# Optimum Communications (OPTU.US)

Canonical: https://gigainvestors.com/s/OPTU

Analysis as of: 2026-10-16T07:30:56.165Z. Financial observations: FY2012–FY2025.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $0.96 per share; close as of 2026-10-15.

Estimated value: low $7.56 per share, central $8.04 per share, high $8.67 per share. Buy at or below the central value $8.04 per share. Valuation as of 2026-10-16T07:30:56.165Z; scenarios are not confidence intervals.

## Checklist

### understandable: fail

- 5 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- Financial history: 10 years

- Years with declining revenue: 5

- Years with a net loss: 3

- Operating margin variation: 0.29×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.08×

- FY2017: 0.09×

- FY2018: 0.18×

- FY2019: 0.19×

- FY2020: 0.21×

- FY2021: 0.25×

- FY2022: 0.20×

- FY2023: 0.21×

- FY2024: 0.19×

- FY2025: 0.18×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- Recent gross margin fell 16.8pp below the typical margin (limit 4pp)

- ROIC, median of available years: 7.6%

- ROIC, second-lowest year: 3.5%

- Typical minus recent gross margin: 16.8 pp

- Typical gross margin (annual median): 66.4%

- Recent gross margin (lower of latest and 3-year median): 49.5%

- Years with nonpositive capital: 0

- Capital spending / revenue: 12.1%

- ROIC including acquisitions, ten-year median: 2.8%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 2.1%

- FY2017: 3.5%

- FY2018: 7.3%

- FY2019: 7.5%

- FY2020: 9.2%

- FY2021: 11.1%

- FY2022: 7.0%

- FY2023: 7.7%

- FY2024: 8.0%

- FY2025: 8.3%

### economics: pass

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $270M

- Net income, five-year total: -$734M

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: -1.0 pp

- Working capital / revenue, change between three-year averages: -6.1 pp

- Working capital / revenue, final three-year average: -6.3%

Chart: Owner earnings · five years; fiscal year observations.

- FY2021: $1.5B

- FY2022: $98M

- FY2023: $39M

- FY2024: $106M

- FY2025: -$1.5B

### management: fail

- Historical market-dollar context (not the management verdict): 2017 to 2025 (8 years)

- potential debt-funded buybacks (informational)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 3.5% vs 8.0%

- Per-share earnings: 0.68 to -0.22 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 5.3%

- Ordinary dilution, 5-year annual growth: -4.3%

- Market cap gain: -$14B

- Cumulative retained earnings: -$3.4B

- Diluted shares, 10-year annual growth: 5.3%

- Diluted shares, 5-year annual growth: -4.3%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2025

- Per-share value change: -$0.90

- Per-share value, starting three-year median: $0.68

- Per-share value, ending three-year median: -$0.22

- Buybacks concentrated in cheaper years (correlation): 0.80

- Average buyback yield: 12.9%

- Buyback history: 4 years

- Debt-funded buybacks: Yes

- Acquisition spending: $9.8B

- Cumulative net income, 10 years: $521M

- ROIC, first three-year median: 3.5%

- ROIC, last three-year median: 8.0%

Chart: Earnings per share; fiscal year observations.

- FY2016: -$1.28

- FY2017: $2.15

- FY2018: $0.03

- FY2019: $0.21

- FY2020: $0.75

- FY2021: $2.14

- FY2022: $0.43

- FY2023: $0.12

- FY2024: -$0.22

- FY2025: -$4.00

### accounting: pass

- Sloan accruals: -10.1%

- Receivables to sales index (DSRI): 1.05×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 5.2%

- Earnings backed by cash: Yes

- Accounting red flags: 0

Chart: Sloan accruals; fiscal year observations.

- FY2016: -5.5%

- FY2017: -1.5%

- FY2018: -7.4%

- FY2019: -8.3%

- FY2020: -7.6%

- FY2021: -5.6%

- FY2022: -6.5%

- FY2023: -5.6%

- FY2024: -5.3%

- FY2025: -10.1%

## Holders

## Price story

Down 94% since Oct 2021 · "Optimum's Q2 Earnings Miss Estimates on Revenue Pressure" (finance.yahoo.com, Aug 2026) · sales -4.1%

Story as of 2026-10-16T09:59:20.283Z; price observation 2026-10-15.

- 2026-08-07: Optimum's Q2 Earnings Miss Estimates on Revenue Pressure ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/optimums-q2-earnings-miss-estimates-135100607.html))

### Sales · FY2024–2025

sales -4.1%; source https://www.sec.gov/Archives/edgar/data/1702780/000170278026000013/optu-20251231.htm; observed 2026-02-13.

- FY2016: $6.0B 

- FY2017: $9.3B 

- FY2018: $9.6B 

- FY2019: $9.8B 

- FY2020: $9.9B 

- FY2021: $10B 

- FY2022: $9.6B 

- FY2023: $9.2B 

- FY2024: $9.0B 

- FY2025: $8.6B 

### Gross margin · FY2025

gross margin 49.5%; source https://www.sec.gov/Archives/edgar/data/1702780/000170278026000013/optu-20251231.htm; observed 2026-02-13.

