NasdaqGS:SHEN

Stock Analysis Report

Shenandoah Telecommunications

Executive Summary

Shenandoah Telecommunications Company, through its subsidiaries, primarily provides wireless, cable, and wireline telecommunications services to customers and other telecommunications providers.

Snowflake

Fundamentals

Acceptable track record with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.0%

NasdaqGS:SHEN

-0.4%

US Wireless Telecom

0.8%

US Market


1 Year Return

-14.3%

NasdaqGS:SHEN

6.5%

US Wireless Telecom

1.9%

US Market

SHEN underperformed the Wireless Telecom industry which returned 6.3% over the past year.

SHEN underperformed the Market in United States of America which returned 2.1% over the past year.


Share holder returns

SHENIndustryMarket
7 Day-1.0%-0.4%0.8%
30 Day1.4%1.4%3.4%
90 Day-18.7%-3.6%2.1%
1 Year-13.7%-14.3%7.7%6.5%4.2%1.9%
3 Year29.6%26.6%37.7%32.3%46.7%37.2%
5 Year166.1%153.3%38.4%24.7%62.3%44.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Shenandoah Telecommunications undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Shenandoah Telecommunications's share price is below the future cash flow value, and at a moderate discount (> 20%).

Shenandoah Telecommunications's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Shenandoah Telecommunications is overvalued based on earnings compared to the US Wireless Telecom industry average.

Shenandoah Telecommunications is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Shenandoah Telecommunications is poor value based on expected growth next year.


Price Based on Value of Assets

Shenandoah Telecommunications is overvalued based on assets compared to the US Wireless Telecom industry average.


Next Steps

Future Growth

How is Shenandoah Telecommunications expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

20.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Shenandoah Telecommunications's revenue is expected to grow by 6% yearly, however this is not considered high growth (20% yearly).

Shenandoah Telecommunications's earnings are expected to grow significantly at over 20% yearly.

Shenandoah Telecommunications's revenue growth is positive but not above the United States of America market average.

Shenandoah Telecommunications's earnings growth is expected to exceed the United States of America market average.

Shenandoah Telecommunications's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Shenandoah Telecommunications is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Shenandoah Telecommunications performed over the past 5 years?

17.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Shenandoah Telecommunications's year on year earnings growth rate has been positive over the past 5 years.

Shenandoah Telecommunications's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Shenandoah Telecommunications's 1-year earnings growth is negative, it can't be compared to the US Wireless Telecom industry average.


Return on Equity

Shenandoah Telecommunications has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Shenandoah Telecommunications used its assets more efficiently than the US Wireless Telecom industry average last year based on Return on Assets.


Return on Capital Employed

Shenandoah Telecommunications has improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Shenandoah Telecommunications's financial position?


Financial Position Analysis

Shenandoah Telecommunications is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Shenandoah Telecommunications's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Shenandoah Telecommunications's level of debt (161.7%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (92% vs 161.7% today).

Debt is well covered by operating cash flow (35.9%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 3.2x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.3x debt.


Next Steps

Dividend

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

0.57%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Shenandoah Telecommunications's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.43%).

Shenandoah Telecommunications's dividend is below the markets top 25% of dividend payers in United States of America (3.67%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (4.3x coverage).


Future Payout to Shareholders

No need to calculate the sustainability of Shenandoah Telecommunications's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

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

0.6yrs

Average management tenure


CEO

Chris French (61yo)

31.4yrs

Tenure

US$1,842,707

Compensation

Mr. Christopher E. French, also known as Chris, has been the Chairman of Shenandoah Telecommunications Co. since 1996 and its Chief Executive Officer and President since April 1988. Mr. French serves as th ...


CEO Compensation Analysis

Insufficient data for Chris to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.

Chris's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

0.6yrs

Average Tenure

56.5yo

Average Age

The average tenure for the Shenandoah Telecommunications management team is less than 2 years, this suggests a new team.


