Optical Cable Corp. (OCC)
NASDAQ:OCC
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Optical Cable
(NASDAQ:OCC)
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Rating:58Neutral
Price Target:
$8.50
▼(-0.12% Downside)
Action:ReiteratedDate:04/02/26
The score is held back primarily by weak financial quality: losses persist and operating/free cash flow are negative despite strong TTM revenue growth and improved leverage. Technicals are supportive with the stock trading above major moving averages and positive MACD. Valuation remains challenged due to a negative P/E and no stated dividend yield, while earnings-call tone is moderately constructive on margin improvement and the Lightera-driven growth opportunity but still tempered by ongoing net losses and seasonality.
Positive Factors
Top-line Momentum
Sustained ~94% TTM revenue growth signals strong demand for OCC’s cabling and connectivity products across enterprise and data-communications end markets. Durable top-line momentum supports scale, distributor traction and potential operating leverage if the company converts growth into consistent margins.
Negative Factors
Weak Cash Generation
Negative operating and free cash flow reduces OCC’s ability to self-fund inventory, capex and growth initiatives. Persistent negative cash generation forces reliance on external financing or equity, raising dilution or leverage risk and constraining durable reinvestment into sales and production capacity.
Read all positive and negative factors
Positive Factors
Negative Factors
Top-line Momentum
Sustained ~94% TTM revenue growth signals strong demand for OCC’s cabling and connectivity products across enterprise and data-communications end markets. Durable top-line momentum supports scale, distributor traction and potential operating leverage if the company converts growth into consistent margins.
Read all positive factors
Optical Cable (OCC) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$80.46M
Dividend YieldN/A
Average Volume (3M)85.83K
Price to Earnings (P/E)―
Beta (1Y)0.90
Revenue Growth9.55%
EPS Growth65.17%
CountryUS
Employees339
SectorTechnology
Sector Strength88
IndustryCommunication Equipment
Share Statistics
EPS (TTM)-0.05
Shares Outstanding8,831,598
10 Day Avg. Volume176,246
30 Day Avg. Volume85,835
Financial Highlights & Ratios
PEG Ratio0.65
Price to Book (P/B)2.94
Price to Sales (P/S)0.87
P/FCF Ratio56.61
Enterprise Value/Market Cap1.11
Enterprise Value/Revenue1.22
Enterprise Value/Gross Profit3.84
Enterprise Value/Ebitda89.59
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)0.27
Revenue Forecast (FY)N/A
Optical Cable Business Overview & Revenue Model
Company Description
Optical Cable Corporation (OCC) is a leading manufacturer and provider of fiber optic cable and connectivity solutions, primarily serving the telecommunications, data center, and industrial markets. Founded in 1983, OCC specializes in high-perform...
How the Company Makes Money
OCC makes money primarily by selling manufactured communications cabling and connectivity products to customers and channel partners. Its revenue model is product-sales driven: (1) Fiber optic cable sales—selling various fiber optic cable construc...
Optical Cable Key Performance Indicators (KPIs)
Any
Revenue by Geography
Breaks down revenue across different regions, revealing where the company is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Breaks down revenue across different regions, revealing where the company is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Data provided by:
The Fly
The FlyOptical Cable Earnings Call Summary
Earnings Call Date:Dec 18, 2025
(Q4-2025)
| % Change Since: |
Next Earnings Date:Jun 15, 2026
Earnings Call Sentiment Neutral
The earnings call highlights several positive aspects such as increased net sales, gross profit growth, and strategic collaboration with Lightera. However, challenges remain, including a net loss for the fiscal year, a slight decline in Q4 gross profit, and increased SG&A expenses. The overall sentiment is balanced with optimism for future growth.Positive Updates
Net Sales Increase
Fiscal year 2025 saw a 9.5% increase in net sales, reaching $73 million compared to $66.7 million in fiscal year 2024.
Negative Updates
Net Loss for Fiscal Year
OCC recorded a net loss of $1.5 million or $0.18 per share for fiscal year 2025, though this was an improvement from the $4.2 million loss in 2024.
