Recent News
On July 31, 2025 the company reported second-quarter 2025 results, citing $88.6 million in GAAP revenue, a 32% adjusted EBITDA margin, and continued Glo Fiber subscriber and revenue growth; management reiterated 2025 revenue and adjusted EBITDA guidance. On July 17, 2025 the company announced timing for the Q2 earnings release and conference call. On August 12 and August 25, 2025 the company highlighted operational recognition and management appointments, including a new General Counsel and presentation plans at a Bank of America conference. On August 27, 2025 the company announced a fiber-to-the-home expansion in Radford, VA.
Technical Analysis
ADX / DI+ / DI-: ADX reads 20.47, indicating an emerging directional environment; DI+ at 25.05 shows a prior upside bias but registers a peak-and-reversal, which signals a shift toward bearish directional pressure; DI- at 16.95 decreasing reduces downside directional pressure and partially offsets that shift. Together, these directional indicators suggest momentum has lost conviction and direction may resolve after a consolidation phase.
MACD: MACD sits at 0.13 with a reported peak-and-reversal trend; the peak-and-reversal signals weakening momentum even as MACD currently exceeds its signal line (0.05). The technical posture therefore reflects fading bullish momentum despite a recent crossover.
MRO (Momentum/Regression Oscillator): MRO at -17.92 indicates price below the model target and therefore potential upward pressure; the MRO trend increasing points toward convergence toward that target, which supports a near-term bias for mean reversion relative to the current valuation.
RSI and Momentum: RSI at 52.2 with a peak-and-reversal trend reflects loss of upward momentum from recent levels rather than overbought conditions; momentum indicators now align with a consolidation bias following recent gains.
Price vs Moving Averages and Bands: Last trade at $13.77 sits above the 200-day average of $12.77 and above the 12-day EMA of $13.72 (12-day EMA increasing), which supports a longer-term positive valuation context while near-term indicators suggest consolidation. Bollinger upper 1x at $14.06 and super-trend lower at $13.04 define a short-term range to watch. Volume at 331,589 trades below the recent 10-day average but above the 200-day average, indicating moderate conviction behind recent moves.
Fundamental Analysis
Profitability & Margins: Operating margin sits at -10.05% while EBIT margin equals -6.88%; EBIT margin improved QoQ by +12.83% but contracted YoY by -57.77%, highlighting volatile margin dynamics tied to investment and amortization. Gross margin remains strong at 63.17%, supporting the opportunity for margin recovery as higher-margin fiber revenue scales.
Revenue & Growth: Total revenue registers at $88,568,000 with revenue growth reported at +0.76% and a year-over-year revenue growth figure of -96.81% in the supplied metrics; management communications for Q2 2025 emphasized sequential revenue expansion in Glo Fiber expansion markets and noteworthy subscriber additions, which drove adjusted EBITDA expansion.
Cash Flow & Liquidity: Operating cash flow equals $20,946,000 while free cash flow stands at $-65,250,000 and free-cash-flow yield at -8.90%, reflecting heavy near-term capital spending. Cash and short-term investments total $29,077,000 against net debt of $482,737,000 and total debt of $525,125,000. The current ratio equals 0.73, which sits just below the industry peer low of 0.74572, indicating tighter near-term liquidity relative to peer benchmarks.
Leverage & Coverage: Debt-to-EBITDA reads 18.10 and interest coverage is negative at -1.01, indicating interest expense outpaced operating earnings; debt-to-equity at 0.58 and debt-to-assets at 0.29 show meaningful leverage that accompanies the company’s aggressive capex profile.
