Charter Communications (CHTR)
NASDAQ:CHTR
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Charter Communications
(NASDAQ:CHTR)
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Rating:57Neutral
Price Target:
$240.00
▲(7.24% Upside)
Action:ReiteratedDate:02/26/26
The score is held back primarily by high leverage and muted/declining revenue with ongoing broadband subscriber pressure. Support comes from strong cash generation with improving free cash flow, a low valuation multiple, and mixed-but-constructive guidance highlighting a path to lower CapEx and better longer-term cash flow.
Positive Factors
Strong cash generation
Charter’s consistent operating cash flow (roughly $14B–$16B) and a materially improved free cash flow (~$4.4B in 2025, +63.8%) provide a durable internal funding source. This supports deleveraging, network investment and shareholder returns without relying on volatile external financing.
Negative Factors
Elevated leverage
Charter’s very high absolute debt and elevated leverage increase refinancing and interest-rate risk and constrain strategic optionality. Until deleveraging materially lowers leverage, capital allocation choices (M&A, buybacks, dividends) and flexibility to absorb shocks remain limited.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong cash generation
Charter’s consistent operating cash flow (roughly $14B–$16B) and a materially improved free cash flow (~$4.4B in 2025, +63.8%) provide a durable internal funding source. This supports deleveraging, network investment and shareholder returns without relying on volatile external financing.
Read all positive factors
Charter Communications (CHTR) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$31.81B
Dividend YieldN/A
Average Volume (3M)1.57M
Price to Earnings (P/E)5.7
Beta (1Y)0.65
Revenue Growth0.42%
EPS Growth13.46%
CountryUS
Employees94,500
SectorCommunication Services
Sector Strength97
IndustryTelecommunications Services
Share Statistics
EPS (TTM)10.34
Shares Outstanding126,631,546
10 Day Avg. Volume1,680,001
30 Day Avg. Volume1,571,691
Financial Highlights & Ratios
PEG Ratio1.47
Price to Book (P/B)1.76
Price to Sales (P/S)0.52
P/FCF Ratio6.39
Enterprise Value/Market Cap3.92
Enterprise Value/Revenue2.28
Enterprise Value/Gross Profit5.07
Enterprise Value/Ebitda5.88
Forecast
1Y Price Target
$274.27Price Target Upside22.55% Upside
Rating ConsensusHold
Number of Analyst Covering13
EPS Forecast (FY)43.3
Revenue Forecast (FY)$55.24B
Charter Communications Business Overview & Revenue Model
Company Description
Charter Communications, Inc. operates as a broadband connectivity and cable operator company serving residential and commercial customers in the United States. The company offers subscription-based video services, including video on demand, high-d...
How the Company Makes Money
Charter Communications generates revenue primarily through its subscription-based services. The company's key revenue streams include residential and business broadband internet services, cable television subscriptions, and voice services. Its bro...
Charter Communications Key Performance Indicators (KPIs)
Any
Revenue by Segment
Breaks down revenue into different business areas, revealing which segments drive growth and where the company might face challenges.
Breaks down revenue into different business areas, revealing which segments drive growth and where the company might face challenges.
Data provided by:
The Fly
The FlyCharter Communications Earnings Call Summary
Earnings Call Date:Jan 30, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 24, 2026
Earnings Call Sentiment Neutral
The call presented a mixed picture: management highlighted durable strategic advantages (network upgrades, rural build-out, strong mobile offload, video product improvements, and a path to materially lower capex and higher free cash flow) and modest full‑year EBITDA growth, but results were offset by near‑term revenue declines, a Q4 EBITDA decline, continued broadband customer losses and advertising comparability headwinds. Guidance anticipates only slight EBITDA growth in 2026 with a tougher first half, and leverage remains elevated despite a credible delevering plan. Overall, positives around long‑term positioning and product innovation are balanced by meaningful short‑term operational and revenue headwinds.Positive Updates
Full-Year EBITDA Growth
Adjusted EBITDA for full-year 2025 grew by about 0.6% year-over-year, demonstrating underlying profitability expansion despite revenue pressures.
