Cable One (CABO) Reports Earnings Tomorrow: What To Expect

Internet, cable TV, and phone provider Cable One (NYSE:CABO) will be reporting results tomorrow after market hours. Here’s what to expect.

Cable One missed analysts’ revenue expectations by 1.3% last quarter, reporting revenues of $394.5 million, down 7% year on year. It was a slower quarter for the company, with a miss of analysts’ earnings estimates.

Is Cable One a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Cable One’s revenue to decline 6.9% year on year to $391.2 million, a further deceleration from the 1% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $12.44 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Cable One has missed Wall Street’s revenue estimates five times over the last two years.

Looking at Cable One’s peers in the wireless, cable and satellite segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Charter delivered year-on-year revenue growth of 1.6%, meeting analysts’ expectations, and Comcast reported revenues up 6.5%, topping estimates by 1.1%. Charter traded up 14.7% following the results while Comcast was also up 3%.

Read our full analysis of Charter’s results here and Comcast’s results here.

There has been positive sentiment among investors in the wireless, cable and satellite segment, with share prices up 3.3% on average over the last month. Cable One is up 18.6% during the same time and is heading into earnings with an average analyst price target of $491 (compared to the current share price of $374.84).

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