MeritValue

SHENANDOAH TELECOMMUNICATIONS CO/VA/

SHENdata completeness 100%17 fiscal years on file
The thesis, from the filings

SHENANDOAH TELECOMMUNICATIONS CO/VA/ earns about -0% on invested capital, but has diluted owners by 10% over 5 years — worth asking whether the growth reaches owners. The applicable estimate puts fair value near $1.51 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$245.2M1$248.9M2$269.1M3$328.1M3$357.9M3
Net income$998.8M4−$8.38M5$8.04M6$193.8M6−$32.9M6
Operating cash flow−$250.9M7$74.9M8$113.8M9$62.6M9$101M9
Capital expenditure$160.1M10$189M11$255.1M12$319.1M12$358.9M12
Free cash flow (derived)−$411M7−$114.1M8−$141.3M9−$256.5M9−$257.9M9
Total debt$013$150M14$599.9M15$834.8M16$1.27B16
Cash & equivalents$84.3M17$44.1M18$139.3M19$46.3M20$27.3M20
Diluted shares50.1M50.2M50.7M53.7M55.1M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$159.85
your share of equity
Profit it earned you last year
−$5.98
Free cash flow it threw off
−$46.81
Debt you’d be carrying
$230.61

10 shares is a claim on $159.85 of net worth that earned you −$5.98 and generated −$46.81 of cash last year, against $230.61 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
-0% avg · 5y
FY21 2%FY22 -2%FY23 0%FY24 -1%FY25 -1%

It earned an average -0% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+10% shares · 5y

Share count is up 10% over 5 years — owners have been diluted. Worth asking what they got for it.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
$1.51
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$8.04M
  • growthAssumed0.0%
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001628280-24-005781 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001628280-25-006567 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0000354963-26-000125 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0001628280-24-005781 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001628280-25-006567 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0000354963-26-000125 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001628280-24-005781 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001628280-25-006567 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0000354963-26-000125 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001628280-24-005781 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2022-12-31 · accession 0001628280-25-006567 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2023-12-31 · accession 0000354963-26-000125 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2021-12-31 · accession 0001628280-23-004441 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2022-12-31 · accession 0001628280-24-005781 (LongTermDebtNoncurrent)
  15. 10-K · period ending 2023-12-31 · accession 0001628280-25-006567 (LongTermDebtNoncurrent)
  16. 10-K · period ending 2024-12-31 · accession 0000354963-26-000125 (LongTermDebtNoncurrent)
  17. 10-K · period ending 2021-12-31 · accession 0001628280-23-004441 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2022-12-31 · accession 0001628280-24-005781 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2023-12-31 · accession 0001628280-25-006567 (CashAndCashEquivalentsAtCarryingValue)
  20. 10-K · period ending 2024-12-31 · accession 0000354963-26-000125 (CashAndCashEquivalentsAtCarryingValue)