Charter Communications, Inc. (CHTR)
NEUTRALFundamental
59
Price
$149.06
Market Cap
$20.26B
Part 1 · What the company is worth
Overview
Charter, operating under the Spectrum brand, owns and runs the cable network that delivers internet, video, phone and mobile service to about 30 million households and businesses across roughly 41 U.S. states. It built this network by laying and upgrading cable lines over decades, giving it a local infrastructure monopoly or duopoly in most areas it serves. It increasingly sells mobile service too, reselling wireless capacity bundled with its home internet.
How it makes money
The great majority of revenue is recurring monthly subscription fees for internet, video, voice and mobile service, billed directly to households and businesses. Internet has become the single largest and most profitable line as video subscriptions shrink, while mobile is a newer, faster-growing add-on sold mainly to existing broadband customers. The remainder comes from advertising, franchise fees and other smaller sources.
Revenue by segment
Internet, video, voice and mobile subscriptions sold directly to households under the Spectrum brand.
The same connectivity services sold to small businesses and mid-market and large enterprise customers.
Franchise fees, equipment sales and rentals, and other smaller regulatory and ancillary revenue.
Local and regional advertising sold on Charter's cable networks, which swings with the political ad cycle.
Competitive moat
Scale · NarrowCharter's cable lines were expensive and slow to build, giving it a durable cost advantage over any new entrant trying to wire the same neighborhoods from scratch. The moat is narrow rather than wide because fiber overbuilders and fixed-wireless 5G home internet from mobile carriers are now competing directly in many of Charter's territories, something a pure cable monopoly did not have to face a decade ago.
What drives demand
Moderately cyclicalHome broadband has become close to a household essential, which makes subscription revenue fairly resilient to the economic cycle. Video and advertising are more exposed: video keeps losing subscribers to streaming regardless of the economy, and advertising revenue moves noticeably with the political election cycle and broader ad-market strength.
Key risks
- Competition from fiber and fixed wireless — Charter faces increasingly aggressive competition from telephone companies, fiber-to-the-home builders, and wireless carriers offering fixed 5G home internet, all eroding its historical local infrastructure advantage.
- Structural decline of the video business — Video subscribers continue to leave for streaming services, pressuring a large and historically profitable part of the business with no sign of the trend reversing.
- High financial leverage — Charter carries substantial debt used to fund network upgrades and share buybacks, which raises fixed interest costs and reduces flexibility if operating performance weakens.
- Regulatory and labor relations risk — Local franchise agreements, pole-attachment rules and broader telecom regulation can affect costs and market access, and part of the workforce is unionized, exposing the company to labor-relations disruption.
The case for
Buyers argue that broadband is close to an essential utility with high switching costs once installed, that mobile bundling gives Charter a new growth lever as video declines, and that continued network investment will let it hold share even as fiber and fixed-wireless rivals expand.
The case against
Sellers fear that fiber overbuilders and 5G fixed-wireless internet are eating into Charter's core broadband advantage just as video keeps shrinking, leaving a highly leveraged company to defend revenue with price cuts and heavier capital spending rather than growth.
Written by the editors, published on August 18, 2026
Direct competitors
Who this company fights with for the same customers
No editorial profile for this company yet
No competitor list for this company yet.
Balance Sheet & Liquidity
Revenue
$54.40B
Trailing 12 months (through 6/30/2026)
Net Income
$4.92B
Trailing 12 months (through 6/30/2026)
Free Cash Flow
$4.42B
Total Equity
$16.05B
Total Liabilities
$133.69B
Current Ratio
0.36
Interest Coverage
-
Debt/EBITDA
4.40
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Historical statement
Margins over time
Debt over time
How heavy the debt is
Growth grid
Growth — Revenue
Fair Value Estimation
Fair Value
$741.09
Current Price
$149.06
Margin of Safety
+79.9%
Fair Value Range
$481.71 - $1000.47
Estimation Methods
Valuation Metrics
P/E Ratio
3.91
ROE
31.1%
P/B Ratio
2.40
P/FCF
9.34
Gross Margin
-
ROIC
7.0%
Profitability Radar
Value Creation (Economic Moat)
ROIC
7.0%
WACC
1.5%
ROIC − WACC
+5.6 pp
ROIC exceeds the cost of capital — the company is creating value for shareholders.
