Frontier Communications Valuation

FYBR Stock  USD 35.83  0.08  0.22%   
At this time, the firm appears to be fairly valued. Frontier Communications shows a prevailing Real Value of $35.79 per share. The current price of the firm is $35.83. Our model computes the value of Frontier Communications from reviewing the firm fundamentals such as Profit Margin of (0.05) %, current valuation of 19.76 B, and Shares Outstanding of 249.7 M as well as analyzing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Frontier Communications' valuation include:
Price Book
1.8111
Enterprise Value
19.8 B
Enterprise Value Ebitda
9.4853
Price Sales
1.507
Forward PE
133.3333
Fairly Valued
Today
35.83
Please note that Frontier Communications' price fluctuation is very steady at this time. Calculation of the real value of Frontier Communications is based on 3 months time horizon. Increasing Frontier Communications' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Frontier stock is determined by what a typical buyer is willing to pay for full or partial control of Frontier Communications Parent. Since Frontier Communications is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Frontier Stock. However, Frontier Communications' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  35.83 Real  35.79 Target  41.69 Hype  35.83 Naive  35.64
The intrinsic value of Frontier Communications' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Frontier Communications' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
35.79
Real Value
36.05
Upside
Estimating the potential upside or downside of Frontier Communications Parent helps investors to forecast how Frontier stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Frontier Communications more accurately as focusing exclusively on Frontier Communications' fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
-0.27-0.2-0.13
Details
Hype
Prediction
LowEstimatedHigh
35.5735.8336.09
Details
Naive
Forecast
LowNext ValueHigh
35.3835.6435.90
Details
11 Analysts
Consensus
LowTarget PriceHigh
37.9441.6946.27
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Frontier Communications' intrinsic value based on its ongoing forecasts of Frontier Communications' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Frontier Communications' closest peers.

Frontier Communications Cash

878.22 Million

Frontier Valuation Trend

Frontier Communications' real value is important for investors to make better decisions and a more accurate overall view of Frontier Communications' financial worth over time. Using both Frontier Communications' enterprise value as well as its market capitalization is the best way to gauge the value of the company and is usually enough for investors to make market timing conclusions.

Frontier Revenue by Product

Frontier Communications Total Value Analysis

Frontier Communications Parent is currently forecasted to have valuation of 19.76 B with market capitalization of 8.95 B, debt of 11.56 B, and cash on hands of 2.98 B. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Frontier Communications fundamentals before making equity appraisal based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
19.76 B
8.95 B
11.56 B
2.98 B

Frontier Communications Investor Information

About 87.0% of the company shares are owned by institutional investors. The company has price-to-book (P/B) ratio of 1.81. Some equities with similar Price to Book (P/B) outperform the market in the long run. Frontier Communications recorded a loss per share of 1.3. The entity had not issued any dividends in recent years. Based on the key indicators related to Frontier Communications' liquidity, profitability, solvency, and operating efficiency, Frontier Communications Parent may be sliding down financialy. It has an above-average probability of going through some form of financial hardship next quarter.
Current ValueLast YearChange From Last Year 10 Year Trend
Total Cash From Operating Activities1.2 B1.6 B
Way Down
Slightly volatile

Frontier Communications Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Frontier Communications has an asset utilization ratio of 28.49 percent. This connotes that the Company is making $0.28 for each dollar of assets. An increasing asset utilization means that Frontier Communications Parent is more efficient with each dollar of assets it utilizes for everyday operations.
 
Credit Downgrade
 
Yuan Drop
 
Covid

Frontier Communications Ownership Allocation

Frontier Communications holds a total of 249.7 Million outstanding shares. The majority of Frontier Communications Parent outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to obtain positions in Frontier Communications to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Frontier Communications. Please pay attention to any change in the institutional holdings of Frontier Communications Parent as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.

Frontier Communications Profitability Analysis

The company reported the previous year's revenue of 5.87 B. Net Loss for the year was (322 M) with profit before overhead, payroll, taxes, and interest of 3.83 B.

About Frontier Communications Valuation

The stock valuation mechanism determines Frontier Communications' current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Frontier Communications based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Frontier Communications. We calculate exposure to Frontier Communications's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Frontier Communications's related companies.
Last ReportedProjected for Next Year
Gross Profit5.9 B4.2 B
Pretax Profit Margin(0.06)(0.06)
Operating Profit Margin 0.06  0.04 
Net Loss(0.05)(0.06)
Gross Profit Margin 1.01  1.06 

Frontier Communications Growth Indicators

Investing in growth stocks can be very risky. If the company such as Frontier Communications does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding248.2 M
Quarterly Earnings Growth Y O Y-0.595
Forward Price Earnings133.3333

Frontier Communications Current Valuation Indicators

Frontier Communications' valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Frontier Communications' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Frontier Communications, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Frontier Communications' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Frontier Communications' worth.

Additional Tools for Frontier Stock Analysis

When running Frontier Communications' price analysis, check to measure Frontier Communications' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Frontier Communications is operating at the current time. Most of Frontier Communications' value examination focuses on studying past and present price action to predict the probability of Frontier Communications' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Frontier Communications' price. Additionally, you may evaluate how the addition of Frontier Communications to your portfolios can decrease your overall portfolio volatility.