Negative Updates
Revenue Declines and Q4 Weakness
Consolidated revenue in Q4 was down 2.0% year-over-year and was down about 0.5% for calendar 2025 (management cited customer losses and a tough political advertising comparison). Excluding advertising and programmer app allocation, Q4 revenue decline moderates to 0.4%.
Read all updates
Q4-2025 Updates
Positive
Negative
Full-Year EBITDA Growth
Adjusted EBITDA for full-year 2025 grew by about 0.6% year-over-year, demonstrating underlying profitability expansion despite revenue pressures.
Read all positive updates
Company Guidance
Charter guided to slight EBITDA growth in 2026 (excluding transition costs) after full-year 2025 EBITDA grew ~0.6% while Q4 adjusted EBITDA fell 1.2%; consolidated Q4 revenue was down 2% (down 0.4% ex-advertising and programmer app allocation) and 2025 revenue was down about 0.5%. Key financial metrics: 2025 CapEx totaled $11.66B (Q4 $3.3B), 2026 CapEx is expected to be $11.4B with run‑rate CapEx below $8B by 2028 and capital intensity targeting 13–14% of revenue by 2028 (CapEx reduction from $11.7B to < $8B ≈ $28 of FCF/share); Q4 free cash flow was $773M (≈$200M lower YoY); 2025 cash taxes were just under $900M with 2026 cash taxes expected $500–$800M. Balance sheet and capital return guidance: $95B of debt principal, weighted average cost of debt ~5.2%, annualized cash interest ~$4.9B, net debt/LTM adjusted EBITDA ~4.5x (4.21x pro forma Liberty), plan to be at or slightly under 4.25x during Cox pendency and target 3.5–3.75x within three years post-close while maintaining significant shareholder returns. Customer and operational targets: Q4 Internet losses of 119k, Q4 mobile additions of 428k, Q4 video +44k (vs -123k prior year), wireline voice -140k, subsidized rural net adds 46k in Q4 with subsidized rural passings +147k Q4 (+483k LTM) and a 2026 rural passings goal of 450k; product and network actions include upgrading 50% of the footprint to symmetrical multi‑gig by year‑end (remaining 50% in 2027), nearly 90% of Spectrum Mobile traffic on Charter’s network (~89–90% offload), a $1,000 savings guarantee for Internet + two mobile lines (first year), an Invincible Wi‑Fi launch in February, a T‑Mobile MVNO for business in ~6 months, and a potential ~$1B streaming app allocation headwind in 2026.Charter Communications Financial Statement Overview
Summary
Income Statement
62
Positive
Balance Sheet
38
Negative
Cash Flow
66
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 54.77B | 55.09B | 54.61B | 54.02B | 51.68B |
| Gross Profit | 25.37B | 25.32B | 21.27B | 23.42B | 20.61B |
| EBITDA | 21.21B | 21.40B | 20.74B | 20.92B | 19.77B |
| Net Income | 4.99B | 5.08B | 4.56B | 5.05B | 4.65B |
Balance Sheet | |||||
| Total Assets | 154.21B | 150.02B | 147.19B | 144.52B | 142.49B |
| Cash, Cash Equivalents and Short-Term Investments | 477.00M | 459.00M | 709.00M | 645.00M | 601.00M |
| Total Debt | 97.12B | 95.76B | 98.20B | 97.90B | 91.83B |
| Total Liabilities | 133.69B | 130.31B | 132.47B | 131.97B | 124.33B |
| Stockholders Equity | 16.05B | 15.59B | 11.09B | 9.12B | 14.05B |
Cash Flow | |||||
| Free Cash Flow | 4.42B | 3.16B | 3.49B | 6.10B | 8.68B |
| Operating Cash Flow | 16.08B | 14.43B | 14.43B | 14.93B | 16.24B |
| Investing Cash Flow | -11.62B | -10.84B | -11.13B | -9.11B | -7.75B |
| Financing Cash Flow | -4.37B | -3.79B | -3.24B | -5.77B | -8.88B |
Charter Communications Technical Analysis
Positive
223.80
Price Trends
221.81
Positive
212.56
Positive
253.08
Negative
Market Momentum
-0.63
Negative
54.60
Neutral
77.16
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CHTR, the sentiment is Positive. The current price of 223.8 is above the 20-day moving average (MA) of 217.91, above the 50-day MA of 221.81, and below the 200-day MA of 253.08, indicating a neutral trend. The MACD of -0.63 indicates Negative momentum. The RSI at 54.60 is Neutral, neither overbought nor oversold. The STOCH value of 77.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CHTR.