Read all updates
Q4-2025 Updates
Positive
Negative
Net Sales Increase
Fiscal year 2025 saw a 9.5% increase in net sales, reaching $73 million compared to $66.7 million in fiscal year 2024.
Read all positive updates
Company Guidance
During the Optical Cable Corporation's Fourth Quarter and Fiscal Year 2025 Earnings Conference Call, guidance highlighted several key financial metrics and strategic initiatives that reflect the company's performance and future outlook. The company reported a 9.5% increase in net sales, reaching $73 million, with gross profit growing by 24.1% to $22.6 million. The gross profit margin improved to 30.9%, up from 27.3% in the previous year. SG&A expenses as a percentage of net sales decreased, contributing to improved operating leverage. The strategic collaboration with Lightera is expected to bolster future growth, particularly in the data center and enterprise sectors, as demand for cloud computing and AI accelerates. Despite recording a net loss of $1.5 million for the year, OCC remains optimistic about capturing new opportunities and expanding its market presence in fiscal year 2026 and beyond.Optical Cable Financial Statement Overview
Summary
Income Statement
38
Negative
Balance Sheet
72
Positive
Cash Flow
32
Negative
| Breakdown | TTM | Oct 2025 | Oct 2024 | Oct 2023 | Oct 2022 | Oct 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 73.73M | 73.04M | 66.67M | 72.17M | 69.08M | 59.14M |
| Gross Profit | 23.34M | 22.60M | 18.20M | 22.29M | 20.51M | 16.27M |
| EBITDA | 1.00M | 385.24K | -2.16M | 4.31M | 469.89K | -766.62K |
| Net Income | -744.57K | -1.45M | -4.21M | 2.07M | -347.00K | 6.61M |
Balance Sheet | ||||||
| Total Assets | 38.77M | 40.06M | 40.36M | 43.88M | 40.56M | 37.92M |
| Cash, Cash Equivalents and Short-Term Investments | 125.87K | 237.51K | 244.25K | 1.47M | 216.00K | 132.00K |
| Total Debt | 8.98M | 11.54M | 12.95M | 11.00M | 10.53M | 8.32M |
| Total Liabilities | 17.67M | 18.49M | 19.52M | 19.16M | 18.40M | 15.71M |
| Stockholders Equity | 21.11M | 21.57M | 20.84M | 24.72M | 22.16M | 22.21M |
Cash Flow | ||||||
| Free Cash Flow | -455.17K | 1.12M | -1.23M | -918.52K | -1.89M | 1.92M |
| Operating Cash Flow | -93.55K | 1.41M | -857.02K | -395.68K | -1.59M | 2.12M |
| Investing Cash Flow | -405.76K | -317.20K | -67.14K | 1.43M | -292.46K | -192.87K |
| Financing Cash Flow | 496.87K | -1.10M | -300.29K | 219.80K | 1.96M | -1.93M |
Optical Cable Technical Analysis
Positive
8.51
Price Trends
6.52
Positive
6.47
Positive
6.48
Positive
Market Momentum
0.74
Negative
60.39
Neutral
52.07
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OCC, the sentiment is Positive. The current price of 8.51 is above the 20-day moving average (MA) of 7.99, above the 50-day MA of 6.52, and above the 200-day MA of 6.48, indicating a bullish trend. The MACD of 0.74 indicates Negative momentum. The RSI at 60.39 is Neutral, neither overbought nor oversold. The STOCH value of 52.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OCC.
Optical Cable Peers Comparison
UnderperformOutperform
Sector (61)
OCC
Optical Cable
9.11
6.51
250.38%
AIRG
Airgain
5.44
1.94
55.43%
AMPG
AmpliTech Group
1.93
0.63
48.46%
FKWL
Franklin Wireless
3.82
-1.10
-22.36%
Optical Cable Corporate Events
Executive/Board ChangesShareholder Meetings
Optical Cable Shareholders Reelect Board and Approve Compensation
Positive
Apr 1, 2026
On March 31, 2026, Optical Cable Corporation held its annual shareholder meeting in Roanoke, Virginia, where investors re-elected all five nominated directors to serve until the next annual meeting. Shareholders also ratified the appointment of Cr...
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.