Board Age and Tenure

7.3yrs

Average Tenure

58yo

Average Age

The tenure for the Shenandoah Telecommunications board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$457,59212 Mar 19
Raymond Ostroski
EntityIndividual
Role
Chief Legal Officer
VP of Legal
Shares10,000
Max PriceUS$45.76
BuyUS$2,24604 Mar 19
Leigh Schultz
EntityIndividual
Role
Member of the Board of Directors
Director
Shares49
Max PriceUS$45.89
SellUS$300,00028 Nov 18
Richard Koontz
EntityIndividual
Role
Member of the Board of Directors
Director
Shares6,000
Max PriceUS$50.00
SellUS$109,23626 Nov 18
James Zerkel
EntityIndividual
Shares2,244
Max PriceUS$48.68
SellUS$95,60021 Nov 18
Edward McKay
EntityIndividual
Role
Senior Key Executive
Senior Vice President of Engineering & Operations
Shares2,000
Max PriceUS$47.80
BuyUS$1,37021 Nov 18
Leigh Schultz
EntityIndividual
Role
Member of the Board of Directors
Director
Shares29
Max PriceUS$47.25
SellUS$143,85019 Nov 18
Thomas Whitaker
EntityIndividual
Role
Head of Corporate Development
Senior Vice President of Corporate Development
Shares3,000
Max PriceUS$47.95
SellUS$928,53816 Nov 18
William Pirtle
EntityIndividual
Role
Head of Sales
Senior Vice President of Sales & Marketing
Shares20,000
Max PriceUS$46.43
SellUS$224,25014 Nov 18
Raymond Ostroski
EntityIndividual
Role
Chief Legal Officer
VP of Legal
Shares5,000
Max PriceUS$44.85
SellUS$127,80008 Nov 18
Thomas Whitaker
EntityIndividual
Role
Head of Corporate Development
Senior Vice President of Corporate Development
Shares3,000
Max PriceUS$42.60

Ownership Breakdown


Management Team

  • Chris French (61yo)

    Chairman

    • Tenure: 31.4yrs
    • Compensation: US$1.84m
  • Willy Pirtle (59yo)

    Senior Vice President of Sales & Marketing

    • Tenure: 0.7yrs
    • Compensation: US$624.09k
  • Jim Volk (55yo)

    Senior VP & CFO

    • Tenure: 0.3yrs
  • Tom Whitaker (58yo)

    Senior Vice President of Corporate Development

    • Tenure: 0.08yrs
    • Compensation: US$565.36k
  • Raymond Ostroski (64yo)

    VP of Legal

    • Tenure: 6.7yrs
    • Compensation: US$567.56k
  • Edward McKay (46yo)

    Senior Vice President of Engineering & Operations

    • Tenure: 4yrs
    • Compensation: US$351.59k
  • Dave Heimbach (43yo)

    Executive VP & COO

    • Tenure: 1.3yrs
    • Compensation: US$966.07k
  • Heather Banks

    VP & Chief Human Resources Officer

    • Tenure: 0.2yrs
  • Elaine Cheng

    VP & Chief Information Officer

    • Tenure: 0.5yrs
  • Chase Stobbe (35yo)

    Principal Accounting Officer

    • Tenure: 0.4yrs

Board Members

  • Dale Lam (56yo)

    Director

    • Tenure: 15.7yrs
    • Compensation: US$143.06k
  • Chris French (61yo)

    Chairman

    • Tenure: 31.4yrs
    • Compensation: US$1.84m
  • Tracy Fitzsimmons (52yo)

    Lead Independent Director

    • Tenure: 3yrs
    • Compensation: US$140.27k
  • Ken Quaglio (60yo)

    Director

    • Tenure: 2.7yrs
    • Compensation: US$124.37k
  • Rick Koontz (61yo)

    Director

    • Tenure: 13.3yrs
    • Compensation: US$125.01k
  • John Flora (64yo)

    Director

    • Tenure: 11.3yrs
    • Compensation: US$126.41k
  • Tom Beckett (51yo)

    Director

    • Tenure: 1.3yrs
  • Leigh Schultz (45yo)

    Director

    • Tenure: 3.2yrs
    • Compensation: US$132.33k

Company Information

Shenandoah Telecommunications Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Shenandoah Telecommunications Company
  • Ticker: SHEN
  • Exchange: NasdaqGS
  • Founded: 1902
  • Industry: Wireless Telecommunication Services
  • Sector: Telecom
  • Market Cap: US$1.658b
  • Shares outstanding: 49.86m
  • Website: https://www.shentel.com

Number of Employees


Location

  • Shenandoah Telecommunications Company
  • 500 Shentel Way
  • Edinburg
  • Virginia
  • 22824
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SHENNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDAug 1995
SH9DB (Deutsche Boerse AG)YesCommon StockDEEURAug 1995

Biography

Shenandoah Telecommunications Company, through its subsidiaries, primarily provides wireless, cable, and wireline telecommunications services to customers and other telecommunications providers. The compan ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/17 23:50
End of Day Share Price2019/09/17 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.