In a surprising turn of events, Federated Hermes Inc. has significantly increased its holdings in Altice USA, Inc. during the first quarter of 2023, according to a recent filing with the Securities and Exchange Commission. The renowned investment firm revealed that it acquired an additional 76,851 shares of Altice USA, bringing its total ownership to approximately 3,309,995 shares. This represents a notable increase of 2.4% in their overall holdings.
As of the end of the reporting period, the value of Federated Hermes Inc.’s stake in Altice USA amounted to an impressive $11,320,000. This substantial investment showcases Federated Hermes Inc.’s confidence in the future prospects and potential growth opportunities offered by Altice USA as a major player in the broadband communications and video services industry.
Altice USA is a leading company that operates in various regions including the United States, Canada, Puerto Rico, and the Virgin Islands. The company’s primary focus lies in providing broadband communications and video services to residential as well as business customers. Their comprehensive range of offerings includes broadband internet connectivity, video streaming services, telephony solutions, and mobile communication plans.
One particularly noteworthy aspect of Altice USA’s service portfolio is their ability to deliver broadcast stations and cable networks to customers. Additionally, they offer over-the-top (OTT) services which enable subscribers to access content through various digital platforms such as mobile applications.
Altice USA also boasts an impressive array of advanced features for its video services including high-definition channels, digital video recording capabilities (DVR), pay-per-view options, and on-demand content libraries. These offerings align closely with evolving consumer preferences for personalized entertainment experiences that can be accessed conveniently at any time.
The increased investment from Federated Hermes Inc., coupled with Altice USA’s comprehensive suite of services and expanding reach across multiple territories signals positive prospects for continued growth in the future.
Investors and industry experts alike recognize the significance of this recent filing by Federated Hermes Inc. as it not only underscores their belief in Altice USA’s value but also serves as a testament to the company’s strong position in an increasingly competitive market. Altice USA has consistently demonstrated its commitment to innovation, customer satisfaction, and technological advancements that are essential for success in today’s rapidly evolving media landscape.
It remains to be seen how this increased investment will impact Altice USA’s operations and strategic initiatives moving forward. However, with the backing of reputable investors such as Federated Hermes Inc., Altice USA is well-positioned to leverage its strengths and seize new growth opportunities in the dynamic broadband communications and video services sector.
As with any investment, it is important for shareholders and potential investors to conduct thorough research and monitor the developments surrounding Altice USA closely. This will enable them to make informed decisions based on up-to-date information regarding the company’s performance, industry trends, regulatory changes, and competitive landscape.
In conclusion, Federated Hermes Inc.’s recent increase in holdings reflects a shrewd move that highlights their confidence in Altice USA’s future prospects. With its impressive range of broadband communications and video services, combined with a solid reputation within the industry, Altice USA continues to pave the way for sustained growth and prominence within its market segment.
Note: The information provided in this article is based on publicly available data as of August 14, 2023. Investors should consult their financial advisors or conduct further research before making any investment decisions.
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Altice USA Receives Attention from Hedge Funds and Institutional Investors, But Analyst Opinions Remain Divided
Altice USA, a major player in the telecommunications industry, has been experiencing some significant activity from hedge funds and institutional investors. Covestor Ltd, for instance, increased its ownership stake in Altice USA by an astonishing 798.9% during the first quarter of this year. This surge in holdings resulted in Covestor Ltd now owning 3,353 shares valued at $42,000.
Other notable institutional investors have also made moves with regards to Altice USA shares. Cambridge Investment Research Advisors Inc. entered the scene during the fourth quarter of last year and acquired a new position worth approximately $49,000. Similarly, MQS Management LLC advocated for Altice USA by purchasing shares valued at around $52,000 during the same period. West Family Investments Inc., on the other hand, decided to invest about $54,000 into Altice USA shares.
August 14th marked another investment triumph for Andesa Financial Management Inc., as they secured a new position in Altice USA worth approximately $57,000 during the first quarter of this year. Collectively, these institutional investors now own a substantial 56.48% of Altice USA’s stock.
Research analysts have not shied away from offering their insights on this company either. TheStreet recently lowered their rating for Altice USA from “c-” to “d.” Deutsche Bank Aktiengesellschaft recommended an increase in the target price for Altice USA from $4.50 to $4.75 back in May. Morgan Stanley affirmed an “equal weight” rating and provided a target price of $3.00 per share.
The opinions surrounding Altice USA seem divided among research analysts; however, there seems to be a consensus that it is not necessarily a standout investment opportunity currently available on the market.
As its stock opened at $3.45 on August 14th on NYSE:ATUS (New York Stock Exchange), Altice USA seems to be offering an attractive entry for investors. Its 50-day moving average stands at $3.06, while its 200-day moving average is slightly higher at $3.37. With a market capitalization of $1.57 billion and a beta of 1.42, Altice USA has undoubtedly made its mark in the industry.
Earlier this month, on August 2nd, Altice USA released its earnings report for the quarter. The numbers exceeded expectations as the company reported an EPS (Earnings Per Share) of $0.17, outperforming the consensus estimate by $0.12. Furthermore, Altice USA raked in revenue of $2.32 billion during the period—almost matching analysts’ expectations.
Despite these positive developments, Altice USA has struggled with net margins in recent times, currently sitting at -0.04%. Additionally, their return on equity stands at a negative 16.96%. Consequently, the business’s revenues for this particular quarter dwindled by about 5.6%, albeit showing signs of improvement when compared to the same period last year when they boasted a more notable EPS figure of $0.35.
Looking ahead, research analysts foresee a relatively modest EPS projection of 0.5 for Altice USA during this fiscal year.
All things considered, although there seems to be pronounced confusion in terms of which direction the stock might take in the future—attributable to varying opinions from research analysts—the data suggests that caution may be warranted when considering Altice USA as an investment option presently available on the market.
Ultimately, individual investors should do their due diligence and consider all relevant factors before deciding whether or not to invest in this telecommunications giant.
