Cable One (NYSE:CABO) Shares Gap Up - Here's What Happened

Key Points

• Cable One shares gapped up during trading, opening at $138.80 after a previous close of $127.98, with last traded shares at $136.18.
• The company reported a loss in its latest earnings report, with $3.23 earnings per share, significantly missing estimates of $8.23, while revenue was $381.07 million, slightly above expectations.
• Several hedge funds have increased their positions in Cable One, including Burgundy Asset Management, which raised its stake by 27.2% in the first quarter.

Cable One, Inc. (NYSE:CABO - Get Free Report)'s share price gapped up before the market opened on Friday . The stock had previously closed at $127.98, but opened at $138.80. Cable One shares last traded at $136.18, with a volume of 30,487 shares.

Wall Street Analysts Forecast Growth

A number of research firms have commented on CABO. BNP Paribas Exane upgraded Cable One from an "underperform" rating to a "neutral" rating and set a $125.00 price objective on the stock in a research note on Monday, June 16th. BNP Paribas upgraded Cable One from a "strong sell" rating to a "hold" rating in a research note on Monday, June 16th. JPMorgan Chase & Co. lowered their price objective on Cable One from $325.00 to $222.00 and set a "neutral" rating on the stock in a research note on Tuesday, May 6th. KeyCorp restated a "sector weight" rating on shares of Cable One in a research note on Friday, May 2nd. Finally, Wells Fargo & Company lowered their price objective on Cable One from $210.00 to $120.00 and set an "underweight" rating on the stock in a research note on Friday. One investment analyst has rated the stock with a sell rating and five have assigned a hold rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Hold" and an average target price of $279.25.

Cable One Stock Performance

The company has a 50 day moving average price of $136.23 and a 200-day moving average price of $213.89. The company has a current ratio of 0.37, a quick ratio of 0.36 and a debt-to-equity ratio of 2.16. The company has a market cap of $770.69 million, a P/E ratio of -1.55 and a beta of 0.79.

Cable One (NYSE:CABO - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The company reported $3.23 earnings per share (EPS) for the quarter, missing the consensus estimate of $8.23 by ($5.00). Cable One had a negative net margin of 32.18% and a positive return on equity of 8.40%. The business had revenue of $381.07 million during the quarter, compared to the consensus estimate of $379.81 million. During the same quarter in the previous year, the business posted $10.29 EPS. On average, equities analysts expect that Cable One, Inc. will post 32.08 earnings per share for the current fiscal year.

Insider Buying and Selling at Cable One

In other Cable One news, Director Wallace R. Weitz purchased 7,000 shares of the firm's stock in a transaction dated Friday, June 13th. The shares were bought at an average price of $132.53 per share, for a total transaction of $927,710.00. Following the purchase, the director owned 17,140 shares in the company, valued at approximately $2,271,564.20. This trade represents a 69.03% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Mary E. Meduski acquired 250 shares of Cable One stock in a transaction that occurred on Wednesday, June 11th. The shares were purchased at an average price of $148.00 per share, for a total transaction of $37,000.00. Following the transaction, the director directly owned 3,599 shares in the company, valued at $532,652. The trade was a 7.46% increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last quarter, insiders bought 7,400 shares of company stock worth $984,342. Corporate insiders own 0.90% of the company's stock.

Institutional Investors Weigh In On Cable One

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new stake in Cable One during the 2nd quarter worth $340,000. Nordea Investment Management AB grew its position in Cable One by 140.1% during the 2nd quarter. Nordea Investment Management AB now owns 52,874 shares of the company's stock worth $7,024,000 after acquiring an additional 30,854 shares during the last quarter. CWM LLC grew its position in Cable One by 960.0% during the 2nd quarter. CWM LLC now owns 2,279 shares of the company's stock worth $310,000 after acquiring an additional 2,064 shares during the last quarter. Inspire Investing LLC grew its position in Cable One by 125.4% during the 2nd quarter. Inspire Investing LLC now owns 2,924 shares of the company's stock worth $397,000 after acquiring an additional 1,627 shares during the last quarter. Finally, Mraz Amerine & Associates Inc. lifted its holdings in Cable One by 31.3% during the 2nd quarter. Mraz Amerine & Associates Inc. now owns 8,212 shares of the company's stock worth $1,115,000 after buying an additional 1,958 shares during the period. Institutional investors own 89.92% of the company's stock.

About Cable One

Cable One, Inc, together with its subsidiaries, provides data, video, and voice services in the United States. The company offers residential data services, a service to enhance Wi-Fi signal throughout the home. It also provides various residential video services from basic video service to digital services with access to hundreds of channels; and provides a cloud-based DVR feature that does not require the use of a set-top boxes.