Frontier Communications Stock Analysis, Valuation (NASDAQ:FTR)
Frontier Communications Analysis Video
View Frontier Communications stock analysis video. This is our FTR analyst opinion covering the buy and sell arguments for FTR stock.
Frontier Communications Corp Stock Rating (2.4/5)
Our Frontier Communications stock opinion is based on fundamentals of the company. This Frontier Communications stock analysis is based on latest 2017 Q2 earnings. The stock price analysis takes into account the company's valuation metrics.
Should you buy FTR stock?
- FTR stock is trading at a favorable price to sales multiple of 0.1 as against the Wireline-Regional industry average multiple of 2.1.
- Frontier Communications's dividend yield of 39.16% is attractive.
- The company has a good Free Cash Flow (FCF) margin of 12.4%.
Should you sell FTR stock?
- Frontier Communications sales shrank by -11.7% year-over-year in 2017 Q2.
- Long term revenue growth of 13.5% over the past 5 years has been disappointing.
- Frontier Communications's TTM operating margin of 4.1% was rather poor.
- Frontier Communications registered an average TTM Net loss of -9.4%.
- Frontier Communications has a debt/equity ratio of 5.01, which is worse than the average in the Utilities sector.
- The lack of profits renders the PE ratio useless for FTR stock.
- Frontier Communications provides a low return on invested capital of 1.3%.
- A negative ROE of -20.2% indicates that the company is not able to generate profits with the money shareholders have invested.