WIDEOPENWEST INC (WOW)

US96758W1018 - Common Stock

4.98  -0.06 (-1.19%)

Fundamental Rating

1

We assign a fundamental rating of 1 out of 10 to WOW. WOW was compared to 97 industry peers in the Media industry. Both the profitability and financial health of WOW have multiple concerns. WOW has a expensive valuation and it also scores bad on growth.



2

1. Profitability

1.1 Basic Checks

In the past year WOW has reported negative net income.
WOW had a positive operating cash flow in the past year.
In multiple years WOW reported negative net income over the last 5 years.
In the past 5 years WOW always reported a positive cash flow from operatings.

1.2 Ratios

Looking at the Return On Assets, with a value of -17.23%, WOW is doing worse than 82.11% of the companies in the same industry.
The Return On Equity of WOW (-108.22%) is worse than 80.00% of its industry peers.
The Return On Invested Capital of WOW (1.96%) is comparable to the rest of the industry.
Industry RankSector Rank
ROA -17.23%
ROE -108.22%
ROIC 1.96%
ROA(3y)7.09%
ROA(5y)4.66%
ROE(3y)7.71%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A

1.3 Margins

WOW has a Operating Margin (5.01%) which is in line with its industry peers.
The Profit Margin and Gross Margin are not available for WOW so they could not be analyzed.
Industry RankSector Rank
OM 5.01%
PM (TTM) N/A
GM N/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A

0

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), WOW is destroying value.
WOW has less shares outstanding than it did 1 year ago.
The number of shares outstanding for WOW has been increased compared to 5 years ago.
The debt/assets ratio for WOW is higher compared to a year ago.

2.2 Solvency

WOW has an Altman-Z score of 0.67. This is a bad value and indicates that WOW is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.67, WOW is doing worse than 60.00% of the companies in the same industry.
WOW has a Debt/Equity ratio of 3.89. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 3.89, WOW is not doing good in the industry: 86.32% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 3.89
Debt/FCF N/A
Altman-Z 0.67
ROIC/WACC0.24
WACC8.03%

2.3 Liquidity

A Current Ratio of 0.66 indicates that WOW may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.66, WOW is doing worse than 87.37% of the companies in the same industry.
WOW has a Quick Ratio of 0.66. This is a bad value and indicates that WOW is not financially healthy enough and could expect problems in meeting its short term obligations.
WOW's Quick ratio of 0.66 is on the low side compared to the rest of the industry. WOW is outperformed by 87.37% of its industry peers.
Industry RankSector Rank
Current Ratio 0.66
Quick Ratio 0.66

2

3. Growth

3.1 Past

WOW shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -207.27%.
WOW shows a decrease in Revenue. In the last year, the revenue decreased by -3.77%.
WOW shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -9.86% yearly.
EPS 1Y (TTM)-207.27%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%60.87%
Revenue 1Y (TTM)-3.77%
Revenue growth 3Y-2.03%
Revenue growth 5Y-9.86%
Sales Q2Q%-6.21%

3.2 Future

The Earnings Per Share is expected to grow by 22.51% on average over the next years. This is a very strong growth
WOW is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -2.32% yearly.
EPS Next Y69.7%
EPS Next 2Y31.38%
EPS Next 3Y22.51%
EPS Next 5YN/A
Revenue Next Year-7.7%
Revenue Next 2Y-5.65%
Revenue Next 3Y-5.04%
Revenue Next 5Y-2.32%

3.3 Evolution

When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

1

4. Valuation

4.1 Price/Earnings Ratio

WOW reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Also next year WOW is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
Industry RankSector Rank
PE N/A
Fwd PE N/A

4.2 Price Multiples

86.32% of the companies in the same industry are more expensive than WOW, based on the Enterprise Value to EBITDA ratio.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 5.88

4.3 Compensation for Growth

A more expensive valuation may be justified as WOW's earnings are expected to grow with 22.51% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y31.38%
EPS Next 3Y22.51%

0

5. Dividend

5.1 Amount

No dividends for WOW!.
Industry RankSector Rank
Dividend Yield N/A

WIDEOPENWEST INC

NYSE:WOW (6/18/2024, 12:41:28 PM)

4.98

-0.06 (-1.19%)

Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap421.16M
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield N/A
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE N/A
Fwd PE N/A
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -17.23%
ROE -108.22%
ROCE
ROIC
ROICexc
ROICexgc
OM 5.01%
PM (TTM) N/A
GM N/A
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.44
Health
Industry RankSector Rank
Debt/Equity 3.89
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 0.66
Quick Ratio 0.66
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-207.27%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y69.7%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-3.77%
Revenue growth 3Y-2.03%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y