Optimum Communications (NYSE:OPTU) Downgraded by Zacks Research to Strong Sell

Key Points

• Zacks Researchstrong sell and issued negative EPS forecasts for the coming years (e.g., FY2026: -$0.54, FY2028: -$0.69).
• Multiple brokers (Citigroup, Raymond James, Benchmark, Weiss) have recently cut ratings; MarketBeat shows a consensus "Reduce" with an average target price of $2.19 while shares trade around $1.34 and the company reported a Q1 loss (EPS -$0.15) with revenue down 2.3% year-over-year.
• Insider activity includes General Counsel Michael Olsen selling 20,000 shares at about $1.40, with insiders owning 44.6% of stock and institutions holding roughly 54.85%.

Optimum Communications (NYSE:OPTU - Get Free Report) was downgraded by analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a note issued to investors on Wednesday,Zacks.com reports. Zacks Research also issued estimates for Optimum Communications' Q3 2026 earnings at ($0.19) EPS, FY2026 earnings at ($0.54) EPS, Q3 2027 earnings at ($0.16) EPS, Q4 2027 earnings at ($0.21) EPS, FY2027 earnings at ($0.49) EPS and FY2028 earnings at ($0.69) EPS.

Other equities research analysts have also recently issued reports about the stock. Citigroup cut shares of Optimum Communications from a "buy" rating to a "neutral" rating in a report on Sunday, February 15th. Raymond James Financial downgraded Optimum Communications from an "outperform" rating to a "market perform" rating in a research note on Wednesday, March 11th. Benchmark cut Optimum Communications from a "buy" rating to a "hold" rating in a research report on Tuesday, February 10th. Evercore set a $2.00 price target on Optimum Communications in a report on Friday, February 13th. Finally, Weiss Ratings reissued a "sell (d-)" rating on shares of Optimum Communications in a research report on Wednesday, January 21st. Four equities research analysts have rated the stock with a Hold rating and three have given a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently has an average rating of "Reduce" and an average target price of $2.19.

Optimum Communications Price Performance

Shares of NYSE OPTU opened at $1.34 on Wednesday. Optimum Communications has a one year low of $1.29 and a one year high of $2.98. The business's 50-day moving average price is $1.60 and its two-hundred day moving average price is $1.93. The company has a market capitalization of $628.06 million, a P/E ratio of -0.33 and a beta of 1.51.

Optimum Communications (NYSE:OPTU - Get Free Report) last released its quarterly earnings data on Thursday, February 12th. The company reported ($0.15) EPS for the quarter, missing analysts' consensus estimates of ($0.01) by ($0.14). The company's quarterly revenue was down 2.3% compared to the same quarter last year. During the same period in the previous year, the business posted ($0.12) earnings per share. On average, equities analysts anticipate that Optimum Communications will post -0.24 EPS for the current year.

Insiders Place Their Bets

In other Optimum Communications news, General Counsel Michael Olsen sold 20,000 shares of the firm's stock in a transaction that occurred on Monday, March 2nd. The stock was sold at an average price of $1.40, for a total value of $28,000.00. Following the sale, the general counsel owned 1,239,781 shares of the company's stock, valued at $1,735,693.40. This trade represents a 1.59% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. 44.60% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. Swiss Life Asset Management Ltd acquired a new stake in shares of Optimum Communications in the third quarter worth $26,000. Universal Beteiligungs und Servicegesellschaft mbH acquired a new position in Optimum Communications during the 3rd quarter valued at $27,000. Cibc World Markets Corp bought a new stake in Optimum Communications in the 4th quarter valued at $29,000. Voleon Capital Management LP bought a new stake in Optimum Communications in the 3rd quarter valued at $31,000. Finally, Xponance LLC acquired a new stake in Optimum Communications in the 4th quarter worth $34,000. 54.85% of the stock is currently owned by institutional investors and hedge funds.

About Optimum Communications

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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