Cable Bahamas Limited

A legacy cable operator turning into a fiber-and-mobile connectivity business, right as the heavy build-out ends. With the ALIVFibr network largely complete, capital spending and depreciation roll off and interest falls as expensive preferred shares are refinanced, pushing Cable Bahamas from losses into sustained profitability. Even to a global investor charging the full country risk premium, fair value is about $8.43 against a $3.78 price, well over double. To a domestic investor it is worth more still. This is the rare BISX name that looks cheap on both lenses.

1. The build-out is ending, and the P&L knows it. The ALIVFibr network is largely built. As capital spending falls, depreciation deflates, and as expensive preferred shares are refinanced and repaid, interest expense drops. Both flow straight to the bottom line, carrying Cable Bahamas from losses into sustained profit.
2. Fiber is a moat with operating leverage. The network cost over $85M and is expensive to replicate. It carries high fixed and low variable costs, needs less maintenance and power than legacy copper, and rides through hurricanes on light signals plus battery backup. Higher-tier bundles lift revenue per customer and make switching harder.
3. The market is pricing the losses, not the turn. Even to a global investor charging the full country risk premium, fair value is about $8.43 versus $3.78, more than double the price, and to a domestic investor more still. Cable Bahamas is funded mostly by mandatorily-redeemable preferred, and once that preferred is priced as the senior claim it is and the thin equity is treated as the high-beta sliver it is, the WACC holds up and the stock is still cheap.