ENXTAM:ATC

Stock Analysis Report

Executive Summary

Altice Europe N.V. operates as a telecom, content, media, entertainment, and advertising company primarily in France, Portugal, Israel, and the Dominican Republic.


Snowflake Analysis

Good value with questionable track record.


Similar Companies

Share Price & News

How has Altice Europe's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ATC's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

26.6%

ATC

3.2%

NL Media

6.8%

NL Market


1 Year Return

48.7%

ATC

-33.3%

NL Media

-23.8%

NL Market

Return vs Industry: ATC exceeded the Dutch Media industry which returned -31.3% over the past year.

Return vs Market: ATC exceeded the Dutch Market which returned -20.4% over the past year.


Shareholder returns

ATCIndustryMarket
7 Day26.6%3.2%6.8%
30 Day-40.2%-26.3%-18.4%
90 Day-39.4%-36.7%-26.0%
1 Year48.7%48.7%-29.6%-33.3%-20.7%-23.8%
3 Year39.8%-83.6%-43.4%-50.3%-6.5%-16.7%
5 Yearn/a-45.5%-55.7%7.0%-13.6%

Price Volatility Vs. Market

How volatile is Altice Europe's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Altice Europe undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ATC (€3.48) is trading below our estimate of fair value (€22.74)

Significantly Below Fair Value: ATC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ATC is good value based on its PE Ratio (2.9x) compared to the Media industry average (14.3x).

PE vs Market: ATC is good value based on its PE Ratio (2.9x) compared to the Dutch market (15.2x).


Price to Earnings Growth Ratio

PEG Ratio: ATC's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: ATC has negative assets, so we can't compare its PB Ratio to the XE Media industry average.


Next Steps

Future Growth

How is Altice Europe forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

-46.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ATC's earnings are forecast to decline over the next 3 years (-46.3% per year).

Earnings vs Market: ATC's earnings are forecast to decline over the next 3 years (-46.3% per year).

High Growth Earnings: ATC's earnings are forecast to decline over the next 3 years.

Revenue vs Market: ATC's revenue (1.4% per year) is forecast to grow slower than the Dutch market (4.6% per year).

High Growth Revenue: ATC's revenue (1.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ATC is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Altice Europe performed over the past 5 years?

8.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ATC has a large one-off gain of €2.5B impacting its September 30 2019 financial results.

Growing Profit Margin: ATC became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: ATC has become profitable over the past 5 years, growing earnings by 8.4% per year.

Accelerating Growth: ATC has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: ATC has become profitable in the last year, making it difficult to compare its past year earnings growth to the Media industry (4%).


Return on Equity

High ROE: ATC's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is Altice Europe's financial position?


Financial Position Analysis

Short Term Liabilities: ATC has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: ATC has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: ATC has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: ATC's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

Inventory Level: ATC has a high level of physical assets or inventory.

Debt Coverage by Assets: ATC has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: ATC is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: ATC is profitable, therefore cash runway is not a concern.


Next Steps

Dividend

What is Altice Europe's current dividend yield, its reliability and sustainability?

0.51%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ATC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate ATC's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ATC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ATC's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ATC's dividend in 3 years as they are not forecast to pay a notable one for the Dutch market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.2yrs

Average management tenure


CEO

Alain Weill (58yo)

2.17s

Tenure

€23,177,667

Compensation

Mr. Alain Weill has been the Chief Executive Officer of Altice N.V. since 2018. Mr. Weill has been the Chairman of the Board and Chief Executive Officer of SFR Group SA (now Altice France S.A.) since Novem ...


CEO Compensation Analysis

Compensation vs Market: Alain's total compensation ($USD25.70M) is above average for companies of similar size in the Dutch market ($USD3.11M).

