Altice USA: A Company Analysis
Altice USA (NYSE:ATUS) is a company that specializes in providing a variety of services to customers, including broadband, pay television, telephony, and advertising. The company has several well-known brands under its umbrella such as Optimum, Suddenlink, News 12 Networks, and Cheddar News.
The quarter ending on May 3rd was a successful one for Altice USA as they reported $0.06 earnings per share (EPS), surpassing analysts’ expectation of $0.05 by $0.01. Despite having a negative return on equity of 17.57% and a net margin of 0.25%, the business generated revenue of $2.29 billion which is slightly less than analysts had predicted.
Compared to the same period last year when the firm earned $0.43 earnings per share and had revenue of $2.42 billion, this year’s Q1 earnings mark is down by about 5%. This drop in revenue may have been due to changes in consumer patterns during the Covid-19 pandemic.
Founded by Patrick Drahi in 2001, Altice USA has its headquarters in Long Island City, NY. It opened trading on Friday at $2.77 with a market cap of $1.26 billion. The firm’s P/E ratio stands at 6.60 while its P/E/G ratio is at 1.06 with a beta of 1.37.
This year has seen Altice USA struggle with falling stock prices with their fifty-two week high being $13.17 and the low being just below three dollars ($2.63). The current price trend for ATUS shows that it could continue to remain below support levels until there is an upward reversal or another catalyst comes into play.
In conclusion, Altice USA has sufficient brand recognition and consumer trust that ensures that business remains stable for the company. Although there have been fluctuations in stock prices, the steady acquisition of channels and partnerships sustained growth for Altice USA.
Altice USA Receives Boost in FY2024 Earnings Estimates from Analysts Amidst Varying Ratings and Investor Interest
Altice USA, Inc. (NYSE:ATUS) has recently received a boost in its FY2024 earnings per share estimates from KeyCorp investment analysts. B. Nispel has raised the per-share estimate from $0.41 to $0.50 for the year, while also estimating Altice USA’s Q4 2024 earnings at $0.17 EPS. This comes as several other research reports have been issued for the stock by major financial institutions.
Analysts at Morgan Stanley recently dropped their price objective on shares of Altice USA from $4.00 to $3.00, while maintaining an “equal weight” rating on the stock in a report published on Thursday, April 20th. On Monday, TheStreet downgraded shares of Altice USA from “c-” to “d” in a research report. Cowen decreased their target price on Altice USA from $21.00 to $18.00 in a report filed on Thursday, February 23rd.
As of date, there have been one sell rating, ten hold ratings and three buy ratings for the company by major research firms with Bloomberg.com proposing that the company has an average rating of “Hold” with a consensus target price of $8.49.
Large investors have made changes to their positions in the stock lately with Bank of New York Mellon Corp growing its stake in Altice USA by 5.1% during the first quarter, owning 771,039 shares valued at $9,623,000 after acquiring another 37,677 shares during that period alone.
In conclusion, despite varying predictions and opinions about Altice USA’s future performance as well as shifts among large stakeholders in terms of their respective interests in investing in this leading multinational conglomerate holding company with focus on telecoms/media businesses and headquarter based out of Long Island City – we can hope continued progress towards growth for this firm!
