NYSE:WOW

Stock Analysis Report

Executive Summary

WideOpenWest, Inc. provides high speed data, cable television, and digital telephony services to residential and business services customers in the United States.

Snowflake

Fundamentals

Fair value with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

7.1%

WOW

2.7%

US Media

3.4%

US Market


1 Year Return

-45.6%

WOW

16.3%

US Media

5.4%

US Market

Return vs Industry: WOW underperformed the US Media industry which returned 16.3% over the past year.

Return vs Market: WOW underperformed the US Market which returned 5.4% over the past year.


Shareholder returns

WOWIndustryMarket
7 Day7.1%2.7%3.4%
30 Day-3.4%-2.2%-1.0%
90 Day-18.3%-1.5%-0.4%
1 Year-45.6%-45.6%17.8%16.3%7.7%5.4%
3 Yearn/a29.2%24.0%46.2%36.8%
5 Yearn/a44.4%32.8%65.6%47.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

7.5x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: WOW ($6) is trading above our estimate of fair value ($4.57)

Significantly Undervalued: WOW is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: WOW is good value based on its PE Ratio (7.5x) compared to the Media industry average (12.9x).

PE vs Market: WOW is good value based on its PE Ratio (7.5x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: WOW is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

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


Next Steps

Future Growth

How is WideOpenWest forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

21.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WOW's forecast earnings growth (21.4% per year) is above the savings rate (2.7%).

Earnings vs Market: WOW's earnings (21.4% per year) are forecast to grow faster than the US market (14.3% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: WOW's revenue (1.2% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: WOW's revenue (1.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if WOW's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has WideOpenWest performed over the past 5 years?

15.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: WOW's earnings have grown by 15.2% per year over the past 5 years.

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

Earnings vs Industry: WOW has become profitable in the last year, making it difficult to compare its past year earnings growth to the Media industry (-35.1%).


Return on Equity

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


Return on Assets

ROA vs Industry: WOW has a higher Return on Assets than the Media industry average last year.


Return on Capital Employed

ROCE Improving: WOW's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is WideOpenWest's financial position?


Financial Position Analysis

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

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

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

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

Interest Coverage: WOW's interest payments on its debt are not well covered by EBIT (1.4x coverage).


Balance Sheet

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

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


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage2.0%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

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


Next Steps

Management

What is the CEO of WideOpenWest's salary, the management and board of directors tenure and is there insider trading?

1.7yrs

Average management tenure


CEO

Teresa Elder (57yo)

1.8yrs

Tenure

US$4,125,183

Compensation

Ms. Teresa L. Elder has been Chief Executive Officer and Director of WideOpenWest, Inc since December 14, 2017. She served as President of Wholesale & Strategic Partnerships at Clearwire from 2009 to 2011. ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Teresa's total compensation is reasonable compared to companies of similar size in the US market.

Compensation vs Earnings: Teresa's compensation has been consistent with company performance over the past year.


Management Age and Tenure

1.7yrs

Average Tenure

58yo

Average Age

Experienced Management: WOW's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Age and Tenure

