Altice USA, Inc. ( ATUS Quick Quote ATUS - Free Report) recently extended its mobile virtual network operator (MVNO) agreement with T-Mobile US, Inc. ( TMUS Quick Quote TMUS - Free Report) for its Optimum Mobile service. The multi-year deal, the terms of which were kept under wraps, will enable T-Mobile to serve as the nationwide network service provider for Optimum. Altice had launched its mobile services in 2019 under MVNO agreement with the erstwhile Sprint. This enabled it to offer wireless mobile services using the communications network infrastructure of Sprint without actually owning it. With the completion of the merger of Sprint and T-Mobile in April 2020, almost all of Altice’s existing MVNO subscribers have migrated to the latter’s network, offering customers nationwide wireless coverage on one of the largest and fastest 5G networks. The mobile service is a network of networks that delivers advanced Long-Term Evolution (LTE) coverage by combining the company’s fiber and mobile infrastructures with T-Mobile network. The extension of the existing MVNO agreement will aim to offer seamless connectivity across the country. Optimum Mobile comes up with a plethora of attractive wireless plans to offer more choice and flexibility to choose and shift from one plan to the other without any extra charge. Customers will enjoy exclusive benefits and extra discounts if they select an integrated offering of the company’s broadband connectivity services and Optimum Mobile, with the option to cancel the plan anytime. Altice has been accelerating the pace of its network rollouts. It is witnessing strong momentum in customer penetration, typically reaching about 40% within a year of the rollout in new-build areas. The company witnessed robust demand for its broadband service in fourth-quarter 2021 with more than 50% of customers sticking to plans with download speeds of 200 Mbps or less. The company has accelerated the deployment of 1-gig speeds, which are currently available in more than 92% of its geographical footprint. It remains positive on the future of its FTTH (fiber-to-the-home) deployment initiatives and is confident of delivering Capex and Opex efficiencies following the completion of its FTTH build. Altice is on track with its five-year plan to build a FTTH network and deploy its home communications hub. It believes that the FTTH network will be more resilient with reduced maintenance requirements and lower power usage. Altice is building a fiber network to deliver broadband speeds of up to 10 Gbps, which underscores its investment in technology. The stock has lost 64.5% over the past year against the industry’s rise of 5.6%. Image Source: Zacks Investment Research
Altice currently carries a Zacks Rank #5 (Strong Sell).
You can see . the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here TESSCO Technologies Incorporated ( TESS Quick Quote TESS - Free Report) , carrying a Zacks Rank #2 (Buy), is a key pick for investors. It delivered an earnings surprise of 55.4%, on average, in the trailing four quarters. Earnings estimates for TESSCO for the current year have moved up 28.8% since March 2021. It offers products to the industry’s top manufacturers in mobile communications, Wi-Fi, wireless backhaul and related products. With more than three decades of experience, TESSCO delivers complete end-to-end solutions to the wireless industry. KVH Industries, Inc. ( KVHI Quick Quote KVHI - Free Report) is also a Zacks Rank #2 stock. It delivered an earnings surprise of 20%, on average, in the trailing four quarters. Despite global supply chain disruptions, KVH Industries is driving growth and margin expansion through new product introduction and subscriber migration to High-Throughput Satellites. The company aims to make decisive inroads into the still-nascent autonomous transportation markets with a strong balance sheet and zero debt. If KVH Industries manages to effectively mitigate supply chain woes, there could be boost room for cash flow expansion.