Valuation & Market Multiples: Price-to-book equals 0.81, below the industry peer mean of 2.70 and peer median of 2.30; enterprise value to revenue and enterprise multiple measures reflect elevated multiples versus some comparators (EVR 13.88, enterprise multiple 42.38). EPS actual at $-0.13 beat the estimate of $-0.20 by $0.07, an EPS surprise of +35%. WMDST values the stock as under-valued based on the supplied valuation output, noting that current multiples incorporate both growth expectations and capital intensity.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-06-30 |
| REPORT DATE: | 2025-07-31 |
| NEXT REPORT DATE: | 2025-11-04 |
| CASH FLOW | Begin Period Cash Flow | $ 87.5 M |
| Operating Cash Flow | $ 20.9 M | |
| Capital Expenditures | $ -86.20 M | |
| Change In Working Capital | $ -2.20 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ -58.47 M | |
| End Period Cash Flow | $ 29.1 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 88.6 M | |
| Forward Revenue | $ 6.0 M | |
| COSTS | ||
| Cost Of Revenue | $ 32.6 M | |
| Depreciation | $ 34.6 M | |
| Depreciation and Amortization | $ 35.1 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 97.5 M | |
| PROFITABILITY | ||
| Gross Profit | $ 55.9 M | |
| EBITDA | $ 29.0 M | |
| EBIT | $ -6.09 M | |
| Operating Income | $ -8.90 M | |
| Interest Income | — | |
| Interest Expense | $ 6.0 M | |
| Net Interest Income | $ -6.00 M | |
| Income Before Tax | $ -12.10 M | |
| Tax Provision | $ -3.05 M | |
| Tax Rate | 25.198 % | |
| Net Income | $ -9.05 M | |
| Net Income From Continuing Operations | $ -9.05 M | |
| EARNINGS | ||
| EPS Estimate | $ -0.20 | |
| EPS Actual | $ -0.13 | |
| EPS Difference | $ 0.07 | |
| EPS Surprise | 35.0 % | |
| Forward EPS | $ -0.04 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 1.8 B | |
| Intangible Assets | $ 156.8 M | |
| Net Tangible Assets | $ 745.1 M | |
| Total Current Assets | $ 83.4 M | |
| Cash and Short-Term Investments | $ 29.1 M | |
| Cash | $ 29.1 M | |
| Net Receivables | $ 34.6 M | |
| Inventory | — | |
| Long-Term Investments | $ 6.7 M | |
| LIABILITIES | ||
| Accounts Payable | $ 62.5 M | |
| Short-Term Debt | $ 10.2 M | |
| Total Current Liabilities | $ 114.9 M | |
| Net Debt | $ 482.7 M | |
| Total Debt | $ 525.1 M | |
| Total Liabilities | $ 827.3 M | |
| EQUITY | ||
| Total Equity | $ 902.0 M | |
| Retained Earnings | $ 747.8 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 16.44 | |
| Shares Outstanding | 54.897 M | |
| Revenue Per-Share | $ 1.61 | |
| VALUATION | Market Capitalization | $ 733.5 M |
| Enterprise Value | $ 1.2 B | |
| Enterprise Multiple | 42.384 | |
| Enterprise Multiple QoQ | -9.18 % | |
| Enterprise Multiple YoY | -47.965 % | |
| Enterprise Multiple IPRWA | high: 120.0 SHEN: 42.384 mean: 32.025 median: 22.208 low: -80.325 |
|
| EV/R | 13.883 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.012 | |
| Asset To Liability | 2.194 | |
| Debt To Capital | 0.368 | |
| Debt To Assets | 0.289 | |
| Debt To Assets QoQ | -0.059 % | |
| Debt To Assets YoY | 5391.082 % | |
| Debt To Assets IPRWA | high: 0.854 mean: 0.452 median: 0.423 SHEN: 0.289 low: 0.005 |
|
| Debt To Equity | 0.582 | |
| Debt To Equity QoQ | 0.289 % | |
| Debt To Equity YoY | 6126.738 % | |
| Debt To Equity IPRWA | high: 3.82 mean: 1.84 median: 1.727 SHEN: 0.582 low: 0.008 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 0.813 | |
| Price To Book QoQ | 8.306 % | |
| Price To Book YoY | -22.575 % | |
| Price To Book IPRWA | high: 8.878 mean: 2.698 median: 2.299 SHEN: 0.813 low: -7.881 |
|
| Price To Earnings (P/E) | -106.474 | |
| Price To Earnings QoQ | 62.325 % | |
| Price To Earnings YoY | -105.929 % | |
| Price To Earnings IPRWA | high: 187.43 mean: 49.169 median: 42.461 low: 5.866 SHEN: -106.474 |
|
| PE/G Ratio | 3.833 | |
| Price To Sales (P/S) | 8.282 | |
| Price To Sales QoQ | 6.481 % | |
| Price To Sales YoY | -27.497 % | |
| Price To Sales IPRWA | high: 84.976 mean: 11.258 SHEN: 8.282 median: 4.375 low: 0.001 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | -285.709 | |
| Forward PE/G | 10.285 | |
| Forward P/S | 121.425 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 17.969 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.049 | |
