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CABO (Cable One) Degree of Operating Leverage : 5.22 (As of Mar. 2025)


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What is Cable One Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Cable One's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 5.22. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Cable One's Degree of Operating Leverage or its related term are showing as below:

CABO's Degree of Operating Leverage is ranked worse than
74.32% of 366 companies
in the Telecommunication Services industry
Industry Median: 1.405 vs CABO: 5.22

Cable One Degree of Operating Leverage Historical Data

The historical data trend for Cable One's Degree of Operating Leverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Cable One Degree of Operating Leverage Chart

Cable One Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.58 -0.02 1.74 -7.77 5.47

Cable One Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -15.78 -8.63 -8.35 5.47 5.22

Competitive Comparison of Cable One's Degree of Operating Leverage

For the Telecom Services subindustry, Cable One's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating Leverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Cable One's Degree of Operating Leverage Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Cable One's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Cable One's Degree of Operating Leverage falls into.


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Cable One Degree of Operating Leverage Calculation

Cable One's Degree of Operating Leverage for the quarter that ended in Mar. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 363.69 (Mar. 2025) / 542.264 (Mar. 2024) - 1 )/( 1555.83 (Mar. 2025) / 1660.499 (Mar. 2024) - 1 )
=-0.3293/-0.063
=5.22***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Cable One  (NYSE:CABO) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


Cable One Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Cable One's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Cable One Business Description

Traded in Other Exchanges
Address
210 E. Earll Drive, Phoenix, AZ, USA, 85012
Cable One Inc. is a telecommunications company that generates revenue from providing broadband, voice, and video services to both residential and business customers. From a product standpoint, the majority of revenue comes from data and video services, which are subscription-based and billed monthly. The company also offers Sparklight TV, an Internet Protocol Television (IPTV) service that enables customers using the Sparklight TV app to stream video channels from the cloud. Additionally, the company earns advertising revenue by selling airtime on its video channels, and it provides voice services over Internet protocols. Cable One Inc. owns its telecommunications infrastructure.
Executives
Wallace R Weitz director 210 E. EARLL DRIVE, PHOENIX AZ 85012
Peter N. Witty officer: See Remarks CABLE ONE, 210 E. EARLL DRIVE, PHOENIX AZ 85012
Christopher D Boone officer: See Remarks 210 E EARLL DR, C/O CABLE ONE, INC., PHOENIX AZ 85012
Thomas O. Might director, officer: Chairman and CEO 210 E. EARLL DRIVE, PHOENIX AZ 85012
Matthew Armstrong officer: SVP Residential Services 210 E EARLL DRIVE, PHOENIX AZ 85012
P Robert Bartolo director 1220 AUGUSTA DRIVE, SUITE 600, HOUSTON TX 77057
Eric Michael Lardy officer: SVP C/O CABLE ONE, INC., 210 E. EARLL DRIVE, PHOENIX AZ 85012
Thomas Sinnickson Gayner director C/O MARKEL CORP, 4521 HIGHWOODS PARKWAY, GLEN ALLEN VA 23060
Brad D. Brian director C/O CABLE ONE, INC., 210 E. EARLL DRIVE, PHOENIX AZ 85012
James A Obermeyer officer: SVP, Marketing & Sales C/O CABLE ONE, INC., 210 E EARLL DR, PHOENIX AZ 85012
Steven Scott Cochran officer: SVP C/O WIDEOPENWEST, INC., 7887 EAST BELLEVIEW AVENUE, SUITE 1000, ENGLEWOOD CO 80111
Julia M. Laulis officer: President and COO 210 E. EARLL DRIVE, PHOENIX AZ 85012
Todd M Koetje officer: See Remarks CABLE ONE, INC., 210 E EARLL DR, PHOENIX AZ 85012
Margaret Masoner Detz officer: SVP, Human Resources C/O CABLE ONE, INC., 210 E EARLL DR, PHOENIX AZ 85012
Katharine Weymouth director 1300 NORTH 17TH STREET, SUITE 1700, ARLINGTON VA 22209