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

Zacks Research lowered shares of Optimum Communications (NYSE:OPTU) from a hold rating to a strong sell rating in a report issued on Monday morning,Zacks reports. Zacks Research also issued estimates for Optimum Communications’ Q3 2026 earnings at ($0.17) EPS, Q4 2026 earnings at ($0.10) EPS, FY2026 earnings at ($0.56) EPS, Q2 2027 earnings at ($0.21) EPS, Q3 2027 earnings at ($0.17) EPS, Q4 2027 earnings at ($0.21) EPS, FY2027 earnings at ($0.82) EPS, Q1 2028 earnings at ($0.52) EPS, Q2 2028 earnings at ($0.30) EPS and FY2028 earnings at ($0.67) EPS.

Several other research analysts also recently commented on OPTU. Citigroup downgraded shares of Optimum Communications from a “neutral” rating to a “sell” rating and reduced their price target for the stock from $1.50 to $0.50 in a research note on Friday, May 15th. BNP Paribas Exane raised shares of Optimum Communications from an “underperform” rating to a “neutral” rating in a research report on Tuesday, June 2nd. UBS Group dropped their target price on shares of Optimum Communications from $2.00 to $1.00 and set a “neutral” rating on the stock in a research note on Thursday, May 14th. Wall Street Zen lowered shares of Optimum Communications from a “sell” rating to a “strong sell” rating in a research report on Sunday, July 26th. Finally, Barclays lowered their price target on Optimum Communications from $2.00 to $1.00 and set an “equal weight” rating for the company in a report on Friday, May 8th. Five investment analysts have rated the stock with a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Reduce” and a consensus price target of $0.92.

Optimum Communications Stock Down 2.9%

OPTU opened at $0.94 on Monday. The business has a fifty day moving average of $1.00 and a 200 day moving average of $1.19. The stock has a market cap of $257.33 million, a P/E ratio of -0.09 and a beta of 1.25. Optimum Communications has a 52-week low of $0.58 and a 52-week high of $2.79.

Optimum Communications (NYSE:OPTU) last released its earnings results on Thursday, August 6th. The company reported ($0.67) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.17) by ($0.50). The business had revenue of $2.02 billion during the quarter. Equities analysts anticipate that Optimum Communications will post -0.82 EPS for the current fiscal year.

Insider Buying and Selling

In other news, major shareholder Neil S. Subin purchased 1,291,471 shares of the firm’s stock in a transaction on Wednesday, August 19th. The stock was acquired at an average cost of $0.84 per share, with a total value of $1,084,835.64. Following the completion of the transaction, the insider owned 18,791,471 shares in the company, valued at $15,784,835.64. This represents a 7.38% increase in their position. The purchase was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Insiders have bought 3,032,354 shares of company stock valued at $2,455,613 in the last ninety days. Insiders own 43.40% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of OPTU. Cibc World Markets Corp acquired a new stake in Optimum Communications in the fourth quarter valued at approximately $29,000. Voleon Capital Management LP purchased a new position in Optimum Communications in the third quarter worth $31,000. Cidel Asset Management Inc. acquired a new position in shares of Optimum Communications during the first quarter worth $32,000. Xponance LLC acquired a new position in shares of Optimum Communications during the fourth quarter worth $34,000. Finally, Morningstar Investment Management LLC purchased a new stake in shares of Optimum Communications during the 3rd quarter valued at $39,000. Institutional investors own 54.85% of the company’s stock.

Trending Headlines about Optimum Communications

Here are the key news stories impacting Optimum Communications this week:

• Positive Sentiment: Optimum’s expanded T-Mobile relationship strengthens its mobile and 5G offering, potentially improving customer retention and creating longer-term growth opportunities.
• Neutral Sentiment: Zacks Research made a small upward revision to its FY2028 EPS forecast, to a loss of $0.67 from a projected loss of $0.70. However, the company is still expected to remain unprofitable through that year.
• Negative Sentiment: Zacks lowered its EPS forecasts for FY2026 to a loss of $0.56 from $0.55 and for FY2027 to a loss of $0.82 from $0.72. It also reduced estimates for Q4 2026, Q2 2027, Q3 2027, Q4 2027, Q1 2028 and Q2 2028, indicating weaker expected profitability across much of the forecast period.
• Negative Sentiment: The revisions reinforce concerns about Optimum’s earnings outlook. The company previously reported a quarterly loss of $0.67 per share, substantially worse than the $0.17 analyst consensus, and its shares remain below both their 50-day and 200-day moving averages.

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.