| Asset Turnover Ratio QoQ | -1.298 % | |
| Asset Turnover Ratio YoY | -12.023 % | |
| Asset Turnover Ratio IPRWA | high: 0.162 median: 0.127 mean: 0.121 SHEN: 0.049 low: 0.037 |
|
| Receivables Turnover | 2.755 | |
| Receivables Turnover Ratio QoQ | -6.805 % | |
| Receivables Turnover Ratio YoY | -23.154 % | |
| Receivables Turnover Ratio IPRWA | high: 4.701 SHEN: 2.755 mean: 1.778 median: 0.962 low: 0.237 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 33.124 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | — | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | — | |
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | -2.804 | |
| CapEx To Revenue | -0.973 | |
| CapEx To Depreciation | -2.489 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 1.4 B | |
| Net Invested Capital | $ 1.4 B | |
| Invested Capital | $ 1.4 B | |
| Net Tangible Assets | $ 745.1 M | |
| Net Working Capital | $ -31.59 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.253 | |
| Current Ratio | 0.725 | |
| Current Ratio QoQ | -39.601 % | |
| Current Ratio YoY | -18.326 % | |
| Current Ratio IPRWA | high: 2.812 mean: 0.873 low: 0.746 median: 0.746 SHEN: 0.725 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 18.102 | |
| Cost Of Debt | 0.852 % | |
| Interest Coverage Ratio | -1.015 | |
| Interest Coverage Ratio QoQ | -7.346 % | |
| Interest Coverage Ratio YoY | -70.982 % | |
| Interest Coverage Ratio IPRWA | high: 6.78 mean: 3.223 median: 2.289 SHEN: -1.015 low: -37.988 |
|
| Operating Cash Flow Ratio | 0.213 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 168.22 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -0.59 % | |
| Revenue Growth | 0.762 % | |
| Revenue Growth QoQ | -73.823 % | |
| Revenue Growth YoY | -96.812 % | |
| Revenue Growth IPRWA | high: 11.854 % mean: 1.337 % SHEN: 0.762 % median: 0.753 % low: -2.581 % |
|
| Earnings Growth | -27.778 % | |
| Earnings Growth QoQ | -109.921 % | |
| Earnings Growth YoY | -75.308 % | |
| Earnings Growth IPRWA | high: 71.429 % median: 33.333 % mean: 26.948 % SHEN: -27.778 % low: -359.615 % |
|
| MARGINS | ||
| Gross Margin | 63.165 % | |
| Gross Margin QoQ | 1.19 % | |
| Gross Margin YoY | 5.73 % | |
| Gross Margin IPRWA | high: 76.968 % SHEN: 63.165 % mean: 62.359 % median: 62.325 % low: 1.803 % |
|
| EBIT Margin | -6.879 % | |
| EBIT Margin QoQ | 12.826 % | |
| EBIT Margin YoY | -57.772 % | |
| EBIT Margin IPRWA | high: 73.597 % mean: 19.85 % median: 13.436 % SHEN: -6.879 % low: -35.941 % |
|
| Return On Sales (ROS) | -10.051 % | |
| Return On Sales QoQ | 64.852 % | |
| Return On Sales YoY | -38.3 % | |
| Return On Sales IPRWA | high: 75.437 % mean: 24.692 % median: 20.864 % SHEN: -10.051 % low: -35.941 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ -65.25 M | |
| Free Cash Flow Yield | -8.895 % | |
| Free Cash Flow Yield QoQ | -3.031 % | |
| Free Cash Flow Yield YoY | 11.313 % | |
| Free Cash Flow Yield IPRWA | high: 8.968 % mean: 1.56 % median: 1.368 % low: -1.573 % SHEN: -8.895 % |
|
| Free Cash Growth | 4.047 % | |
| Free Cash Growth QoQ | -131.307 % | |
| Free Cash Growth YoY | -90.516 % | |
| Free Cash Growth IPRWA | high: 198.084 % SHEN: 4.047 % mean: -12.265 % median: -13.162 % low: -608.827 % |
|
| Free Cash To Net Income | 7.212 | |
| Cash Flow Margin | 27.666 % | |
| Cash Flow To Earnings | -2.708 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | -0.497 % | |
| Return On Assets QoQ | -2.93 % | |
| Return On Assets YoY | -40.12 % | |
| Return On Assets IPRWA | high: 7.278 % mean: 1.67 % median: 1.211 % SHEN: -0.497 % low: -3.843 % |
|
| Return On Capital Employed (ROCE) | -0.358 % | |
| Return On Equity (ROE) | -0.01 | |
| Return On Equity QoQ | -0.0 % | |
| Return On Equity YoY | -27.319 % | |
| Return On Equity IPRWA | high: 0.462 mean: 0.075 median: 0.05 SHEN: -0.01 low: -0.135 |
|
| DuPont ROE | -0.998 % | |
| Return On Invested Capital (ROIC) | -0.322 % | |
| Return On Invested Capital QoQ | -3.881 % | |
| Return On Invested Capital YoY | -101.136 % | |
| Return On Invested Capital IPRWA | high: 8.352 % mean: 2.393 % median: 2.178 % SHEN: -0.322 % low: -5.031 % |
|