Cable One (NYSE:CABO) misses Q3 2026 sales expectations, stock drops 10.3%
Cable One (CABO) reported Q3 2026 revenue of $332.2M, missing estimates by 3% and down 11.7% YoY. EPS was -$75.66, far below the expected $5.19. Adjusted EBITDA was $159.8M, a 5.5% miss. Operating margin dropped to -103% from 25.2% YoY, and free cash flow margin fell to 4.4% from 22.5%. Residential data subscribers decreased by 47,900 YoY. The stock fell 10.3%.
How this was made
The 30-second read
Why it matters
The miss led to a 10.3% share decline, reflecting investor disappointment and raising concerns about subscriber churn and margin compression.
Market read
The earnings miss is a primary catalyst for immediate price action and may influence sentiment across the broadband sector.
What to watch
Potential cost‑cutting measures or upcoming contract wins were not disclosed and could mitigate the downside.
Background
Cable One (NYSE:CABO) reported Q3 2026 financials with revenue of $332.2M versus $342.5M expected and a GAAP EPS loss of $75.66 versus a $5.19 profit forecast.
Ticker impact
Q3 2026 results missed revenue and EPS estimates, triggering a 10.3% stock drop.
downward pressure as investors price in the revenue and EPS shortfall
The company reported a 3% revenue miss and a large EPS miss, already causing a double‑digit decline; no mitigating guidance was provided.
Market effects
Cable operators may face broader scrutiny as earnings miss highlights subscriber loss trends.
US broadband sector could see modest pullback in related stocks.
Limited to US telecom and broadband investors.
Counterpoint
If the miss is viewed as a temporary setback, the stock could rebound on a short‑cover rally.
Key entities
- CompanyCable One
US broadband provider listed on NYSE under ticker CABO.
