OPTU

Optimum Communications, Inc.

Fundamental data last updated:September 21, 2026

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company profile

SECTOR

Communication Services

industry

Telecommunications Services

Exchange

NYSE

County of HQ

US

Next Earnings Date

Pending Announcement

Business Summary

Optimum Communications, Inc. engages in the provision of broadband, pay television, telephony services, proprietary content, and advertising services. Its brands include Optimum, Suddenlink, Optimum Mobile, Altice Business, News 12 Networks, Cheddar News, a4 Advertising, and i24 News. The company was founded by Patrick Drahi in 2001 and is headquartered in Long Island City, NY.

 


VALUATION

P/E

-0.06

Market Cap ($M USD)

$283.97M

Forward P/E

-1.28

PEG

-0.01

PRICE TO SALES

0.03

PRICE TO BOOK

-0.05

EV / EBITDA

7.89

5-Year Average P/E

Free Cash Flow Yield

-31.08%

DCF Value

$41.92

Graham Number

N/A

Price to FCF

-3.22

EV to FCF

-293.71

Earnings Yield

-1,637.61%

FCF Yield

-31.08%

DIVIDEND

Yield

0.00%

Annual Payout

$0.00

Payout Ratio

0.00%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

-$9.90

Next Year EPS Growth Estimate

-$0.47

Next Year Revenue Growth Estimate

$7.40B

Return on Equity (ROE)

180.25%

FREE CASH FLOW

Operating Margin

-1.04%

Debt-to-Equity

-11.43

Piotroski F-Score

4

Altman Z-Score

0.21

Return on Invested Capital (ROIC)

-0.34%

Current Ratio

0.85

Quick Ratio

0.85

Net Debt to EBITDA

7.80

Interest Coverage

-0.05

Gross Profit margin

64.67%

FCF PER SHARE

$-0.19

REVENUE PER SHARE

$18.00

Gainseekers Quantitative Analysis

Summary

The market seems to be grossly mispricing Optimum Communications, Inc., given its DCF value towers over recent pricing. The Forward P/E and Earnings Yield are deeply negative, signaling severe profitability issues and potential mismanagement. With an Altman Z-score of 0.22, the company teeters on the brink of financial distress, raising red flags about its long-term viability. Despite a staggering ROE of 180.25%, the negative operating margin and ROIC suggest this is more a product of financial engineering than operational excellence. Investors should tread cautiously, as the numbers paint a picture of a company struggling to find its footing.

AI Exposure / Tech Reliance

In the rapidly evolving telecommunications sector, Optimum Communications must leverage AI to enhance network efficiency and customer service. As the industry shifts towards 5G and beyond, their ability to integrate cutting-edge technology will be crucial. However, their current financial instability could hinder investment in necessary tech advancements.

The Bull Case

For the bold value investor, Optimum Communications offers a tantalizing opportunity. Despite its challenges, the company boasts a Piotroski F-Score of 4, indicating some fundamental strength. The gross profit margin of 64.67% suggests potential pricing power, while the negative FCF yield and ROIC hint at untapped capital efficiency. If management can harness these elements, there could be significant upside potential.

The Bear Case

Optimum Communications faces daunting structural risks. The negative Price/Book and Price/Sales ratios highlight a company undervalued by the market, yet this is overshadowed by its abysmal cash flow metrics. With a net debt to EBITDA ratio of 7.80 and an interest coverage ratio in the red, liquidity concerns are glaring. The stock's proximity to its 52-week low further underscores its precarious position, making it a risky bet for cautious investors.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Hold

Average Analyst Price Target

$1.06

Institutional Ownership %

1-Year Beta

1.57

Insider Buying % (6 Mo)

Distance to 52-Week High

392.89%

Distance to 52-Week Low

2.41%

EARNINGS SURPRISE %

37.50%

50-DAY SMA

$1.25

200-DAY SMA

$1.80

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.