2.4yrs

Average Tenure

56yo

Average Age

Experienced Board: WOW's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: WOW insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$263,15811 Oct 19
Crestview Partners, L.P.
EntityCompany
Shares45,730
Max PriceUS$5.75
BuyUS$2,999,31409 Oct 19
Crestview Partners, L.P.
EntityCompany
Shares534,200
Max PriceUS$5.99
BuyUS$116,23904 Oct 19
Crestview Partners, L.P.
EntityCompany
Shares19,438
Max PriceUS$5.98
BuyUS$108,53901 Oct 19
Crestview Partners, L.P.
EntityCompany
Shares18,120
Max PriceUS$5.99
BuyUS$151,07017 Sep 19
Crestview Partners, L.P.
EntityCompany
Shares25,736
Max PriceUS$5.87
BuyUS$292,99012 Sep 19
Crestview Partners, L.P.
EntityCompany
Shares51,481
Max PriceUS$5.70
BuyUS$5,19529 Aug 19
Richard Fish
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares1,000
Max PriceUS$5.19
BuyUS$52,57628 Aug 19
Donald Martin
EntityIndividual
Role
Chief Legal Officer
General Counsel & Secretary
Shares10,000
Max PriceUS$5.30
BuyUS$25,98228 Aug 19
David Brunick
EntityIndividual
Role
Head of Human Resources
Chief Human Resources Officer
Shares5,000
Max PriceUS$5.20
BuyUS$49,97828 Aug 19
Teresa Elder
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares9,447
Max PriceUS$5.29
BuyUS$22,78527 Aug 19
David Brunick
EntityIndividual
Role
Head of Human Resources
Chief Human Resources Officer
Shares4,500
Max PriceUS$5.06
BuyUS$872,92810 Apr 19
Crestview Partners, L.P.
EntityCompany
Shares92,398
Max PriceUS$9.50
BuyUS$3,134,42204 Apr 19
Crestview Partners, L.P.
EntityCompany
Shares330,059
Max PriceUS$9.50
BuyUS$1,080,68302 Apr 19
Crestview Partners, L.P.
EntityCompany
Shares113,822
Max PriceUS$9.49
BuyUS$2,816,70501 Apr 19
Crestview Partners, L.P.
EntityCompany
Shares299,308
Max PriceUS$9.48
BuyUS$2,646,23327 Mar 19
Crestview Partners, L.P.
EntityCompany
Shares278,923
Max PriceUS$9.50
BuyUS$1,611,55722 Mar 19
Crestview Partners, L.P.
EntityCompany
Shares171,240
Max PriceUS$9.49
BuyUS$2,112,69219 Mar 19
Crestview Partners, L.P.
EntityCompany
Shares226,635
Max PriceUS$9.45
BuyUS$1,333,57218 Mar 19
Crestview Partners, L.P.
EntityCompany
Shares144,164
Max PriceUS$9.39
BuyUS$1,581,98114 Mar 19
Crestview Partners, L.P.
EntityCompany
Shares193,108
Max PriceUS$8.45
BuyUS$49,93214 Mar 19
Teresa Elder
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares6,265
Max PriceUS$7.97
BuyUS$25,07314 Dec 18
Donald Martin
EntityIndividual
Role
Chief Legal Officer
General Counsel & Secretary
Shares3,180
Max PriceUS$7.88
BuyUS$24,35013 Dec 18
Donald Schena
EntityIndividual
Role
Senior Key Executive
Chief Customer Experience Officer
Shares3,000
Max PriceUS$8.12
BuyUS$19,99812 Dec 18
Teresa Elder
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares2,395
Max PriceUS$8.35
BuyUS$16,95011 Dec 18
Donald Schena
EntityIndividual
Role
Senior Key Executive
Chief Customer Experience Officer
Shares2,000
Max PriceUS$8.48

Ownership Breakdown


Management Team

  • Rich Fish (53yo)

    Chief Financial Officer

    • Tenure: 6.8yrs
    • Compensation: US$1.17m
  • David Brunick (57yo)

    Chief Human Resources Officer

    • Tenure: 1.7yrs
  • Donald Martin (67yo)

    General Counsel & Secretary

    • Tenure: 19.8yrs
    • Compensation: US$1.14m
  • Teresa Elder (57yo)

    CEO & Director

    • Tenure: 1.8yrs
    • Compensation: US$4.13m
  • Lucas Binder

    Vice President of Corporate Development & Investor Relations

    • Tenure: 0yrs
  • Don Schena (59yo)

    Chief Customer Experience Officer

    • Tenure: 1.3yrs
  • Nancy McGee (61yo)

    Chief Marketing & Sales Officer

    • Tenure: 1.7yrs
    • Compensation: US$1.54m
  • Bill Case

    Chief Information Officer

    • Tenure: 0.08yrs

Board Members

  • Tom McMillin (57yo)

    Director

    • Tenure: 2.2yrs
    • Compensation: US$255.69k
  • Phil Seskin (55yo)

    Director

    • Tenure: 2.6yrs
    • Compensation: US$248.28k
  • Jeff Marcus (72yo)

    Chairman of the Board

    • Tenure: 0yrs
    • Compensation: US$328.62k
  • Teresa Elder (57yo)

    CEO & Director

    • Tenure: 1.8yrs
    • Compensation: US$4.13m
  • Brian Cassidy (45yo)

    Director

    • Tenure: 2.6yrs
    • Compensation: US$223.05k
  • Dan Kilpatrick (38yo)

    Director

    • Tenure: 2.6yrs
    • Compensation: US$226.18k
  • Jill Bright (56yo)

    Director

    • Tenure: 2.1yrs
    • Compensation: US$246.06k

Company Information

WideOpenWest, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: WideOpenWest, Inc.
  • Ticker: WOW
  • Exchange: NYSE
  • Founded: 2001
  • Industry: Cable and Satellite
  • Sector: Media
  • Market Cap: US$506.842m
  • Shares outstanding: 84.47m
  • Website: https://www.wowway.com

Number of Employees


Location

  • WideOpenWest, Inc.
  • 7887 East Belleview Avenue
  • Suite 1000
  • Englewood
  • Colorado
  • 80111
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WOWNYSE (New York Stock Exchange)YesCommon StockUSUSDMay 2017
WU5DB (Deutsche Boerse AG)YesCommon StockDEEURMay 2017

Biography

WideOpenWest, Inc. provides high speed data, cable television, and digital telephony services to residential and business services customers in the United States. Its video services include basic cable ser ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 00:45
End of Day Share Price2019/10/15 00:00
Earnings2019/06/30
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.