- FY2016: 68.2% 

- FY2017: 67.4% 

- FY2018: 66.8% 

- FY2019: 66.2% 

- FY2020: 66.2% 

- FY2021: 66.5% 

- FY2022: 48.4% 

- FY2023: 49.4% 

- FY2024: 67.7% 

- FY2025: 49.5% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in telecom services; annual sales are USD 8.6 billion.

- Source: https://www.sec.gov/Archives/edgar/data/1702780/000170278026000013/optu-20251231.htm (filed 2026-02-13); FY2025: revenue 8590467000; grossProfit 4256312000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-05); OPTU.US: Optimum Communications, Inc., together with its subsidiaries, provides broadband communications and video services under the Optimum brand in the United States, Canada, Puerto Rico, and the Virgin Islands. It provides broadband, video, telephony, and mobile services to residential and business customers. The company's video services include delivery of broadcast stations and cable networks; over the top services; video-on-demand, high-definition channels, digital video recorder, and pay-per-view services; and video programming services. It also provides voice over Internet protocol telephone services; local, regional, and long-distance calling services; and mobile services, such as data, talk, and text. In addition, the company offers Ethernet, data transport, IP-based virtual private networks, Internet access, and telephony services; hosted telephony services, managed Wi-Fi, managed desktop and server backup, and collaboration services comprising audio and web conferencing; fiber-to-the-tower services to wireless carriers; data services, including wide area networking and dedicated data access, and advanced services comprising wireless mesh networks; and enterprise class telephone services that include traditional multi-line phone service. Further, it provides hosted private branch exchange, technical support, network solutions, security and network access and equipment for SMB customers, and international calling and toll-free numbers services. Additionally, the company offers audience-based and multiscreen advertising solutions; news programming services; and data analytics, as well as operates news channels under the News 12 Networks names. Optimum Communications, Inc. was formerly known as Altice USA, Inc. and change its name to Optimum Communications, Inc. in November 2025. The company was incorporated in 2015 and is headquartered in Long Island City, New York.

### Why customers stay

Margins ranged from 49.4% to 67.7% during 2023–25; it earns 7.6% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2023: grossProfit / revenue = 49.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2024: grossProfit / revenue = 67.7%.

- Source: https://www.sec.gov/Archives/edgar/data/1702780/000170278026000013/optu-20251231.htm (filed 2026-02-13); FY2025: grossProfit / revenue = 49.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); 10-year return on capital observations [[2016,0.020797295105018574],[2017,0.03479459136972045],[2018,0.07313747802705034],[2019,0.07528989100493255],[2020,0.0924404798108614],[2021,0.1112801014832514],[2022,0.07035144101112176],[2023,0.07710471887591318],[2024,0.08021898486958903],[2025,0.08281005057695866]]; median 0.07619730494042287. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 6 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2016: growth capex 0; upkeep 625647000; cash acquisitions 8988774000; owner earnings 242629000. Growth capex plus acquisitions / owner earnings = 37.04740158843337.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2017: growth capex 0; upkeep 953056000; cash acquisitions 46703000; owner earnings 3470692000. Growth capex plus acquisitions / owner earnings = 0.013456394286787764.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2018: growth capex 0; upkeep 1154173000; cash acquisitions 10753000; owner earnings 1246999000. Growth capex plus acquisitions / owner earnings = 0.008623102344107734.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2019: growth capex 0; upkeep 1073955000; cash acquisitions 172269000; owner earnings 1328125000. Growth capex plus acquisitions / owner earnings = 0.12970842352941175.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2020: growth capex 0; upkeep 1073955000; cash acquisitions 149973000; owner earnings 1445593000. Growth capex plus acquisitions / owner earnings = 0.10374496832787652.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2021: growth capex 0; upkeep 1231715000; cash acquisitions 340444000; owner earnings 1545748000. Growth capex plus acquisitions / owner earnings = 0.22024547338893533.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2022: growth capex 0; upkeep 1914282000; cash acquisitions 2060000; owner earnings 98296000. Growth capex plus acquisitions / owner earnings = 0.02095710913974119.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2023: growth capex 0; upkeep 1704811000; cash acquisitions 0; owner earnings 38792000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); FY2024: growth capex 0; upkeep 1433013000; cash acquisitions 38532000; owner earnings 106300000. Growth capex plus acquisitions / owner earnings = 0.362483537158984.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); Dividend observations: [[2016,365559000],[2017,919317000],[2018,1499935000],[2019,0],[2020,0],[2021,0],[2022,0],[2023,1793000],[2024,8399000],[2025,9738000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 11.3% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-05); OPTU.US SharesStats.PercentInsiders = 11.324 percentage points; cache date 2026-10-05.

