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NASDAQ:CHTR
This summary was created by AI, based on 5 opinions in the last 12 months.
Charter Communications, operating under the Spectrum brand, has faced significant challenges in recent years, with a stock decline of 39% last year and continued pressure over the past three years. However, analysts emphasize that the stock is currently undervalued, trading at a low multiple of approximately 4.5x to 8x earnings. The company's fundamentals remain strong, boasting a robust free cash flow yield of around 30% and a high return on equity of 36%. There are growing opportunities as the company plans to target underdeveloped rural markets and adapt its services to remain competitive against rising competition. Analysts have set price targets ranging from approximately $293 to $425, indicating potential upsides despite the recent market turmoil.
Its poor performance has put him off investing in telcos. Lots of competition for internet, wireless, and mobile. Using a lot of free cashflow to buy back stock at much higher prices, so balance sheet not as good anymore. Interest rates have gone up, and lots of cashflow being used to service this cost.
He fell in love quickly, but speculative here. Arguably cheap valuation but, until you see a turn in the business, hard to say where the stock is going.
He got out just below $300. Surprised by management's Q1 commentary, didn't expect capex buildout extension and cost escalation. Free cashflow would not arrive until 2028, and this skewed his valuation. Even though it's fallen, fresh eyes would not make him re-enter, risk/reward just not there.
Very well run company serving millions of customers across ~40 US states. In sweet spot of mobile phone demands. Excellent capital allocation skills with low debt levels. Capital expenditures expected to drop which will increase free cash flow. When interest rates fall, will also be good for profits in the business (less lending costs).
Charter Communications is a American stock, trading under the symbol CHTR (previously CHTR-Q on Stockchase) on the NASDAQ (CHTR). It is usually referred to as NASDAQ:CHTR or CHTR
In the last year, 5 stock analysts issued a Buy, Sell, or Hold rating on CHTR (previously CHTR-Q on Stockchase). 4 analysts recommended to BUY and 1 analyst recommended to SELL the stock. The latest stock analyst rating is PAST TOP PICK. Read the latest stock experts' ratings for Charter Communications.
Charter Communications was recommended as a Top Pick by Barry Schwartz on 2022-07-18. Read the latest stock experts ratings for Charter Communications.
Earnings reports or recent company news can cause the stock price to drop. Read stock experts' recommendations for Charter Communications.
Charter Communications is followed by 38 investors on Stockchase and is a trending stock that is worth watching.
On 2026-06-16, Charter Communications (CHTR) stock closed at a price of $141.78.
A story like Rogers. Largest cable company in US. Buying one of its competitors. Stock's fallen, but profits have gone up. Almost finished its capital cycle. Non-cancellable contract with VZ to provide wireless cellular service to customers, and that's growing quickly. People still use cable, cellular, and VOD. Good company on sale.
(Analysts’ price target is $293.41)During Covid, US passed Affordable Care Act -- everyone was entitled to a cable line, deemed essential to work from home. Once Covid went away, so did the subsidies. So subscribers fell, and that freaked people out. Rate of decline has flatlined, so population growth should move the needle once again. Trades at 4.5x PE. FCF yield now is ~30%, which means that if you bought right now you'd make 30% of your money every year. Bought back half of its stock in last 3 years, going private slowly. In 2029, will be 70% FCF yield. No dividend.