What To Expect From WideOpenWest's (WOW) Q1 Earnings

Anthony Lee /
2024/05/06 3:11 am EDT

Broadband and telecommunications services provider WideOpenWest (NYSE:WOW) will be announcing earnings results tomorrow before market open. Here's what you need to know.

WideOpenWest missed analysts' revenue expectations by 1% last quarter, reporting revenues of $168.8 million, down 6.5% year on year. It was a weak quarter for the company, with a miss of analysts' analysts' earnings estimates.

Is WideOpenWest a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting WideOpenWest's revenue to decline 6.3% year on year to $161.4 million, a further deceleration from the 1.4% decrease it recorded in the same quarter last year.

WideOpenWest Total Revenue

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. WideOpenWest has missed Wall Street's revenue estimates six times over the last two years.

Looking at WideOpenWest's peers in the cable and satellite segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Cable One's revenues decreased 4.2% year on year, missing analysts' expectations by 1%, and Sirius XM reported flat revenue, topping estimates by 1.4%. Cable One traded down 4.7% following the results while Sirius XM was also down 4.7%.

Read our full analysis of Cable One's results here and Sirius XM's results here.

Stocks, especially growth stocks where cash flows further in the future are more important to the story, had a good end of 2023. But the beginning of 2024 has seen more volatile stock performance thanks to mixed inflation data, and while some of the cable and satellite stocks have fared somewhat better, they have not been spared, with share prices down 3.4% on average over the last month. WideOpenWest is up 25.3% during the same time and is heading into earnings with an average analyst price target of $5.7 (compared to the current share price of $4.86).

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