### What the price says

The price is 0.1 times annual sales; cash earnings are negative.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-13); Closing price 0.9583 USD; reporting-to-trading FX 1; FY2025 annual sales per share 18.364253006742455; price multiple 0.05218290118569806. FY2025 cash earnings/share -3.2479744838407636. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2017-06: $32.30 per share

- 2017-07: $33.44 per share

- 2017-08: $30.51 per share

- 2017-09: $27.31 per share

- 2017-10: $23.68 per share

- 2017-11: $17.85 per share

- 2017-12: $21.23 per share

- 2018-01: $21.47 per share

- 2018-02: $18.20 per share

- 2018-03: $18.48 per share

- 2018-04: $17.90 per share

- 2018-05: $19.56 per share

- 2018-06: $17.06 per share

- 2018-07: $17.13 per share

- 2018-08: $17.92 per share

- 2018-09: $18.14 per share

- 2018-10: $16.31 per share

- 2018-11: $17.69 per share

- 2018-12: $16.52 per share

- 2019-01: $19.64 per share

- 2019-02: $21.81 per share

- 2019-03: $21.48 per share

- 2019-04: $23.56 per share

- 2019-05: $23.49 per share

- 2019-06: $24.35 per share

- 2019-07: $25.81 per share

- 2019-08: $28.88 per share

- 2019-09: $28.68 per share

- 2019-10: $30.95 per share

- 2019-11: $25.58 per share

- 2019-12: $27.34 per share

- 2020-01: $27.36 per share

- 2020-02: $25.86 per share

- 2020-03: $22.29 per share

- 2020-04: $25.97 per share

- 2020-05: $25.72 per share

- 2020-06: $22.54 per share

- 2020-07: $26.99 per share

- 2020-08: $27.58 per share

- 2020-09: $26.00 per share

- 2020-10: $26.95 per share

- 2020-11: $33.92 per share

- 2020-12: $37.87 per share

- 2021-01: $35.57 per share

- 2021-02: $33.61 per share

- 2021-03: $32.53 per share

- 2021-04: $36.31 per share

- 2021-05: $36.06 per share

- 2021-06: $34.14 per share

- 2021-07: $30.73 per share

- 2021-08: $27.44 per share

- 2021-09: $20.72 per share

- 2021-10: $16.30 per share

- 2021-11: $15.84 per share

- 2021-12: $16.18 per share

- 2022-01: $14.42 per share

- 2022-02: $11.56 per share

- 2022-03: $12.48 per share

- 2022-04: $9.28 per share

- 2022-05: $11.38 per share

- 2022-06: $9.25 per share

- 2022-07: $10.51 per share

- 2022-08: $10.00 per share

- 2022-09: $5.83 per share

- 2022-10: $6.61 per share

- 2022-11: $4.56 per share

- 2022-12: $4.60 per share

- 2023-01: $4.90 per share

- 2023-02: $3.96 per share

- 2023-03: $3.42 per share

- 2023-04: $3.50 per share

- 2023-05: $2.56 per share

- 2023-06: $3.02 per share

- 2023-07: $3.39 per share

- 2023-08: $3.07 per share

- 2023-09: $3.27 per share

- 2023-10: $2.89 per share

- 2023-11: $2.30 per share

- 2023-12: $3.25 per share

- 2024-01: $2.44 per share

- 2024-02: $2.97 per share

- 2024-03: $2.61 per share

- 2024-04: $1.93 per share

- 2024-05: $2.48 per share

- 2024-06: $2.04 per share

- 2024-07: $2.09 per share

- 2024-08: $1.84 per share

- 2024-09: $2.46 per share

- 2024-10: $2.43 per share

- 2024-11: $2.41 per share

- 2024-12: $2.41 per share

- 2025-01: $2.81 per share

- 2025-02: $2.86 per share

- 2025-03: $2.66 per share

- 2025-04: $2.48 per share

- 2025-05: $2.31 per share

- 2025-06: $2.14 per share

- 2025-07: $2.60 per share

- 2025-08: $2.34 per share

- 2025-09: $2.41 per share

- 2025-10: $2.23 per share

- 2025-11: $1.90 per share

- 2025-12: $1.65 per share

- 2026-01: $1.53 per share

- 2026-02: $1.44 per share

- 2026-03: $1.30 per share

- 2026-04: $1.58 per share

- 2026-05: $0.66 per share

- 2026-06: $1.45 per share

- 2026-07: $0.76 per share

- 2026-08: $0.97 per share

- 2026-09: $0.99 per share

- 2026-10: $0.96 per share

## Annual estimated value (USD per share)

- FY2016: low $4.25 per share, central $4.76 per share, high $5.43 per share

- FY2017: low $6.10 per share, central $6.91 per share, high $7.99 per share

- FY2018: low $6.99 per share, central $7.93 per share, high $9.19 per share

- FY2019: low $21.75 per share, central $24.65 per share, high $28.50 per share

- FY2020: low $25.35 per share, central $28.83 per share, high $33.45 per share

- FY2021: low $34.86 per share, central $39.66 per share, high $46.06 per share

- FY2022: low $31.90 per share, central $36.27 per share, high $42.08 per share

- FY2023: low $30.45 per share, central $34.61 per share, high $40.15 per share

- FY2024: low $2.69 per share, central $3.04 per share, high $3.51 per share

- FY2025: low $4.07 per share, central $4.35 per share, high $4.73 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/1702780/000170278026000013/optu-20251231.htm); period 2025-12-31, filed 2026-02-13.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.