Optimum Communications, Inc. (OPTU) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+4198.5%

$29.07

vs $0.68 price

Levered DCF

-$31.69

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

-0.32

Distress zone

Rating

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	-0.41×	-10.95×	27.08×	10.7×	7.56×	50.49×	130.19×	640.31×
P/B	-0.33×	-2.36×	-3.5×	-4.39×	-9.12×	-19.3×	7.97×	3.29×
P/S	0.09×	0.12×	0.16×	0.22×	0.74×	2.23×	1.85×	1.26×
EV / EBITDA	16.78×	7.82×	7.67×	7.9×	7.81×	12.12×	10.11×	8.45×
Gross margin	49.5%	67.7%	49.4%	48.4%	66.5%	66.2%	66.2%	66.8%
Operating margin	18.3%	18.8%	20.7%	20.0%	25.0%	21.4%	18.7%	17.6%
Net margin	-21.8%	-1.1%	0.6%	2.0%	9.8%	4.4%	1.4%	0.2%
Current ratio	0.8×	0.32×	0.36×	0.64×	0.29×	0.32×	0.7×	0.45×
Debt / equity	-11.45×	-53.94×	-60.02×	-56.5×	-32.67×	-23.65×	10.88×	6.21×
Interest coverage	0.88×	0.95×	1.17×	1.45×	1.99×	1.56×	1.19×	1.08×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	12.4%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	7964.4%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	80.8%	21.9%	-12.6%	-40.9%	-120.8%	-38.2%	6.1%	0.5%
Return on invested capital	5.2%	5.4%	4.3%	2.6%	6.2%	5.1%	4.2%	-6.0%
Return on assets	-6.1%	-0.3%	0.2%	0.6%	3.0%	1.3%	0.4%	0.1%
Free cash flow yield	-15.4%	13.5%	8.2%	21.7%	21.7%	8.7%	10.5%	11.2%
Earnings yield	-242.4%	-9.3%	3.6%	9.3%	13.2%	2.0%	0.8%	0.2%
Enterprise value	$26.1B	$26.2B	$26.5B	$28.6B	$34.1B	$48.7B	$42.1B	$34.6B
Net debt / EBITDA	16.28×	7.49×	7.24×	7.32×	6.1×	6.64×	5.77×	5.5×
Cash conversion cycle (days)	-55	-109	-59	-75	-96	-70	-71	-81