Shenandoah Telecommunications Co (SHEN)
NASDAQ:SHEN
Top Page
Shenandoah Telecommunications Co
(NASDAQ:SHEN)
Select Model
Select Model
Rating:52Neutral
Price Target:
$15.50
▲(1.71% Upside)
Action:ReiteratedDate:02/27/26
The score is held back primarily by weak financial performance, especially negative/unclear cash flow and a sharp TTM revenue decline with losses. Technicals are supportive with strong upward trend and positive momentum, and the earnings call added confidence via growth and lower CapEx guidance plus a path to positive free cash flow, partially offset by ARPU and build-phase spending risks. Valuation is mixed due to a negative P/E despite a very high dividend yield.
Positive Factors
Fiber build & subscriber growth
Rapidly expanding fiber footprint and strong RGU additions materially increase the company’s addressable market and recurring revenue base. Durable subscriber growth validates network demand, supports scaling of fixed costs, and underpins long-term recurring cash generation once penetration improves.
Negative Factors
Negative/limited free cash flow
Sustained negative free cash flow driven by heavy build spending and weak cash conversion limits the company’s ability to self-fund growth and dividend obligations. Continued negative FCF increases reliance on external financing and raises execution risk until build concludes and cash conversion improves.
Read all positive and negative factors
Positive Factors
Negative Factors
Fiber build & subscriber growth
Rapidly expanding fiber footprint and strong RGU additions materially increase the company’s addressable market and recurring revenue base. Durable subscriber growth validates network demand, supports scaling of fixed costs, and underpins long-term recurring cash generation once penetration improves.
Read all positive factors
Shenandoah Telecommunications Co (SHEN) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$837.27M
Dividend Yield0.97%
Average Volume (3M)313.03K
Price to Earnings (P/E)―
Beta (1Y)0.16
Revenue Growth11.59%
EPS Growth-106.83%
CountryUS
Employees1,089
SectorCommunication Services
Sector Strength97
IndustryTelecommunications Services
Share Statistics
EPS (TTM)-0.10
Shares Outstanding55,301,647
10 Day Avg. Volume321,799
30 Day Avg. Volume313,027
Financial Highlights & Ratios
PEG Ratio0.13
Price to Book (P/B)0.72
Price to Sales (P/S)1.78
P/FCF Ratio-2.30
Enterprise Value/Market Cap1.72
Enterprise Value/Revenue5.39
Enterprise Value/Gross Profit14.21
Enterprise Value/Ebitda12.48
Forecast
1Y Price Target
$27.50Price Target Upside80.45% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)-0.7
Revenue Forecast (FY)$375.81M
Shenandoah Telecommunications Co Business Overview & Revenue Model
Company Description
Shenandoah Telecommunications Company, together with its subsidiaries, provides a range of broadband communication services and cell tower colocation space in the Mid-Atlantic portion of the United States. Its Broadband segment offers broadband, v...
How the Company Makes Money
SHEN primarily makes money by charging customers recurring service fees for broadband internet access delivered over its network (including fiber-to-the-premises where available). Revenue is generated from monthly subscriptions, tiered internet sp...
Shenandoah Telecommunications Co Earnings Call Summary
Earnings Call Date:Feb 26, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 01, 2026
Earnings Call Sentiment Positive
Overall the call conveyed strong execution on fiber expansion and commercial fiber growth, marked improvement in margins and a beneficial refinancing that materially lowers interest expense. Key operational strengths include robust subscriber and RGU growth in Glo Fiber, high NPS and low churn, and clear guidance toward reduced capital intensity and a path to positive free cash flow in 2027. Challenges include selective market passbacks due to rising aerial make-ready costs, near-term ARPU pressure from competitive 5-year price guarantees, declines in incumbent video and DSL revenue, and ongoing high absolute CapEx during the build phase. Management communicated pragmatic cost actions (10% workforce reduction) and conservative guidance, leaving the overall tone constructive with manageable headwinds.Positive Updates
Glo Fiber Expansion - Passings Growth
Passed approximately 427,000 homes and businesses in Glo Fiber expansion markets at year-end 2025, an annual increase of ~81,000 passings; total broadband passings across network exceed 679,000 across 8 states.
Negative Updates
Selective Market Pullback in Ohio
Company elected to skip investments in certain Ohio markets due to sharply higher aerial make-ready costs (2–3x increases), which reduced expected returns below the 15% hurdle rate and lowered targeted passings.
Read all updates
Q4-2025 Updates
Positive
Negative
Glo Fiber Expansion - Passings Growth
Passed approximately 427,000 homes and businesses in Glo Fiber expansion markets at year-end 2025, an annual increase of ~81,000 passings; total broadband passings across network exceed 679,000 across 8 states.
