However, the debt-to-equity ratio is relatively high, indicating a potential risk due to reliance on debt financing. Return on equity has been volatile, impacted by inconsistent net income figures.

Cash Flow

Neutral

The cash flow statement demonstrates stable operating cash flows, but the free cash flow growth rate has been inconsistent. The company has managed to maintain a reasonable free cash flow to net income ratio, which is essential for covering its financial obligations and investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.96B	4.34B	7.49B	7.20B	10.31B	11.98B
Gross Profit	1.09B	2.89B	5.11B	5.11B	7.29B	8.54B
EBITDA	-2.42B	3.42B	-420.50M	4.20B	3.65B	1.73B
Net Income	-3.32B	1.59B	-4.05B	1.11B	13.43B	-1.47B
Balance Sheet
Total Assets	27.17B	25.44B	42.09B	42.90B	46.92B	59.09B
Cash, Cash Equivalents and Short-Term Investments	3.14B	2.15B	3.41B	4.35B	3.18B	2.93B
Total Debt	10.54B	9.78B	17.42B	15.41B	16.05B	15.00B
Total Liabilities	13.96B	12.90B	23.08B	20.32B	21.32B	45.79B
Stockholders Equity	12.99B	12.54B	19.06B	22.44B	25.93B	13.66B
Cash Flow
Free Cash Flow	1.14B	1.12B	779.90M	1.53B	2.14B	2.84B
Operating Cash Flow	817.80M	2.03B	2.17B	2.84B	3.55B	4.19B
Investing Cash Flow	127.10M	0.00	-1.84B	1.28B	-5.80B	-8.87B
Financing Cash Flow	-1.97B	-2.25B	-645.50M	-3.28B	-1.55B	1.08B

Liberty Global C Technical Analysis

Technical Analysis Sentiment

Positive

Last Price11.21

Price Trends

50DMA

10.28

Positive

100DMA

10.56

Positive

200DMA

11.44

Negative

Market Momentum

MACD

0.24

Negative

RSI

67.15

Neutral

STOCH

82.10

Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LBTYK, the sentiment is Positive. The current price of 11.21 is above the 20-day moving average (MA) of 10.52, above the 50-day MA of 10.28, and below the 200-day MA of 11.44, indicating a neutral trend. The MACD of 0.24 indicates Negative momentum. The RSI at 67.15 is Neutral, neither overbought nor oversold. The STOCH value of 82.10 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LBTYK.

Liberty Global C Peers Comparison

Overall Rating

UnderperformOutperform

Sector (60)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$41.55B	-3.91	-10.69%	4.16%	2.78%	-48.99%
TDS	57 Neutral	$4.15B	―	-0.97%	0.41%	-5.14%	78.63%
LBTYK	56 Neutral	$3.78B	―	-20.95%	―	3.53%	3.23%
LBTYA	56 Neutral	$3.78B	―	-20.95%	―	3.53%	3.23%
LBTYB	56 Neutral	$3.78B	―	-20.95%	―	3.53%	3.23%
LUMN	51 Neutral	$3.86B	―	-78.94%	―	-6.50%	43.47%
CCOI	48 Neutral	$1.51B	102.75	-93.59%	13.05%	-6.64%	-569.94%

* Communication Services Sector Average

Performance Comparison

LBTYK

Liberty Global C

11.21

1.19

11.88%

LUMN

Lumen Technologies

3.76

-0.88

-18.97%

CCOI

Cogent Comms

30.62

-36.87

-54.63%

LBTYA

Liberty Global A

11.03

1.40

14.54%

LBTYB

Liberty Global B

10.85

-0.14

-1.27%

TDS

Telephone & Data Systems

38.75

18.57

92.02%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 07, 2025