Value investing has created more billionaires than any other strategy, like Warren Buffett, who built his fortune by purchasing wonderful businesses at reasonable prices.
But these hidden gems are few and far between - many stocks that appear cheap often stay that way because they face structural issues.
Looking back on wireless, cable and satellite stocks’ Q3 earnings, we examine this quarter’s best and worst performers, including Cable One (NYSE:CABO) and its peers.
Even if a company is profitable, it doesn’t always mean it’s a great investment.
Some struggle to maintain growth, face looming threats, or fail to reinvest wisely, limiting their future potential.
As the Q3 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the wireless, cable and satellite industry, including WideOpenWest (NYSE:WOW) and its peers.
The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let’s take a look at how wireless, cable and satellite stocks fared in Q3, starting with Sirius XM (NASDAQ:SIRI).
Value stocks typically trade at discounts to the broader market, offering patient investors the opportunity to buy businesses when they’re out of favor.
The key risk, however, is that these stocks are usually cheap for a reason – five cents for a piece of fruit may seem like a great deal until you find out it’s rotten.
Sirius XM’s third quarter results reflected steady operational execution and expanding digital initiatives, leading to a significant positive response from the market. Management highlighted progress in subscriber experience improvements, cost-saving measures, and a growing ad-supported business, despite flat year-on-year revenue and a continued decline in subscribers. CEO Jennifer Witz pointed to “solid momentum in our new SiriusXM acquisition initiatives,” with early signs of success from targeted pricing and packaging changes, and a robust pipeline of exclusive content driving engagement and retention.
Small-cap stocks can be incredibly lucrative investments because their lack of analyst coverage leads to frequent mispricings.
However, these businesses (and their stock prices) often stay small because their subscale operations make it harder to expand their competitive moats.
Telecommunications and cable services provider Altice USA (NYSE:ATUS)
will be announcing earnings results this Thursday before market open. Here’s what to expect.
Shares of satellite radio and media company Sirius XM (NASDAQ:SIRI)
fell 5.9% in the afternoon session after investors appeared to take profits as the company's stock rallied the previous day on a mixed third-quarter earnings report.
Satellite radio and media company Sirius XM (NASDAQ:SIRI) reported Q3 CY2025 results beating Wall Street’s revenue expectations, but sales were flat year on year at $2.16 billion. Its non-GAAP profit of $0.84 per share was 8.9% above analysts’ consensus estimates.
Shares of satellite radio and media company Sirius XM (NASDAQ:SIRI)
jumped 10.1% in the morning session after the company reported third-quarter results that surpassed analyst expectations for both revenue and profit. The satellite radio company reported a GAAP profit of $0.84 per share, a significant turnaround from a loss in the same period last year and 7.9% above consensus estimates. Revenue for the quarter was flat year-on-year at $2.16 billion but still beat forecasts. Despite a year-on-year decline of 574,000 total subscribers, investors appeared to focus on the improved profitability. A key highlight was the company's free cash flow of $257 million, with the free cash flow margin expanding to 11.9% from just 1.1% in the prior year's quarter.
