Altice USA, Inc. Class A (ATUS)

Altice USA's stock has been impacted by weak customer metrics and a decline in revenue and EBITDA in Q3 2025, missing market revenue expectations with a 5.4% year-on-year sales decrease and reporting a GAAP loss of $3.47 per share. A flat outlook for Q3 broadband subscriber trends, attributed to customer disconnects and competitive pressures, led to a stock price drop. Altice USA announced a corporate name change to Optimum Communications, Inc., effective November 7, 2025, and will begin trading under the new symbol 'OPTU' on November 19, 2025, to align its corporate identity with the Optimum brand and reflect a transformation focused on network modernization and customer experience enhancement.

Altice USA has experienced a general weakness in demand for its products and services, with revenue declining annually over the last five years. The company has seen declining trends in its Residential segment in recent quarters, with broadband subscribers averaging 3.6% year-on-year declines and pay-TV subscribers averaging 13% year-on-year declines over the last two years. Q3 2025 broadband subscriber trends were anticipated to be flat due to customer disconnects and competitive pressures. There is no specific data available to indicate distinct seasonal patterns in the demand for Altice USA's products and services.

Altice USA, Inc. is a telecommunications and media company headquartered in Long Island City, New York, founded in 2016 after Altice Group's acquisition of Cablevision and Suddenlink. Its core business includes residential, business, news and advertising, and mobile services. Operating in the Telecommunications and Mass Media sectors, Altice USA offers high-speed internet, television, voice, and mobile plans under brands like Optimum and Suddenlink. The company also owns media properties such as News 12 Networks and Cheddar, and provides advertising solutions through Altice Media. Altice USA is expanding its fiber network to enhance internet speeds and mobile offerings.

Altice USA serves approximately 4.9 million customers across 21 U.S. states, with a significant presence in the New York metropolitan area and several Midwestern and Southern states. The company's fiber network expansion targets over two-thirds of its footprint, planning to pass more than 6.5 million addresses by the end of 2025 in states including New York, Connecticut, Arizona, California, Louisiana, Missouri, North Carolina, New Mexico, Oklahoma, and West Virginia. The Optimum brand's broadband service is available across its footprint in New York, New Jersey, and Connecticut.

Altice USA has faced brand reputation challenges due to customer attrition and declining broadband revenue, struggling to retain customers against competition from Verizon and new fiber network and fixed-wireless providers. This resulted in a 2% decrease in broadband revenue for the first quarter of 2025. To address these issues, Altice USA launched a new brand platform and marketing campaign for its Optimum brand in April 2024, emphasizing its commitment to local communities and leveraging its technological capabilities. The corporate name change to Optimum Communications, Inc. in November 2025 is part of a broader transformation to unify its brand identity. The reputation of its controlling shareholder, Patrick Drahi, has also been noted as a factor that could adversely affect public perception of Altice USA.

Altice USA ownership includes institutional shareholders holding approximately 61.76% to 76.61% of the stock, insiders holding between 5.85% and 67.33%, and retail investors holding the remaining shares. Alt Sarl Next is the largest individual shareholder, owning 73.18% of the company. Major institutional owners include Vanguard Group Inc., Empyrean Capital Partners LP, and Blackrock Inc.