Compensation vs Earnings: Insufficient data to compare Alain's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Alain Weill
CEO & Director2.17yrs€23.18m1.82% 75.7m
Dennis Okhuijsen
Vice President of the Board & Advisorno data€4.53m0.11% 4.6m
Patrick Drahi
President of the Board & Director1.75yrs€34.61mno data
Natacha Marty
Company Secretary1.67yrs€588.78kno data
Bruno Moineville
Founding Partnerno datano datano data
Malo Corbin
Chief Financial Officer1.42yrsno datano data
Armando Pereira
Chief Operating Officerno datano datano data
Pierre Chappaz
Member of Management Board2.75yrsno datano data
Sam Wood
Head of Investor Relationsno datano datano data
Arthur Dreyfuss
Head of Communicationsno datano datano data

2.2yrs

Average Tenure

55yo

Average Age

Experienced Management: ATC's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Alain Weill
CEO & Director2.17yrs€23.18m1.82% 75.7m
Dennis Okhuijsen
Vice President of the Board & Advisorno data€4.53m0.11% 4.6m
Patrick Drahi
President of the Board & Director1.75yrs€34.61mno data
Natacha Marty
Company Secretary1.67yrs€588.78kno data
Eric Denoyer
Chairman of Numericable - SFR and Chief Executive Officer of Numericable - SFR9.17yrsno datano data
Nicolas Paulmier
Non-Executive Director1.33yrs€12.53k0.00067% 27.9k
Thierry Sauvaire
Independent Non-Executive Director1.67yrs€41.63k0.0043% 178.2k
Jurgen van Breukelen
Independent Chairman of the Board4.58yrs€243.34kno data
Philippe Besnier
Non-Executive Director1.33yrs€10.25kno data

1.7yrs

Average Tenure

55yo

Average Age

Experienced Board: ATC's board of directors are not considered experienced ( 1.7 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Altice Europe N.V.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Altice Europe N.V.
  • Ticker: ATC
  • Exchange: ENXTAM
  • Founded: 2001
  • Industry: Cable and Satellite
  • Sector: Media
  • Market Cap: €4.164b
  • Shares outstanding: 1.19b
  • Website: https://www.altice.net

Number of Employees


Location

  • Altice Europe N.V.
  • Prins Bernhardplein 200
  • Amsterdam
  • Noord-Holland
  • 1097 JB
  • Netherlands

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ATCENXTAM (Euronext Amsterdam)YesClass A Common SharesNLEURAug 2015
ATCBENXTAM (Euronext Amsterdam)Class B Common SharesNLEURAug 2015
ATCBaBATS-CHIXE (BATS 'Chi-X Europe')Class B Common SharesGBEURAug 2015
ATCaBATS-CHIXE (BATS 'Chi-X Europe')YesClass A Common SharesGBEURAug 2015
6ATDB (Deutsche Boerse AG)YesClass A Common SharesDEEURAug 2015
0RALLSE (London Stock Exchange)Class B Common SharesGBEURAug 2015
0RANLSE (London Stock Exchange)YesClass A Common SharesGBEURAug 2015
ALVV.FOTCPK (Pink Sheets LLC)Class B Common SharesUSUSDAug 2015
ALLV.FOTCPK (Pink Sheets LLC)YesClass A Common SharesUSUSDAug 2015
ATCWBAG (Wiener Boerse AG)YesClass A Common SharesATEURAug 2015
6ATADB (Deutsche Boerse AG)Class B Common SharesDEEURAug 2015
ALTC.YOTCPK (Pink Sheets LLC)UNSPONSORED ADSUSUSDDec 2017

Biography

Altice Europe N.V. operates as a telecom, content, media, entertainment, and advertising company primarily in France, Portugal, Israel, and the Dominican Republic. It delivers customer-centric products and solutions that connect and unlock of its approximately 30 million customers over fiber networks and mobile broadband. The company also provides enterprise digital solutions to various business customers. It enables people to live out their passions by providing original content and TV shows, as well as international, national, and local news channels. It delivers live broadcast premium sports events and enables its customers to enjoy media and entertainment. The company was formerly known as Altice NV and changed its name to Altice Europe N.V. in June 2018. Altice Europe N.V. was founded in 2001 and is headquartered in Amsterdam, the Netherlands. Altice Europe N.V. operates as a subsidiary of Next Alt S.a.r.l. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/27 23:35
End of Day Share Price2020/03/27 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.