Shenandoah Telecommunications Co (SHEN) AI Stock Analysis

• Market Cap: $719.70M
• Dividend Yield: 0.77%
• Average Volume (3M): 301.68K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.20
• Revenue Growth: 16.73%
• EPS Growth: -237.78%
• Country: US
• Employees: 1,089
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): -0.20
• Shares Outstanding: 54,897,070
• 10 Day Avg. Volume: 259,537
• 30 Day Avg. Volume: 301,677
• PEG Ratio: <0.01
• Price to Book (P/B): 0.74
• Price to Sales (P/S): 2.06
• P/FCF Ratio: -2.64
• Enterprise Value/Market Cap: 1.85
• Enterprise Value/Revenue: 3.82
• Enterprise Value/Gross Profit: 7.37
• Enterprise Value/Ebitda: 13.15
• 1Y Price Target: $26.00
• Price Target Upside: 98.32% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 50 Neutral
• Price Target: $13.00 ▼(-0.84% Downside)

Shenandoah Telecommunications Co's overall stock score reflects a mix of financial challenges and growth opportunities. The most significant factor is the company's financial performance, which is hindered by profitability and cash flow issues. Technical analysis indicates weak momentum, while valuation concerns arise from a negative P/E ratio. The earnings call provided some optimism with growth in Glo Fiber revenues, but challenges in other revenue streams remain.

Positive Factors

Glo Fiber Revenue Growth

The significant growth in Glo Fiber revenues indicates strong demand and successful market penetration, enhancing long-term revenue potential.

Fiber Network Expansion

Expanding the fiber network enhances service reach and infrastructure capabilities, supporting future growth and competitive positioning.

Improved EBITDA Margins

Improved EBITDA margins reflect better operational efficiency and cost management, contributing to sustainable profitability.

Negative Factors

Profitability Challenges

Negative profitability metrics highlight operational inefficiencies, which could hinder long-term financial health if not addressed.

Cash Flow Issues

Consistently negative free cash flow limits the company's ability to invest in growth opportunities and maintain financial flexibility.

Revenue Declines in Key Segments

Revenue declines in key segments suggest challenges in adapting to market shifts and maintaining competitive advantage.

Shenandoah Telecommunications Co Business Overview & Revenue Model

Company Description

Shenandoah Telecommunications Co (SHEN) is a telecommunications company based in the United States, primarily serving rural and suburban communities. The company operates through various segments, including broadband services, wireless communications, and video services. Its core products include high-speed internet, digital television, and voice services, catering to both residential and business customers. SHEN also provides tower leasing and other ancillary services to enhance its telecommunications infrastructure.

How the Company Makes Money

Shenandoah Telecommunications Co generates revenue through multiple streams, primarily from its broadband services, which include internet and voice solutions for residential and business clients. The company charges monthly subscription fees for high-speed internet services, as well as for its digital TV and voice offerings. Additionally, SHEN earns income from its wireless segment, which includes mobile services and related products. A significant portion of its revenue also comes from leasing space on its telecommunications towers to other service providers. Partnerships with content providers and technology firms further enhance SHEN's service offerings, contributing to its earnings through bundled services and promotional deals.

Shenandoah Telecommunications Co Financial Statement Overview

Summary

Shenandoah Telecommunications Co faces several financial challenges. Despite revenue growth, profitability and cash flow issues are concerning. The company needs to address operational inefficiencies and improve cash flow management to enhance financial health and sustainability.

Income Statement

Shenandoah Telecommunications Co shows a mixed performance in its income statement. The company has experienced revenue growth, with a notable increase in the TTM period. However, profitability metrics such as the net profit margin and EBIT margin are negative, indicating operational challenges. The gross profit margin has declined over time, suggesting pressure on cost management.

Balance Sheet

The balance sheet reflects moderate financial stability. The debt-to-equity ratio has increased over the years, indicating rising leverage, but it remains within a manageable range. The return on equity has fluctuated, with recent periods showing negative returns, highlighting profitability issues. The equity ratio is stable, suggesting a solid asset base relative to equity.

