Cable One (NYSE:CABO) Releases Earnings Results, Misses Expectations By $0.15 EPS

Cable One (NYSE:CABO) announced its earnings results on Thursday. The company reported $6.12 EPS for the quarter, missing the consensus estimate of $6.27 by ($0.15), FiscalAI reports. Cable One had a positive return on equity of 7.36% and a negative net margin of 23.74%.The company had revenue of $352.96 million for the quarter, compared to the consensus estimate of $360.01 million.

Here are the key takeaways from Cable One’s conference call:

• In Q1 total revenue fell to $353 million from $380.6 million a year ago, with residential data revenue down ~5.1% (driven by a ~6.1% subscriber decline) and 12,600 net residential broadband losses sequentially, pressuring adjusted EBITDA to $183.3 million.
• The business generated roughly $115 million of free cash flow in Q1 and ~$500 million LQA, repaid the $575 million convertible, voluntarily paid down ~$90.6 million of debt, and finished the quarter with ~$700 million undrawn revolver capacity and a ~4x net leverage LQA.
• Management is rolling out operational fixes—targeted retention programs (AI tools, stepped promo roll-offs, speed upgrades), a new CRM later this year, an MSO-wide mobile launch (2 months in) with encouraging early response, and plans to expand multi‑gig capability from 53% to most markets by year‑end.
• The planned MBI acquisition remains on track to close in early Q4 with the purchase consideration locked at $480 million, and management now expects assumed/refinanced MBI debt of about $895–$925 million, which will modestly increase leverage but is described as manageable with proactive refinancing plans.
• Competitive intensity remains high—about 80% of the footprint faces one or more FWA competitors and satellite/LEO offers are increasing—driving elevated churn concentrated in ~15% of markets and expected back‑book ARPU pressure (management cited a $2–$5 potential adjustment over time).

Cable One Price Performance

Shares of CABO traded up $1.90 during trading hours on Thursday, hitting $91.94. 178,442 shares of the company were exchanged, compared to its average volume of 117,174. The company has a quick ratio of 0.40, a current ratio of 0.40 and a debt-to-equity ratio of 1.81. Cable One has a fifty-two week low of $70.37 and a fifty-two week high of $269.17. The company has a market cap of $521.31 million, a price-to-earnings ratio of -1.44 and a beta of 0.69. The firm’s fifty day moving average is $100.54 and its 200 day moving average is $111.62.

Trending Headlines about Cable One

Here are the key news stories impacting Cable One this week:

• Positive Sentiment: Management said it expects multi‑gig capability in most markets by year‑end and is targeting a $2–$5 back‑book price reset — a direct path to higher ARPU and monetization of network upgrades, which can support revenue recovery and justify a higher valuation. Cable One expects multi-gig capability in most markets by year-end as it targets $2-$5 back-book price reset
• Neutral Sentiment: Q1 earnings call transcript provides management commentary on execution, capital allocation and product rollout — useful for digging into guidance, margin drivers and timing of upgrades but not a headline change by itself. Investors should read management’s tone and any specifics on churn/ARPU trends. Cable One, Inc. (CABO) Q1 2026 Earnings Call Transcript
• Neutral Sentiment: Analyst/feature pieces (Zacks) review key metrics and investor angles — useful context on valuation and whether CABO looks attractive to value investors as estimates and earnings revisions are updated. These are background, not company actions. Cable One (CABO) Reports Q1 Earnings: What Key Metrics Have to Say
• Negative Sentiment: Q1 results missed estimates: EPS of $6.12 vs. consensus ~$6.27 and revenue $352.96M vs. ~$360.0M — misses that typically pressure the stock, and the company reported a negative net margin for the quarter. These actuals are the primary near‑term negative catalyst. View Press Release
• Negative Sentiment: Coverage note headlines and earnings‑lag stories highlight that CABO’s EPS and revenues trailed Zacks/Street estimates (Zacks called out a larger EPS miss vs. its consensus), which can lead to downgrades or estimate cuts. Cable One (CABO) Q1 Earnings and Revenues Lag Estimates
• Negative Sentiment: Market commentary suggests Cable One saw a revenue shift affecting its Russell 1000 ETF profile, which can trigger passive fund rebalancing and put short‑term selling pressure on the stock. That dynamic, combined with the quarter miss, likely drove intraday volatility. Cable One Declines on Revenue Shift In Russell 1000 ETF Market View

Institutional Investors Weigh In On Cable One

Several institutional investors and hedge funds have recently bought and sold shares of the company. Baupost Group LLC MA bought a new position in Cable One in the 3rd quarter valued at about $12,068,000. Balyasny Asset Management L.P. lifted its holdings in shares of Cable One by 912.7% during the 2nd quarter. Balyasny Asset Management L.P. now owns 57,297 shares of the company’s stock worth $7,782,000 after acquiring an additional 51,639 shares during the period. Man Group plc boosted its position in shares of Cable One by 669.3% during the 4th quarter. Man Group plc now owns 51,300 shares of the company’s stock worth $5,789,000 after acquiring an additional 44,632 shares in the last quarter. Bridgeway Capital Management LLC acquired a new stake in shares of Cable One during the 2nd quarter worth approximately $4,822,000. Finally, Ameriprise Financial Inc. increased its stake in Cable One by 246.2% in the second quarter. Ameriprise Financial Inc. now owns 43,672 shares of the company’s stock valued at $5,931,000 after acquiring an additional 31,057 shares during the last quarter. Institutional investors own 89.92% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on CABO. Weiss Ratings reissued a “sell (d-)” rating on shares of Cable One in a report on Monday, April 20th. Zacks Research downgraded Cable One from a “strong-buy” rating to a “hold” rating in a research report on Thursday, April 16th. Wells Fargo & Company lowered their target price on Cable One from $107.00 to $90.00 and set an “underweight” rating on the stock in a research note on Friday, February 27th. TD Cowen dropped their price target on Cable One from $260.00 to $142.00 and set a “hold” rating for the company in a report on Friday, February 27th. Finally, BNP Paribas Exane downgraded Cable One from a “neutral” rating to an “underperform” rating and set a $80.00 price target for the company. in a research note on Tuesday, February 24th. Five research analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Reduce” and an average price target of $114.25.

About Cable One

Cable One, Inc (NYSE:CABO) is an American provider of broadband communications services, offering a suite of residential and business solutions over a hybrid fiber-coaxial network. The company delivers high-speed internet access, digital video, voice communications and mobile services, alongside advanced managed Wi-Fi and cybersecurity tools. Cable One’s infrastructure supports both traditional cable offerings and converged IP-based platforms designed to meet evolving customer needs.

In addition to consumer-focused services, Cable One caters to small and medium-sized enterprises with dedicated business-class connectivity, Ethernet solutions and cloud-based voice applications.