Public Markets

The FOCUS Communications Service Provider Index (CSPI) once again ended up in negative territory after it dropped 7.9% in the past three months. This marks the third straight period where the sector posted a negative return. To say that the losses were broad based is almost an understatement. Not only was every sub sector in negative territory this period, but every single company delivered a negative return as well. The broader indices were also down this period with the S&P 500 and the NASDAQ falling 5.0% and 9.1%, respectively. Not surprisingly given this recent string of losses, the CSPI is  deeply in negative territory for the full year period with a decline of slightly more than 20%. This is despite the fact that the broader indices were in positive territory over this time frame. The S&P 500 was up 14.0% and the NASDAQ was up 7.3% over the past year. Sector multiples are meaningfully lower than they were a year ago. The sector revenue multiple went from 3.0x to 2.6x, while t e sector EBITDA multiple went from 8.5x to 7.4x.


Kahla Cooper is the Director of Marketing at FOCUS. In this role, Ms. Cooper designs and implements the overall marketing strategy. Ms. Cooper works with each industry team leader to define programs in order to promote and brand FOCUS’ suite of capabilities.