Wrapping up Q4 earnings, we look at the numbers and key takeaways for the wireless, cable and satellite stocks, including AT&T (NYSE:T) and its peers.
The massive physical footprints of cell phone towers, fiber in the ground, or satellites in space make it challenging for companies in this industry to adjust to shifting consumer habits. Over the last decade-plus, consumers have ‘cut the cord’ to their landlines and traditional cable subscriptions in favor of wireless communications and streaming video. These trends do mean that more households need cell phone plans and high-speed internet. Companies that successfully serve customers can enjoy high retention rates and pricing power since the options for mobile and internet connectivity in any geography are usually limited.
The 7 wireless, cable and satellite stocks we track reported a mixed Q4. As a group, revenues were in line with analysts’ consensus estimates.
Thankfully, share prices of the companies have been resilient as they are up 8.1% on average since the latest earnings results.
AT&T (NYSE:T)
Founded by Alexander Graham Bell, AT&T (NYSE:T) is a multinational telecomm conglomerate providing a range of communications and internet services.
AT&T reported revenues of $32.3 billion, flat year on year. This print exceeded analysts’ expectations by 0.7%. Despite the top-line beat, it was still a mixed quarter for the company with a decent beat of analysts’ EPS estimates but a miss of analysts’ adjusted operating income estimates.
The stock is up 19.6% since reporting and currently trades at $27.14.
Is now the time to buy AT&T? Access our full analysis of the earnings results here, it’s free.
Best Q4: Comcast (NASDAQ:CMCSA)
Formerly known as American Cable Systems, Comcast (NASDAQ:CMCSA) is a multinational telecommunications company offering a wide range of services.
Comcast reported revenues of $31.92 billion, up 2.1% year on year, outperforming analysts’ expectations by 1%. The business had a strong quarter with a decent beat of analysts’ EPS and operating income estimates.
Comcast delivered the biggest analyst estimates beat and fastest revenue growth among its peers. However, the results were likely priced into the stock as it’s traded sideways since reporting. Shares currently sit at $37.37.
Is now the time to buy Comcast? Access our full analysis of the earnings results here, it’s free.
Slowest Q4: Altice (NYSE:ATUS)
Based in Long Island City, Altice USA (NYSE:ATUS) is a telecommunications company offering cable, internet, telephone, and television services across the United States.
Altice reported revenues of $2.24 billion, down 2.9% year on year, in line with analysts’ expectations. It was a softer quarter as it posted a significant miss of analysts’ adjusted operating income and EPS estimates.
As expected, the stock is down 11.4% since the results and currently trades at $2.40.
Read our full analysis of Altice’s results here.
Charter (NASDAQ:CHTR)
Operating as Spectrum, Charter (NASDAQ:CHTR) is a leading telecommunications company offering cable television, high-speed internet, and voice services across the United States.
Charter reported revenues of $13.93 billion, up 1.6% year on year. This number met analysts’ expectations. Overall, it was a satisfactory quarter as it also produced a decent beat of analysts’ EPS estimates.
The stock is up 12.3% since reporting and currently trades at $378.07.
Read our full, actionable report on Charter here, it’s free.
Sirius XM (NASDAQ:SIRI)
Known for its commercial-free music channels, Sirius XM (NASDAQ:SIRI) is a broadcasting company that provides satellite radio and online radio services across North America.
Sirius XM reported revenues of $2.19 billion, down 4.3% year on year. This result topped analysts’ expectations by 0.7%. Taking a step back, it was a satisfactory quarter as it also recorded a solid beat of analysts’ adjusted operating income estimates but full-year revenue guidance slightly missing analysts’ expectations.
The stock is up 14.9% since reporting and currently trades at $25.09.
Read our full, actionable report on Sirius XM here, it’s free.
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