Read all positive updates
Company Guidance
Shentel guided 2026 revenues of $370–$377 million (≈4.4% growth at the midpoint), adjusted EBITDA of $131–$136 million (≈12.1% growth at the midpoint) and net CapEx (after grant reimbursements) of $220–$250 million (≈21% decline at the midpoint), implying 2026 capital intensity of roughly 59–67% versus 83% in 2025 and 91% in 2024; management expects residential capital intensity to trend to ~25% and commercial to ~30% initially in 2027, anticipates low double‑digit adjusted EBITDA CAGR going forward and an inflection to positive free cash flow in 2027, and noted adjusted EBITDA margin may dip slightly in H1 2026 before expanding in H2. They also disclosed 2025 CapEx of $359 million (net $296 million after $63 million in grants), the December refinancing that placed $567 million of ABS notes at a 5.69% coupon plus a $175 million VFN (SOFR+175 bps) and a $175 million RCF (SOFR+250–300 bps) (with $75 million drawn on the RCF), leaving $642 million of outstanding debt at a 5.75% weighted average rate (≈172 bps reduction versus the prior facility) and expected annual cash interest savings of about $11 million, with total available liquidity of approximately $235 million (cash $27M, restricted cash $21M, $44M VFN availability, $93M RCF availability and $50M in government grant capacity).Shenandoah Telecommunications Co Financial Statement Overview
Summary
Income Statement
44
Neutral
Balance Sheet
53
Neutral
Cash Flow
28
Negative
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 357.85M | 328.06M | 287.38M | 248.91M | 245.24M |
| Gross Profit | 96.12M | 199.95M | 181.28M | 146.63M | 142.94M |
| EBITDA | 115.13M | 76.32M | 78.27M | 55.52M | 60.91M |
| Net Income | -39.39M | 190.39M | 8.04M | -8.38M | 998.83M |
Balance Sheet | |||||
| Total Assets | 1.91B | 1.74B | 1.21B | 977.72M | 890.73M |
| Cash, Cash Equivalents and Short-Term Investments | 48.20M | 46.27M | 139.25M | 44.06M | 85.14M |
| Total Debt | 641.69M | 432.30M | 352.73M | 129.76M | 56.62M |
| Total Liabilities | 941.47M | 739.23M | 561.56M | 339.71M | 248.46M |
| Stockholders Equity | 880.78M | 918.58M | 652.67M | 638.01M | 642.27M |
Cash Flow | |||||
| Free Cash Flow | -276.61M | -256.50M | -142.78M | -114.09M | -411.04M |
| Operating Cash Flow | 82.31M | 62.57M | 113.77M | 74.89M | -250.93M |
| Investing Cash Flow | -294.66M | -339.41M | -236.69M | -184.18M | 1.78B |
| Financing Cash Flow | 214.29M | 183.86M | 218.11M | 69.00M | -1.64B |
Shenandoah Telecommunications Co Technical Analysis
Positive
15.24
Price Trends
14.00
Positive
12.62
Positive
12.91
Positive
Market Momentum
0.27
Positive
59.83
Neutral
65.38
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SHEN, the sentiment is Positive. The current price of 15.24 is above the 20-day moving average (MA) of 14.80, above the 50-day MA of 14.00, and above the 200-day MA of 12.91, indicating a bullish trend. The MACD of 0.27 indicates Positive momentum. The RSI at 59.83 is Neutral, neither overbought nor oversold. The STOCH value of 65.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SHEN.
Shenandoah Telecommunications Co Risk Analysis
Shenandoah Telecommunications Co disclosed 29 risk factors in its most recent earnings report. Shenandoah Telecommunications Co reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Shenandoah Telecommunications Co Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
66 Neutral | $672.32M | -15.45 | 39.78% | ― | 5.67% | ― | |
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
55 Neutral | $433.74M | 12.80 | 10.15% | ― | 7.38% | 20.81% | |
53 Neutral | $994.50M | -60.25 | -7.83% | ― | 5.81% | ― | |
52 Neutral | $837.27M | -16.17 | -4.06% | 0.97% | 11.59% | -106.83% | |
47 Neutral | $520.88M | -1.79 | -23.85% | 10.11% | -4.94% | -335.70% |
* Communication Services Sector Average
SHEN
Shenandoah Telecommunications Co
15.24
2.50
19.59%
SIFY
Sify Technologies
12.96
8.78
210.05%
RBBN
Ribbon Communications
2.38
-1.13
-32.19%
ATEX
Anterix
35.95
3.24
9.91%
CABO
Cable ONE
97.19
-168.26
-63.39%
Shenandoah Telecommunications Co Corporate Events
Executive/Board ChangesShareholder Meetings
Shenandoah Telecommunications Announces Planned Board Leadership Changes
Neutral
Jan 22, 2026
On January 20, 2026, Shenandoah Telecommunications Company announced upcoming changes to its Board of Directors, with director Tracy Fitzsimmons deciding not to stand for reelection at the company’s April 21, 2026 Annual Meeting of Sharehold...
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.