Cable One, Inc. (CABO) vs Gogo Inc. (GOGO)

Cable One, Inc. and Gogo Inc. are both Telecom Services companies. Gogo Inc. is the larger, with a market value of $310.3M against $88.7M — 3.5× the size. Cable One, Inc. has negative trailing earnings, so its P/E is not meaningful; Gogo Inc. trades at 2,300×. Gogo Inc. grew revenue faster over the last twelve months: 30.0% against −6.54%. Gogo Inc. has the higher net margin (−0.09% vs −72.8%) and the higher return on invested capital (7.46% vs −4.91%). Across the 19 metrics below, Gogo Inc. leads on 14 and Cable One, Inc. on 5.

Valuation

Metric CABO GOGO Telecom Services median
P/E n/m 2,300.00 13.27
P/S 0.06 0.35 0.95
P/B 0.26 2.60 1.47
Price to free cash flow 0.34 n/m 8.72
EV/EBITDA 33.67 6.11 6.85
EV/Sales 2.06 1.18 1.87
Earnings yield (1,239.60%) 0.04% 1.66%
Free cash flow yield 295.09% (7.28%) 5.53%

Profitability

Metric CABO GOGO Telecom Services median
Gross margin 73.47% 41.60% 51.26%
Operating margin (17.48%) 11.54% 7.62%
Net margin (72.83%) (0.09%) 4.22%
Free cash flow margin 17.32% (2.53%) 4.73%
Return on equity (126.21%) (0.76%) 5.80%
Return on assets (20.20%) (0.07%) 0.00%
Return on invested capital (4.91%) 7.46% 3.41%

Growth

Metric CABO GOGO Telecom Services median
Revenue growth (TTM) (6.54%) 30.03% 3.31%
EPS growth (last fiscal year) (2,558.29%) (10.00%) —
Revenue growth, 5-year CAGR 2.53% 27.55% 1.50%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CABO GOGO Telecom Services median
Debt to equity 9.33 6.77 0.63
Current ratio 0.48 1.73 1.13
Net debt to EBITDA 21.69 3.91 1.86

Dividend

Metric CABO GOGO Telecom Services median
Dividend yield 2.38% — 4.06%
Payout ratio 0.60 0.00 0.00

Size

Metric CABO GOGO Telecom Services median
Market cap 88.68m 310.32m 3.06b

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