Fundamental Analysis Criteria
Passed (14)
- EPS shows upward trend
- ROIC 7.1%
- P/FCF 9.34
- P/B Ratio 2.40
- Operating Margin 23.3%
- Positive Free Cash Flow
- Debt/EBITDA
- Return on Tangible Assets
- Price below Graham Number
- ROE 30.4%
- PEG Ratio 0.22
- Earnings Quality (OCF/NI) 3.34
- Share Dilution -5.2%
- Piotroski F-Score 6/9
Failed (10)
- Price CAGR -6.30%
- Debt/Equity ratio
- CapEx intensity
- Current Ratio
- Low reliance on intangibles
- DCF valuation (Fairly valued)
- Revenue Growth 5Y 2.6%
- Analyst Consensus 20% Buy
- Earnings Surprise avg -4.4%
- Net Margin Trend 9.1% vs 9.5%
Unavailable (3)
- Gross Margin NaN%
- Dividend Payout NaN%
- Interest Coverage
Piotroski F-Score
Mixed signals: some areas need attention
Earnings Quality
High quality: earnings backed by cash
Share Dilution
Buying back shares. Shareholder friendly
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Mr. Christopher L. Winfrey | President, CEO & Director | 49 |
| Mr. Richard J. DiGeronimo | President of Product & Technology | 47 |
| Mr. Jamal H. Haughton J.D. | Executive VP, General Counsel & Corporate Secretary | 49 |
| Mr. R. Adam Ray | Executive VP, Chief Commercial Officer & President of Spectrum Enterprise | 48 |
| Mr. Kevin D. Howard | Executive VP, Chief Accounting Officer & Controller | 55 |
| Mr. Jeffrey B. Murphy | Senior Vice President of Corporate Finance & Development | 58 |
| Mr. Jacob H. Perlman | Executive VP and Chief Technology & Information Officer | 47 |
| Mr. Stefan Anninger | Vice President of Investor Relations | - |
| Ms. Sharon Peters | Executive VP & Chief Marketing Officer | 49 |
| Mr. Christian Ruiz | Executive Vice President of Sales | 56 |
Audit Risk
10
Board Risk
8
Compensation Risk
10
Shareholder Rights Risk
6
Part 2 · The price and when to enter
This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.
Latest News
Recent headlines for CHTR, sourced from Markets Gazette.
- 29d agoNEUTRALFriday’s Activity, 3 Fresh Ideas for Monday
The article discusses trading activity from Friday, highlighting a successful 'multi-bag move' on CHTR Weekly $123-122 Puts. While the specific outcome for these puts is not detailed, the mention of a profitable trade suggests a positive short-term performance for those who entered the position. The news is part of a broader market commentary from Blue Horseshoe Stocks, offering insights into potential trading strategies for the upcoming week. Investors might note the successful execution of options trades as an indicator of market volatility and potential opportunities.
- 7/24/2026NEGATIVECharter sees further ‘erosion’ of its internet business, sending the stock sharply lower
Charter Communications Inc. reported a greater-than-anticipated loss of broadband subscribers, a key metric for its core internet business. This subscriber erosion, a persistent challenge for the company, overshadowed the addition of over 400,000 new mobile lines. The significant decline in its primary revenue stream has led to a sharp drop in the stock price, signaling investor concern over the long-term viability and growth prospects of its traditional broadband services.
- 6/29/2026POSITIVECharter may be making ‘frenemies’ with SpaceX, and its stock is soaring
Charter Communications Inc. shares surged following news that SpaceX's Starlink is exploring potential wireless market entry options, with a partnership with Charter being a key consideration. This potential collaboration could significantly bolster Charter's market position and revenue streams by integrating satellite internet capabilities into its existing broadband services. While competitors' stocks are declining on this news, Charter's strategic move positions it to capitalize on emerging technologies and expand its service offerings, signaling strong future growth prospects for investors.
- 4/27/2026POSITIVEWhat's Going On With Charter Communications Stock Monday?
Charter Communications shares saw a premarket surge on Monday, recovering some of the previous day's significant 25% decline. While the article mentions a prior plunge, the current focus on a premarket rise suggests a potential short-term rebound or stabilization. Investors will be closely monitoring the upcoming Q1 2026 earnings report and updates on customer loss trends and the company's forward-looking outlook for further directional clues.
- 4/24/2026NEGATIVECharter’s stock just got hammered. Here’s what fueled its worst day on record.
Charter Communications experienced its worst trading day on record, with its stock price plummeting due to a significant loss of internet subscribers in the latest quarter. This miss on subscriber numbers indicates ongoing challenges within the company's core broadband business, suggesting that the anticipated recovery or stabilization has not yet materialized. Investors are likely reassessing the company's growth prospects and competitive positioning in a rapidly evolving telecommunications landscape, potentially leading to further downside pressure on the stock.
- 4/24/2026NEUTRALCharter Communications Gears Up For Q1 Print; Here Are The Recent Forecast Changes From Wall Street's Most Accurate Analysts
Charter Communications is set to report its first-quarter earnings on April 24th. Analysts project earnings per share of $10.08, a notable increase from $8.42 in the same period last year. The stock closed at $241.78 on April 22nd. While the earnings forecast shows year-over-year growth, recent analyst ratings from March and January 2022 show a mixed sentiment, with Truist Securities downgrading from Buy to Hold, and Deutsche Bank and Barclays maintaining their existing ratings. Investors will be closely watching the earnings report for further guidance on subscriber growth and operational performance.
- 2/19/2026NEGATIVESpectrum drops bold new offer after heavy customer losses
Charter Communications, operating as Spectrum, is experiencing significant customer attrition, prompting new offers to retain its user base. This situation points to intense competition and potential market share erosion, which could negatively impact the company's future revenue and profitability.
via Markets Gazette