Charter Communications (CHTR)

Communication Services · $22.8B market cap · SEC CIK 0001091667

Next reports on Jan 28, 2027, after the close, with analysts expecting $9.88 in earnings per share.

52-week range $101.11 to $254.11. 47% below its 52-week high and 33% above its low.

The case for CHTR

• Cheap for its growth: 4.6× earnings, where 7% a year of growth would justify about 18×.
• Earns 30% back on shareholder equity.
• Free cash flow of 19.4% of its market value a year: a lot of cash for the price.
• Trades at 1.03× book value, close to what the balance sheet says it owns.
• Moves less than the market (beta 0.73).
• Price/sales of 0.4× is lower than 94% of Communication Services companies.

The case against

• Down 44.9% over the past year.
• Long-term debt of $94.0B would take 6 years of operating cash flow to repay.
• Operating profit covers its interest bill only 2.4 times.
• Revenue was flat on the year (−1.5%).
• Current liabilities exceed current assets (ratio 0.36).

What the score is made of

Each factor is half a curve over reported figures and half a rank among the other Communication Services companies (momentum is judged against fixed thresholds only), and the five are blended by weight. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.

• Each factor except momentum is half fixed thresholds, half rank among the 19 Communication Services companies.

The financials

The financials, five years deep

Pulled from Charter Communications's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.

What Charter Communications says it does

Introduction We are a leading broadband connectivity company with services available to 58 million homes and small to large businesses across 41 states through our Spectrum ® brand. Founded in 1993, we have evolved from providing cable TV to streaming, and from high-speed Internet to a converged broadband, WiFi and mobile experience. Over the Spectrum Fiber Broadband Network and supported by our 100% U.S.-based employees, we offer Seamless Connectivity and Entertainment with Spectrum Internet ® , Mobile, TV and Voice products. Our strategy is focused on utilizing our fiber-powered network to deliver high-quality, competitively priced products, with outstanding service, allowing us to increase both the number of customers we serve over our network and the number of products we sell to each customer. This combination also reduces the number of service transactions we perform per relationship, yielding higher customer satisfaction and…

Risk factors CHTR lists in its 10-K

• We operate in a very competitive business environment, which affects our ability to attract and retain customers and can adversely affect our business, operations and financial results
• Various events could disrupt or result in unauthorized access to our networks, information systems or properties and could impair our operating activities and negatively impact our reputation and financial results
• Any failure to respond to technological developments and meet customer demand for new products and services could adversely affect our ability to compete effectively
• Our business may be adversely affected if we cannot continue to license or enforce the intellectual property rights on which our business depends
• We may not have the ability to pass on to our customers all of the increases in programming costs, which could adversely affect our cash flow and operating margins
• Issues related to the development and use of AI could give rise to legal or regulatory action, damage our reputation or otherwise materially harm our business
• Our exposure to the economic conditions of our current and potential customers, vendors and third parties could adversely affect our cash flow, results of operations and financial condition
• If we are unable to retain key employees, our ability to manage our business could be adversely affected
• The agreements and instruments governing our debt contain restrictions and limitations that could significantly affect our ability to operate our business, as well as significantly affect our liquidity
• Liberty Broadband and A/N have governance rights that give them influence over corporate transactions and other matters
• Our business is subject to extensive governmental legislation and regulation, which could adversely affect our business
• Changes to the existing legal and regulatory framework under which we operate or the regulatory programs in which we or our competitors participate could adversely affect our business
• Tax legislation and administrative initiatives or challenges to our tax and fee positions could adversely affect our results of operations and financial condition
• Our cable system franchises are subject to non-renewal or termination and are non-exclusive. The failure to renew a franchise or the grant of additional franchises in one or more service areas could adversely affect our business
• Transactions are subject to conditions, some or all of which may not be satisfied, or completed on a timely basis, if at all. Failure to complete the Cox
• Transactions could have a material adverse effect on us
• Charter and Cox Communications are subject to contractual restrictions while the Cox Transactions are pending, which could adversely affect their respective businesses and operations
• We will incur direct and indirect costs as a result of the Cox
• A/N and Liberty Broadband currently have governance rights that give them influence over corporate transactions and other matters. In connection with the Cox
• If we are not able to successfully integrate Cox Communications’ business within the anticipated time frame, or at all, the anticipated cost savings and other benefits of the Cox
• Transactions may not be realized fully, or at all, or may take longer to realize than expected. In such circumstances, in the event the Cox
• Transactions are completed, we may not perform as expected and the value of the Charter Class A common stock may be adversely affected
• The market price of Charter Class A common stock may decline as a result of the Cox
• We are subject to contractual restrictions while the Liberty Broadband Combination is pending, which could adversely affect our business and operations
• The announcement and pendency of the Liberty Broadband Combination could divert the attention of management and cause disruptions in our business, which could have an adverse effect on our business and financial results
• We will incur direct and indirect costs as a result of the Liberty Broadband Combination
• Charter may fail to realize all of the anticipated benefits of the Liberty Broadband Combination or those benefits may take longer to realize than expected
• The Liberty Broadband Combination raises other risks

Filings

Other Communication Services companies