CHARTER COMMUNICATIONS INC-A (CHTR) Stock Fundamental Analysis
NASDAQ:CHTR - Nasdaq - US16119P1084 - Common Stock - Currency: USD
CHTR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 98 industry peers in the Media industry. While CHTR belongs to the best of the industry regarding profitability, there are concerns on its financial health. CHTR is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
CHTR had positive earnings in the past year.
In the past year CHTR had a positive cash flow from operations.
CHTR had positive earnings in each of the past 5 years.
In the past 5 years CHTR always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.56%, CHTR is in the better half of the industry, outperforming 79.59% of the companies in the same industry.
With an excellent Return On Equity value of 33.33%, CHTR belongs to the best of the industry, outperforming 95.92% of the companies in the same industry.
CHTR's Return On Invested Capital of 7.69% is fine compared to the rest of the industry. CHTR outperforms 78.57% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CHTR is in line with the industry average of 7.42%.
The 3 year average ROIC (7.28%) for CHTR is below the current ROIC(7.69%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.56% | ||
| ROE | 33.33% | ||
| ROIC | 7.69% |
ROA(3y)3.33%
ROA(5y)3.1%
ROE(3y)43.05%
ROE(5y)35.16%
ROIC(3y)7.28%
ROIC(5y)6.64%
1.3 Margins
With an excellent Profit Margin value of 9.78%, CHTR belongs to the best of the industry, outperforming 82.65% of the companies in the same industry.
In the last couple of years the Profit Margin of CHTR has grown nicely.
Looking at the Operating Margin, with a value of 24.75%, CHTR belongs to the top of the industry, outperforming 97.96% of the companies in the same industry.
CHTR's Operating Margin has improved in the last couple of years.
CHTR has a Gross Margin of 43.86%. This is comparable to the rest of the industry: CHTR outperforms 55.10% of its industry peers.
CHTR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.75% | ||
| PM (TTM) | 9.78% | ||
| GM | 43.86% |
OM growth 3Y4.61%
OM growth 5Y10.72%
PM growth 3Y0.82%
PM growth 5Y20.42%
GM growth 3Y1.1%
GM growth 5Y1.69%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CHTR is creating some value.
Compared to 1 year ago, CHTR has less shares outstanding
Compared to 5 years ago, CHTR has less shares outstanding
CHTR has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.69, we must say that CHTR is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.69, CHTR perfoms like the industry average, outperforming 40.82% of the companies in the same industry.
The Debt to FCF ratio of CHTR is 22.38, which is on the high side as it means it would take CHTR, 22.38 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CHTR (22.38) is comparable to the rest of the industry.
A Debt/Equity ratio of 5.78 is on the high side and indicates that CHTR has dependencies on debt financing.
With a Debt to Equity ratio value of 5.78, CHTR is not doing good in the industry: 83.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.78 | ||
| Debt/FCF | 22.38 | ||
| Altman-Z | 0.69 |
ROIC/WACC1.2
WACC6.42%
2.3 Liquidity
A Current Ratio of 0.33 indicates that CHTR may have some problems paying its short term obligations.
CHTR's Current ratio of 0.33 is on the low side compared to the rest of the industry. CHTR is outperformed by 91.84% of its industry peers.
CHTR has a Quick Ratio of 0.33. This is a bad value and indicates that CHTR is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.33, CHTR is doing worse than 91.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.33 | ||
| Quick Ratio | 0.33 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.45% over the past year.
Measured over the past years, CHTR shows a very strong growth in Earnings Per Share. The EPS has been growing by 35.98% on average per year.
CHTR shows a small growth in Revenue. In the last year, the Revenue has grown by 1.03%.
Measured over the past years, CHTR shows a small growth in Revenue. The Revenue has been growing by 3.78% on average per year.
EPS 1Y (TTM)16.45%
EPS 3Y12.08%
EPS 5Y35.98%
EPS Q2Q%8.13%
Revenue 1Y (TTM)1.03%
Revenue growth 3Y2.15%
Revenue growth 5Y3.78%
Sales Q2Q%0.59%
3.2 Future
Based on estimates for the next years, CHTR will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.59% on average per year.
Based on estimates for the next years, CHTR will show a small growth in Revenue. The Revenue will grow by 1.40% on average per year.
EPS Next Y10.92%
EPS Next 2Y13.94%
EPS Next 3Y13.72%
EPS Next 5Y11.59%
Revenue Next Year0.3%
Revenue Next 2Y0.83%
Revenue Next 3Y0.85%
Revenue Next 5Y1.4%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 7.04, which indicates a rather cheap valuation of CHTR.
Based on the Price/Earnings ratio, CHTR is valued cheaply inside the industry as 85.71% of the companies are valued more expensively.
CHTR's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.54.
Based on the Price/Forward Earnings ratio of 5.66, the valuation of CHTR can be described as very cheap.
Based on the Price/Forward Earnings ratio, CHTR is valued cheaply inside the industry as 86.73% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 35.28. CHTR is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.04 | ||
| Fwd PE | 5.66 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CHTR is valued a bit cheaper than 78.57% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CHTR indicates a rather cheap valuation: CHTR is cheaper than 80.61% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.16 | ||
| EV/EBITDA | 5.84 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of CHTR may justify a higher PE ratio.
A more expensive valuation may be justified as CHTR's earnings are expected to grow with 13.72% in the coming years.
