NYSE:CBB

Stock Analysis Report

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Executive Summary

Cincinnati Bell Inc., together with its subsidiaries, provides diversified telecommunications and technology services to residential and business customers in the United States. More Details


Snowflake Analysis

Weak fundamentals or lack of information.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: CBB has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.6%

CBB

-2.5%

US Telecom

-5.3%

US Market


1 Year Return

190.5%

CBB

-18.3%

US Telecom

10.4%

US Market

Return vs Industry: CBB exceeded the US Telecom industry which returned -18.8% over the past year.

Return vs Market: CBB exceeded the US Market which returned 12% over the past year.


Shareholder returns

CBBIndustryMarket
7 Day-0.6%-2.5%-5.3%
30 Day0%-4.7%-2.1%
90 Day0.3%-5.0%1.7%
1 Year190.5%190.5%-14.0%-18.3%12.9%10.4%
3 Year-22.2%-22.2%11.6%-4.4%34.3%25.4%
5 Year-20.8%-20.8%19.6%-7.4%73.7%54.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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


In this section, we usually try to help investors determine whether Cincinnati Bell is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Cincinnati Bell has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of CBB's management and see if the CEO's compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don't know where to start, we recommend reading through Cincinnati Bell regulatory filings.
  • Explore potentially undervalued companies in the Telecom industry.

Future Growth

How is Cincinnati Bell forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

30.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CBB is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: CBB is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: CBB is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: CBB's revenue (0.2% per year) is forecast to grow slower than the US market (10% per year).

High Growth Revenue: CBB's revenue (0.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Cincinnati Bell performed over the past 5 years?

-69.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CBB is currently unprofitable.

Growing Profit Margin: CBB is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CBB is unprofitable, and losses have increased over the past 5 years at a rate of 69% per year.

Accelerating Growth: Unable to compare CBB's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CBB is unprofitable, making it difficult to compare its past year earnings growth to the Telecom industry (9.7%).


Return on Equity

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


Next Steps

Financial Health

How is Cincinnati Bell's financial position?


Financial Position Analysis

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

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

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

Debt Coverage: CBB's debt is not well covered by operating cash flow (11.2%).

Interest Coverage: CBB is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Cincinnati Bell current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate CBB'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 CBB's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CBB'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 CBB'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?

3.1yrs

Average management tenure


CEO

Leigh Fox (47 yo)

3.25yrs

Tenure

US$3,992,030

Compensation

Mr. Leigh R. Fox serves as the Chief Executive Officer and President of Cincinnati Bell Inc. (“Cincinnati Bell”) since July 1, 2017 and September 2016 respectively. Mr. Fox is a Director at Cincinnati Bell ...


CEO Compensation Analysis

Compensation vs Market: Leigh's total compensation ($USD3.99M) is above average for companies of similar size in the US market ($USD2.96M).

Compensation vs Earnings: Leigh's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Leigh Fox
President3.25yrsUS$3.99m0.22%
$ 1.7m
Andrew Kaiser
Chief Financial Officer4yrsUS$1.55m0.046%
$ 348.7k
Thomas Simpson
Chief Operating Officer3.25yrsUS$1.70m0.058%
$ 444.4k
Christopher Wilson
VP & General Counsel17.17yrsUS$1.37m0.12%
$ 902.3k
Christi Cornette
Chief Culture Officer3.25yrsUS$1.19m0.043%
$ 327.8k
Joshua Duckworth
Vice President of Treasury3yrsUS$483.60k0.032%
$ 248.3k
Kevin Murray
Senior VP & Chief Information Officer2.75yrsno datano data
Christopher Elma
Chief Financial Officer of Entertainment & Communications's Business Segment3yrsno datano data
Connie Vogt
Corporate Secretaryno datano datano data
Suzanne Maratta
VP & Corporate Controller1.42yrsno datano data
Jason Praeter
President & GM of Cincinnati Bellno datano datano data
Su Shin
President & GM of Hawaiian Telcom0.58yrno datano data

3.1yrs

Average Tenure

47yo

Average Age

Experienced Management: CBB's management team is considered experienced (3.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Leigh Fox
President3.25yrsUS$3.99m0.22%
$ 1.7m
Walter Dods
Independent Director2.25yrsUS$196.67k0.052%
$ 400.5k
Meredith Ching
Independent Director2.25yrsUS$190.00k0.057%
$ 434.3k
Craig Maier
Independent Director12.25yrsUS$213.00k0.11%
$ 807.2k
Martin Yudkovitz
Independent Director5.25yrsUS$193.33k0.079%
$ 603.6k
Lynn Wentworth
Independent Chairman of the Board1.42yrsUS$312.42k0.11%
$ 858.2k
John Eck
Independent Director6yrsUS$178.33k0.067%
$ 509.0k
Jakki Haussler
Independent Director12.42yrsUS$213.50k0.11%
$ 807.8k
Theodore Torbeck
Independent Director7.75yrsUS$180.00k0.53%
$ 4.1m
Russel Mayer
Independent Director7yrsUS$204.50k0.075%
$ 575.2k

5.6yrs

Average Tenure

63yo

Average Age

Experienced Board: CBB's board of directors are considered experienced (5.6 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

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


Key Information

  • Name: Cincinnati Bell Inc.
  • Ticker: CBB
  • Exchange: NYSE
  • Founded: 1873
  • Industry: Integrated Telecommunication Services
  • Sector: Telecom
  • Market Cap: US$764.770m
  • Shares outstanding: 50.68m
  • Website: https://www.cincinnatibell.com

Number of Employees


Location

  • Cincinnati Bell Inc.
  • 221 East Fourth Street
  • Cincinnati
  • Ohio
  • 45202
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CBBNYSE (New York Stock Exchange)YesCommon SharesUSUSDFeb 1969
CIB1DB (Deutsche Boerse AG)YesCommon SharesDEEURFeb 1969

Biography

Cincinnati Bell Inc., together with its subsidiaries, provides diversified telecommunications and technology services to residential and business customers in the United States. It operates in two segments ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/31 00:50
End of Day Share Price2020/10/30 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.