Cable One, Achieves Impressive 2023 Return on Equity of 20.4%!
March 19, 2023
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ROE is a measure of an organization’s ability to generate profits from its existing equity capital and indicates how effectively the company is utilizing its existing resources to achieve its objectives. Investors have cheered the impressive ROE of Cable One ($NYSE:CABO), Inc. as it provides the company with an indication that it is on the right track in terms of financial growth and performance. Furthermore, their strong ROE demonstrates that they have a reliable and efficient management team in place that is making the most of the available resources.
In addition, their focus on long-term goals and strategies has enabled them to maximize shareholder value. Investors can be sure that their investments are in good hands with Cable One. It is also an indication that the organization is well-positioned to meet future challenges and continue to grow in the years ahead.
Share Price
So far, media sentiment of the company has been mostly positive. On Monday, CABLE ONE stock opened at $638.1 and closed at $622.6, representing a decrease of 3.2% from its last closing price of $643.0. This is likely due to the industry-wide downturn in media stocks caused by the ongoing pandemic. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Cable One. More…
| Total Revenues | Net Income | Net Margin |
| 1.71k | 234.12 | 13.5% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Cable One. More…
| Operations | Investing | Financing |
| 738.04 | -448.27 | -463.43 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Cable One. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 6.91k | 5.16k | 304.89 |
Key Ratios Snapshot
Some of the financial key ratios for Cable One are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 13.5% | 18.9% | 30.1% |
| FCF Margin | ROE | ROA |
| 19.2% | 17.5% | 4.6% |
Analysis
GoodWhale has been analyzing the fundamentals of CABLE ONE. Our star chart shows that CABLE ONE is strong in dividend, growth, and profitability, but slightly weak in asset. Its health score is 8/10, which suggests that the company is able to pay off debt and fund future operations. Furthermore, CABLE ONE is classified as a ‘gorilla’, a type of company that has achieved stable and high revenue or earning growth due to their strong competitive advantage. Given these fundamentals, we can conclude that CABLE ONE would be an attractive investment opportunity for investors that are looking for dividend growth and a dependable company with a competitive edge. With its strong cashflows and debt level, CABLE ONE may be an ideal option for investors seeking a reliable and steady return on their investments. More…
Peers
Cable One Inc is one of the leading telecommunications companies in the world. With a strong focus on innovative technology and excellent customer service, the company has established a strong presence in the market. Its main competitors are PT Link Net Tbk, HKBN Ltd, and Telenet Group Holding NV.
– PT Link Net Tbk ($IDX:LINK)
PT Link Net Tbk is a provider of high-speed broadband and cable television services in Indonesia. It has a market cap of 7.79T as of 2022 and a Return on Equity of 11.5%. The company offers its services to both residential and business customers. It has a wide network of over 1,000 kilometers of fiber optic cables that connect to more than 500,000 homes and businesses in Indonesia.
– HKBN Ltd ($SEHK:01310)
As of March 2022, HKBN Ltd had a market capitalization of $6.54 billion and a return on equity of 10.33%. HKBN Ltd is a telecommunications company that provides broadband, voice, and other communications services to residential and business customers in Hong Kong. The company has a fiber-to-the-home network that covers over 2.2 million residential homes and businesses in Hong Kong.
– Telenet Group Holding NV ($LTS:0GAF)
Telenet Group Holding NV is a leading provider of cable television, high-speed Internet, and fixed-line telephony services in Belgium. The company has a market capitalization of 1.68 billion as of 2022 and a return on equity of -91.64%. Telenet offers a wide range of services to its customers, including digital television, high-speed Internet, and fixed-line telephony. The company has a strong customer base and a large market share in Belgium.
Summary
Investing in Cable One, Inc. has proven to be a lucrative venture. Media sentiment towards the stock has been mostly positive, yet despite this the stock price declined on the same day. Analysts suggest that the downward movement of the stock is likely due to investors taking profit after the impressive ROE announcement, rather than a lack of confidence in the company. Investors have been impressed with Cable One’s performance, and it appears to remain a strong choice for long-term investments.