Cash Flow

Cash flow analysis reveals significant challenges. Free cash flow is consistently negative, and the free cash flow growth rate is declining. The operating cash flow to net income ratio is below 1, indicating that operating cash flows are not fully covering net income. The company needs to improve cash generation to support its operations and investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	349.48M	328.06M	287.38M	267.37M	245.24M	220.78M
Gross Profit	181.13M	199.95M	181.28M	159.82M	142.94M	132.57M
EBITDA	101.43M	76.32M	78.27M	67.43M	60.91M	46.44M
Net Income	-29.32M	190.39M	8.04M	-8.38M	7.93M	2.63M
Balance Sheet
Total Assets	1.81B	1.74B	1.21B	977.72M	890.73M	2.03B
Cash, Cash Equivalents and Short-Term Investments	29.08M	46.27M	139.25M	44.06M	84.34M	195.40M
Total Debt	525.13M	432.30M	352.73M	128.26M	56.62M	738.02M
Total Liabilities	827.28M	739.23M	561.56M	339.71M	248.46M	1.45B
Stockholders Equity	901.96M	918.58M	652.67M	638.01M	642.27M	582.39M
Cash Flow
Free Cash Flow	-249.00M	-256.50M	-142.78M	-114.71M	-411.04M	166.30M
Operating Cash Flow	88.59M	62.57M	113.77M	74.89M	-250.93M	302.87M
Investing Cash Flow	-308.18M	-339.41M	-236.69M	-184.18M	1.78B	-155.59M
Financing Cash Flow	207.14M	183.86M	218.11M	69.00M	-1.64B	-53.53M

Shenandoah Telecommunications Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.11
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SHEN, the sentiment is Positive. The current price of 13.11 is below the 20-day moving average (MA) of 13.19, below the 50-day MA of 13.31, and above the 200-day MA of 12.81, indicating a neutral trend. The MACD of -0.13 indicates Positive momentum. The RSI at 48.65 is Neutral, neither overbought nor oversold. The STOCH value of 43.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SHEN.

Shenandoah Telecommunications Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	―	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
SIFY	―	$930.43M	―	―	―	5.81%	―
ATEX	―	$363.55M	12.42	17.59%	―	15.97%	―
CABO	―	$916.62M	―	-30.85%	7.25%	-5.43%	-363.95%
SHEN	―	$719.70M	-20.01	-3.93%	0.77%	16.73%	-237.78%
RBBN	―	$609.27M	-14.08	-11.40%	―	7.38%	20.81%
WOW	―	$439.69M	―	-30.99%	―	-8.67%	63.35%

Shenandoah Telecommunications Co Corporate Events

Shentel’s Q3 2025: Fiber Growth Amid Challenges

Shenandoah Telecommunications Company, commonly known as Shentel, provides broadband services through its extensive fiber optic and cable networks to residential and commercial customers across eight states in the eastern United States. The company offers a range of services including broadband internet, video, voice, and managed network services.

Shenandoah Telecom’s Earnings Call Highlights Growth and Challenges

The recent earnings call for Shenandoah Telecommunications showcased a largely positive sentiment, driven by significant growth in the Glo Fiber segment and strong commercial fiber bookings. While the company reported positive financial performance metrics, challenges were noted in the incumbent broadband and commercial fiber sectors. The call also highlighted the initiation of guidance and strategic leadership changes, suggesting a dynamic period ahead for the company.

Shenandoah Telecommunications Reports Q2 2025 Growth

Shenandoah Telecommunications Company, commonly known as Shentel, is a provider of broadband services through its advanced fiber optic and cable networks, serving residential and commercial customers across eight states in the eastern United States.

Shenandoah Telecommunications Announces Leadership Transition

On July 29, 2025, Shenandoah Telecommunications Company announced a leadership transition effective September 1, 2025, with Christopher E. French stepping into the role of Executive Chairman while Edward H. McKay will become the new President and CEO. Mr. McKay, who has been with Shentel since 2004 and has extensive experience in the telecommunications industry, will lead the company forward, focusing on growth and innovation. This strategic leadership change is part of Shentel’s succession planning to ensure continuity and sustained strategic direction, aiming to enhance the company’s growth and value delivery to customers and shareholders.

The most recent analyst rating on (SHEN) stock is a Buy with a $26.00 price target. To see the full list of analyst forecasts on Shenandoah Telecommunications Co stock, see the SHEN Stock Forecast page.