PEG (NY)0.64
PEG (5Y)0.2
EPS Next 2Y13.94%
EPS Next 3Y13.72%
5. Dividend
5.1 Amount
CHTR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:CHTR (8/8/2025, 2:52:31 PM)
257.05
-1.73 (-0.67%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners77.79%
Inst Owner Change-0.44%
Ins Owners0.27%
Ins Owner Change0.07%
Market Cap35.11B
Analysts72.14
Price Target456.65 (77.65%)
Short Float %14.05%
Short Ratio8.16
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-6.44%
Min EPS beat(2)-7.84%
Max EPS beat(2)-5.05%
EPS beat(4)2
Avg EPS beat(4)-1.68%
Min EPS beat(4)-7.84%
Max EPS beat(4)5.84%
EPS beat(8)4
Avg EPS beat(8)-3.47%
EPS beat(12)5
Avg EPS beat(12)-5.56%
EPS beat(16)9
Avg EPS beat(16)0.1%
Revenue beat(2)0
Avg Revenue beat(2)-1.74%
Min Revenue beat(2)-1.92%
Max Revenue beat(2)-1.56%
Revenue beat(4)0
Avg Revenue beat(4)-1.53%
Min Revenue beat(4)-1.92%
Max Revenue beat(4)-1.01%
Revenue beat(8)0
Avg Revenue beat(8)-1.74%
Revenue beat(12)0
Avg Revenue beat(12)-2.01%
Revenue beat(16)0
Avg Revenue beat(16)-1.83%
PT rev (1m)1.33%
PT rev (3m)9.97%
EPS NQ rev (1m)-2.97%
EPS NQ rev (3m)-0.5%
EPS NY rev (1m)0.98%
EPS NY rev (3m)0.18%
Revenue NQ rev (1m)-0.31%
Revenue NQ rev (3m)-0.17%
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.04 | ||
| Fwd PE | 5.66 | ||
| P/S | 0.64 | ||
| P/FCF | 8.16 | ||
| P/OCF | 2.31 | ||
| P/B | 2.17 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.84 |
EPS(TTM)36.52
EY14.21%
EPS(NY)45.38
Fwd EY17.66%
FCF(TTM)31.5
FCFY12.26%
OCF(TTM)111.29
OCFY43.29%
SpS404.29
BVpS118.67
TBVpS-597.45
PEG (NY)0.64
PEG (5Y)0.2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.56% | ||
| ROE | 33.33% | ||
| ROCE | 9.97% | ||
| ROIC | 7.69% | ||
| ROICexc | 7.72% | ||
| ROICexgc | 27% | ||
| OM | 24.75% | ||
| PM (TTM) | 9.78% | ||
| GM | 43.86% | ||
| FCFM | 7.79% |
ROA(3y)3.33%
ROA(5y)3.1%
ROE(3y)43.05%
ROE(5y)35.16%
ROIC(3y)7.28%
ROIC(5y)6.64%
ROICexc(3y)7.31%
ROICexc(5y)6.67%
ROICexgc(3y)28.68%
ROICexgc(5y)27.6%
ROCE(3y)9.43%
ROCE(5y)8.59%
ROICexcg growth 3Y-3.91%
ROICexcg growth 5Y7.76%
ROICexc growth 3Y4.9%
ROICexc growth 5Y14.13%
OM growth 3Y4.61%
OM growth 5Y10.72%
PM growth 3Y0.82%
PM growth 5Y20.42%
GM growth 3Y1.1%
GM growth 5Y1.69%
F-Score6
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.78 | ||
| Debt/FCF | 22.38 | ||
| Debt/EBITDA | 4.2 | ||
| Cap/Depr | 125.7% | ||
| Cap/Sales | 19.73% | ||
| Interest Coverage | 2.64 | ||
| Cash Conversion | 68.05% | ||
| Profit Quality | 79.66% | ||
| Current Ratio | 0.33 | ||
| Quick Ratio | 0.33 | ||
| Altman-Z | 0.69 |
F-Score6
WACC6.42%
ROIC/WACC1.2
Cap/Depr(3y)121.02%
Cap/Depr(5y)104.24%
Cap/Sales(3y)19.39%
Cap/Sales(5y)17.67%
Profit Quality(3y)81.59%
Profit Quality(5y)130.29%
High Growth Momentum
Growth
EPS 1Y (TTM)16.45%
EPS 3Y12.08%
EPS 5Y35.98%
EPS Q2Q%8.13%
EPS Next Y10.92%
EPS Next 2Y13.94%
EPS Next 3Y13.72%
EPS Next 5Y11.59%
Revenue 1Y (TTM)1.03%
Revenue growth 3Y2.15%
Revenue growth 5Y3.78%
Sales Q2Q%0.59%
Revenue Next Year0.3%
Revenue Next 2Y0.83%
Revenue Next 3Y0.85%
Revenue Next 5Y1.4%
EBIT growth 1Y6.59%
EBIT growth 3Y6.86%
EBIT growth 5Y14.9%
EBIT Next Year73.23%
EBIT Next 3Y21.78%
EBIT Next 5Y14.05%
FCF growth 1Y21.07%
FCF growth 3Y-28.38%
FCF growth 5Y-7.04%
OCF growth 1Y7.22%
OCF growth 3Y-3.86%
OCF growth 5Y4.2%