Optimum Communications (NYSE:OPTU) Downgraded by Wall Street Zen to "Strong Sell"

Key Points

• Wall Street Zen downgraded Optimum Communications from "sell" to "strong sell", adding to a cautious analyst tone around the stock.
• Several other firms have also turned negative or reduced expectations, including UBS cutting its price target to $1.00 and Citigroup lowering its target to $0.50. Overall, the stock’s average analyst rating is "Reduce" with an average target price of $0.95.
• The shares fell 5.6% to $0.82, trading well below both the 50-day moving average of $1.07 and the 200-day moving average of $1.35.

Optimum Communications (NYSE:OPTU - Get Free Report) was downgraded by Wall Street Zen from a "sell" rating to a "strong sell" rating in a research note issued to investors on Sunday.

Other research analysts also recently issued reports about the company. UBS Group cut their price target on Optimum Communications from $2.00 to $1.00 and set a "neutral" rating on the stock in a report on Thursday, May 14th. Evercore set a $1.25 price objective on Optimum Communications in a research note on Tuesday, May 12th. Zacks Research raised Optimum Communications from a "strong sell" rating to a "hold" rating in a research report on Thursday, April 16th. Weiss Ratings lowered Optimum Communications from a "sell (d-)" rating to a "sell (e+)" rating in a research note on Thursday, July 16th. Finally, Citigroup downgraded shares of Optimum Communications from a "neutral" rating to a "sell" rating and reduced their target price for the stock from $1.50 to $0.50 in a report on Friday, May 15th. Six investment analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Reduce" and an average target price of $0.95.

Optimum Communications Stock Down 5.6%

Shares of NYSE:OPTU opened at $0.82 on Friday. The firm has a 50 day moving average of $1.07 and a 200 day moving average of $1.35. The company has a market capitalization of $390.13 million, a price-to-earnings ratio of -0.08 and a beta of 1.15. Optimum Communications has a 52 week low of $0.58 and a 52 week high of $2.91.

Insider Transactions at Optimum Communications

In other Optimum Communications news, General Counsel Michael Olsen sold 20,000 shares of the stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $1.59, for a total value of $31,800.00. Following the completion of the sale, the general counsel directly owned 1,199,781 shares in the company, valued at approximately $1,907,651.79. This trade represents a 1.64% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 60,000 shares of company stock worth $71,800. Corporate insiders own 43.40% of the company's stock.

Institutional Investors Weigh In On Optimum Communications

Large investors have recently modified their holdings of the business. Cerberus Capital Management L.P. purchased a new stake in shares of Optimum Communications during the 4th quarter worth about $6,502,000. Vanguard Group Inc. purchased a new position in shares of Optimum Communications in the 4th quarter valued at about $46,002,000. CastleKnight Management LP purchased a new position in shares of Optimum Communications in the 4th quarter valued at about $8,422,000. Mount Capital Ltd acquired a new position in Optimum Communications in the 4th quarter worth about $6,418,000. Finally, Empyrean Capital Partners LP acquired a new position in Optimum Communications in the 4th quarter worth about $41,297,000. Hedge funds and other institutional investors own 54.85% of the company's stock.

Optimum Communications Company Profile

Altice USA, Inc, together with its subsidiaries, provides broadband communications and video services in the United States, Canada, Puerto Rico, and the Virgin Islands. It offers broadband, video, telephony, and mobile services to approximately five million 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 platforms for video programming through mobile applications.

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