ATUS

Altice USANYSE:ATUS Stock Report

Market Cap

US$11.7b

7D

-3.9%

1Y

-2.3%

Updated

19 Sep, 2021

Data

Company Financials +
ATUS fundamental analysis
Snowflake Score
Valuation3/6
Future Growth2/6
Past Performance5/6
Financial Health0/6
Dividends0/6

ATUS Overview

Altice USA, Inc., together with its subsidiaries, provides broadband communications and video services in the United States, Canada, Puerto Rico, and the Virgin Islands.

Altice USA Competitors

Comcast

NasdaqGS:CMCS.A

US$262.1b

DISH Network

NasdaqGS:DISH

US$22.4b

Cable One

NYSE:CABO

US$11.9b

WideOpenWest

NYSE:WOW

US$1.7b

Price History & Performance

Summary of all time highs, changes and price drops for Altice USA
Historical stock prices
Current Share PriceUS$25.65
52 Week HighUS$25.08
52 Week LowUS$38.30
Beta1.09
1 Month Change-10.47%
3 Month Change-24.36%
1 Year Change-2.29%
3 Year Change33.87%
5 Year Changen/a
Change since IPO-21.58%

Recent News & Updates

Sep 08

Plugging Into The Altice Bull Case

Altice has massively trailed peers so far this year. Management has not done themselves any favors. From a quixotic quest to buy Atlantic Broadband to forecasts that showed no handle on the business. Still, the company is much cheaper than peers, gushing cash flow, and buying back shares hand over fist.

Aug 14

Altice USA: 16% Correction Was Overreaction To Q2 Broadband Stability

ATUS stock has fallen 15.5% since Q2 results on July 28, which we believe to be an over-reaction and represents an opportunity. Zero organic Broadband net add in Q2 was due to COVID-related move churn and the end of mandated payment extensions. Competition has remained manageable, ATUS is confident about H2, and "edge out" and fiber upgrade will help future years. Free Cash Flow Yield is nearly 10%, and Free Cash Flow/Share will grow at double digits even with conservative assumptions. With shares at $28.81, we expect an exit price of $58 and a total return of 101% (22.8% annualized) by 2024 year-end. Buy.

Jul 27
Here's What's Concerning About Altice USA's (NYSE:ATUS) Returns On Capital

Here's What's Concerning About Altice USA's (NYSE:ATUS) Returns On Capital

If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for...

Shareholder Returns

ATUSUS MediaUS Market
7D-3.9%-1.8%-0.6%
1Y-2.3%29.9%33.8%

Return vs Industry: ATUS underperformed the US Media industry which returned 29.9% over the past year.

Return vs Market: ATUS underperformed the US Market which returned 33.8% over the past year.

Price Volatility

Is ATUS's price volatile compared to industry and market?
ATUS volatility
ATUS Beta1.09
Industry Beta1.15
Market Beta1

Stable Share Price: ATUS is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: ATUS's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20158,900Dexter Goeihttps://www.alticeusa.com

Altice USA, Inc., together with its subsidiaries, provides broadband communications and video services in the United States, Canada, Puerto Rico, and the Virgin Islands. It offers broadband, video, telephony, and mobile services to approximately 5 million residential and business customers. The company’s video services include delivery of broadcast stations and cable networks; over the top services; video-on-demand, high-definition channels, digital video recorder, and pay-per-view services; and platforms for video programming through mobile applications.

Altice USA Fundamentals Summary

How do Altice USA's earnings and revenue compare to its market cap?
ATUS fundamental statistics
Market CapUS$11.73b
Earnings (TTM)US$797.57m
Revenue (TTM)US$9.96b

14.7x

P/E Ratio

1.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ATUS income statement (TTM)
RevenueUS$9.96b
Cost of RevenueUS$3.32b
Gross ProfitUS$6.65b
ExpensesUS$5.85b
EarningsUS$797.57m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.56
Gross Margin66.71%
Net Profit Margin8.00%
Debt/Equity Ratio-1,999.9%

How did ATUS perform over the long term?

See historical performance and comparison

Valuation

Is Altice USA 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: ATUS ($25.65) is trading below our estimate of fair value ($54.1)

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


Price To Earnings Ratio

PE vs Industry: ATUS is poor value based on its PE Ratio (14.7x) compared to the US Media industry average (12.3x).

PE vs Market: ATUS is good value based on its PE Ratio (14.7x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: ATUS is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

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


Future Growth

How is Altice USA forecast to perform in the next 1 to 3 years based on estimates from 25 analysts?

11.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ATUS's forecast earnings growth (11.6% per year) is above the savings rate (2%).

Earnings vs Market: ATUS's earnings (11.6% per year) are forecast to grow slower than the US market (14.8% per year).

High Growth Earnings: ATUS's earnings are forecast to grow, but not significantly.

Revenue vs Market: ATUS's revenue (2.2% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: ATUS's revenue (2.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ATUS's Return on Equity is forecast to be very high in 3 years time (78.2%).


Past Performance

How has Altice USA performed over the past 5 years?

28.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ATUS has high quality earnings.

Growing Profit Margin: ATUS's current net profit margins (8%) are higher than last year (1.9%).


Past Earnings Growth Analysis

Earnings Trend: ATUS has become profitable over the past 5 years, growing earnings by 28.6% per year.

Accelerating Growth: ATUS's earnings growth over the past year (324.3%) exceeds its 5-year average (28.6% per year).

Earnings vs Industry: ATUS earnings growth over the past year (324.3%) exceeded the Media industry 96.3%.


Return on Equity

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


Financial Health

How is Altice USA's financial position?


Financial Position Analysis

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

Long Term Liabilities: ATUS 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: ATUS has negative shareholder equity, which is a more serious situation than a high debt level.

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

Debt Coverage: ATUS's debt is not well covered by operating cash flow (10.9%).

Interest Coverage: ATUS's interest payments on its debt are not well covered by EBIT (2x coverage).


Balance Sheet


Dividend

What is Altice USA current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if ATUS'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 ATUS's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

2.4yrs

Average management tenure


CEO

Dexter Goei (49 yo)

5.25yrs

Tenure

US$48,021,088

Compensation

Mr. Dexter G. Goei is Non-Independent Non-Executive Director at Teads B.V. since 2021. He is the Chief Executive Officer and Director of Altice USA since 2016. Mr. Goei was the Chairman of ltice USA since...


CEO Compensation Analysis

Compensation vs Market: Dexter's total compensation ($USD48.02M) is above average for companies of similar size in the US market ($USD11.33M).

Compensation vs Earnings: Dexter's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: ATUS's management team is considered experienced (2.4 years average tenure).


Board Members

Experienced Board: ATUS's board of directors are considered experienced (3.7 years average tenure).


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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Altice USA, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Altice USA, Inc.
  • Ticker: ATUS
  • Exchange: NYSE
  • Founded: 2015
  • Industry: Cable and Satellite
  • Sector: Media
  • Market Cap: US$11.725b
  • Shares outstanding: 457.13m
  • Website: https://www.alticeusa.com

Number of Employees


Location

  • Altice USA, Inc.
  • 1 Court Square West
  • Long Island City
  • New York
  • 11101
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/19 22:12
End of Day Share Price2021/09/17 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.