Charter Communications Risk Analysis
Charter Communications disclosed 33 risk factors in its most recent earnings report. Charter Communications reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Charter Communications Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | $99.98B | 5.14 | 20.98% | 4.42% | 0.20% | 61.54% | |
74 Outperform | $220.97B | 20.84 | 18.18% | 1.75% | 7.30% | 17.67% | |
72 Outperform | $205.06B | 10.02 | 16.62% | 6.60% | 2.42% | 102.17% | |
67 Neutral | $196.30B | 8.14 | 20.35% | 4.56% | 1.98% | 150.68% | |
62 Neutral | $3.28B | 6.97 | 40.63% | ― | 6.42% | ― | |
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
57 Neutral | $31.81B | 5.66 | 31.24% | ― | 0.42% | 13.46% |
* Communication Services Sector Average
CHTR
Charter Communications
223.80
-123.18
-35.50%
T
AT&T
28.04
2.68
10.56%
CMCSA
Comcast
27.79
-3.78
-11.98%
VZ
Verizon
48.62
8.48
21.12%
TMUS
T Mobile US
200.54
-50.08
-19.98%
VEON
VEON
47.67
7.97
20.08%
Charter Communications Corporate Events
Business Operations and StrategyExecutive/Board Changes
Charter Communications Names New Chief Operating Officer
Positive
Feb 25, 2026
On February 25, 2026, Charter Communications announced that Nick Jeffery, the outgoing President and CEO of Frontier Communications, will become Chief Operating Officer effective September 1, 2026, reporting to CEO Chris Winfrey. Jeffery will over...
Executive/Board Changes
Charter Communications Adds Wade Davis to Board
Neutral
Jan 28, 2026
On January 27, 2026, Charter Communications appointed Wade Davis as an independent member of its Board of Directors, filling the vacancy left by David Merritt’s retirement from the board on January 26, 2026. Davis will receive the company...
Executive/Board Changes
Charter Communications Extends EVP Adam Ray’s Employment Agreement
Positive
Jan 22, 2026
On January 16, 2026, Charter Communications entered into a new employment agreement with Adam Ray, confirming his role as Executive Vice President and Chief Commercial Officer through January 19, 2028, with an annual base salary of at least $750,0...
Private Placements and FinancingRegulatory Filings and Compliance
Charter Communications Issues New Senior Unsecured Notes Offering
Neutral
Jan 14, 2026
On January 13, 2026, Charter Communications’ subsidiaries CCO Holdings, LLC and CCO Holdings Capital Corp. completed the issuance and sale of $3.0 billion in senior unsecured notes, comprising $1.75 billion of 7.000% Senior Notes due 2033 an...
Business Operations and StrategyFinancial DisclosuresM&A TransactionsRegulatory Filings and Compliance
Charter details Cox transaction impact with new pro forma
Positive
Jan 6, 2026
On May 16, 2025, Charter Communications agreed a multi-part transaction with Cox Enterprises under which Charter will acquire 100% of the equity in Cox Communications subsidiaries that operate Cox’s commercial fiber and managed IT and cloud ...
Executive/Board Changes
Charter Communications Director Announces Retirement
Neutral
Dec 12, 2025
On December 11, 2025, David C. Merritt, a director at Charter Communications, announced his intention to retire from the Board of Directors, effective January 26, 2026. His decision to retire was not due to any disagreements with the company’...
Business Operations and StrategyExecutive/Board Changes
Charter Communications Extends CEO Winfrey’s Contract
Positive
Dec 5, 2025
On December 3, 2025, Charter Communications‘ Compensation and Benefits Committee approved an amended employment agreement for CEO Christopher L. Winfrey, effective December 1, 2025, extending his term until December 1, 2028. The agreement in...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.