A Business at a Glance
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CHARTER COMMUNICATIONS, INC. /MO/
CHTR
$17.0B
Mkt Cap
$123.31
-2.52%
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) has a current P/E ratio of 3.4, compared to its historical median P/E of 15.7. The stock is currently considered Fair based on its historical valuation range.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) has a 5-year average return on invested capital (ROIC) of 8.9%. This is below average and may indicate limited pricing power.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) has a market capitalization of $15.6B. It is classified as a large-cap stock.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) does not currently pay a regular dividend. However, the company returns capital to shareholders through share buybacks, with a buyback yield of 34.24%.
Based on historical P/E analysis, CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) appears fair. The current P/E of 3.4 is 78% below its historical median of 15.7. The estimated fair value CAGR (P/E method) is 26.8%.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) operates in the Cable & Other Pay Television Services industry, within the Communication Services sector.
Charter Communications is a leading broadband connectivity company serving 58 million homes and small to large businesses across 41 states through its Spectrum brand, offering subscription-based Internet, mobile, video, and voice services delivered over a fiber-powered network. The company operates a converged business model that bundles high-speed Internet (up to 1 Gbps across its footprint with multi-gigabit speeds in portions), Advanced WiFi, Spectrum Mobile (leveraging Verizon's cellular network and 49 million out-of-home WiFi access points), video, and VoIP voice services, with pricing based on service selection and bundling. Charter's strategy focuses on increasing both customer count and products per customer through its fiber network, which reduces service transactions per relationship, lowers churn, and improves profitability; the company serves residential customers, small businesses, and mid-market and large business segments across geographically diverse areas managed on a consolidated basis. The company is expanding its rural footprint through subsidized construction initiatives, having invested $7.7 billion since early 2022 to activate approximately 1.3 million passings in unserved and underserved areas, while continuing network evolution through spectrum expansion, high-split bandwidth allocation, Distributed Access Architecture, and DOCSIS 4.0 technology to deliver symmetrical and multi-gigabit speeds across its entire footprint by the end of 2027. Charter's competitive positioning rests on its advanced fiber network, bundled service offerings, customer service commitments emphasizing reliability and transparency, and scale efficiencies that enable it to offer competitively priced products while maintaining strong unit economics.
【Network transformation nearing completion】 Management expects the company's network evolution and expansion capital initiatives to conclude with total capital spending declining meaningfully in dollar terms after 2026, reaching a run-rate below $8 billion annually by 2028 as the company completes its transition to symmetrical and multi-gigabit speeds across its footprint. The company is focused on winning in the residential and business connectivity marketplace through best-in-class connectivity, value, and service, with management noting that getting back to positive net additions is a game of inches in the current competitive environment and that investments made over the past three years in lowering service transactions and efficiency programs, including AI tools, will provide tailwinds for years to come. Management expects slight EBITDA growth in 2026 excluding transition costs, with first-half 2026 EBITDA more challenged than second-half due to one-time benefits in the prior year and expected political advertising benefits in the second half, while Internet ARPU is expected to grow more slowly than in prior years as the company drives Spectrum pricing and packaging through its footprint. The pending Cox acquisition is expected to create growth synergies in video and B2B capabilities, with management targeting post-close leverage at the low end of a 3.5x-3.75x range within three years while continuing significant ongoing capital returns to shareholders through share repurchases.
| Metric | Target | Period |
|---|---|---|
| Total capital expenditures | approximately $11.4 billion | FY2026 |
| Run-rate capital expenditures | below $8 billion per year | After evolution and expansion capital initiatives conclude |
| Calendar year 2026 cash tax payments | between $500 million-$800 million | FY2026 |
| Subsidized rural passings growth | approximately 450,000 | FY2026 |
| EBITDA growth | slight growth | FY2026 |
| Normalized CapEx | $7.5 billion-$8 billion per year | By 2028 |
| Post-close target leverage | low end of 3.5x-3.75x range | Within three years following close of Cox transaction |
Total capital expenditures (FY2026): “We continue to expect total 2026 capital expenditures to reach approximately $11.4 billion.”
Run-rate capital expenditures (After evolution and expansion capital initiatives conclude): “After our evolution and expansion capital initiatives conclude, our run rate capital expenditures should be below $8 billion per year.”
Calendar year 2026 cash tax payments (FY2026): “We continue to expect that our calendar year 2026 cash tax payments will total between $500 million-$800 million.”
Generated solely from the company's own reports listed below — not from third-party data. Hallucination risk is low. · Sources: 10-K, Q4 FY2025 Earnings Call, Q3 FY2025 Earnings Call, Q2 FY2025 Earnings Call, Q1 FY2025 Earnings Call
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 54.6B | 54.8B | 55.1B | 54.6B | 54.0B | 51.7B |
| Net Income | 4.9B | 5.0B | 5.1B | 4.6B | 5.1B | 4.7B |
| EPS | $36.00 | $36.21 | $34.97 | $29.99 | $30.74 | $24.47 |
| Free Cash Flow | 4.0B | 4.4B | 3.2B | 3.3B | 5.5B | 8.6B |
| ROIC | 8.6% | 9.0% | 9.3% | 8.9% | 8.8% | 8.3% |
| Gross Margin | - | 55.4% | 55.7% | 54.8% | 47.1% | 46.2% |
| Debt/Equity | 5.81 | 6.05 | 6.17 | 8.99 | 10.85 | 6.62 |
| Dividends/Share | $0.00 | - | - | - | - | - |
| Operating Income | 12.9B | 12.9B | 13.1B | 12.6B | 12.0B | 10.5B |
| Operating Margin | 23.6% | 23.6% | 23.8% | 23.0% | 22.1% | 20.4% |
| ROE | 30.1% | 31.5% | 38.1% | 45.1% | 43.6% | 24.6% |
| Shares Outstanding | 127M | 138M | 145M | 152M | 164M | 190M |
CHARTER COMMUNICATIONS, INC. /MO/ passes 6 of 9 quality checks, suggesting mixed fundamentals.
CHARTER COMMUNICATIONS, INC. /MO/ trades at 3.4x trailing earnings, compared to its 15-year median P/E of 15.7x, suggesting it is currently Fair relative to its historical range. On a free-cash-flow basis, the stock trades at 3.5x vs a median of 18.5x. The company's 5-year average ROIC is 8.9% with a gross margin of 51.8%. Total shareholder yield (buybacks) is 34.2%. At current prices, the estimated annualized return to fair value is +4.5%.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) reported annual revenue of $54.8 billion in its most recent fiscal year, based on SEC EDGAR filings.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) has a net profit margin of 9.1%. This is a modest margin.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) generated $4.4 billion in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) has a debt-to-equity ratio of 6.05. This indicates higher leverage, which may increase financial risk.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) reported earnings per share (EPS) of $36.21 in its most recent fiscal year.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) has a return on equity (ROE) of 31.5%. This indicates the company generates strong returns for shareholders.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) has a 5-year average gross margin of 51.8%. This high margin suggests strong pricing power and a potential competitive moat.
The Ledger Terminal provides 16 years of financial data for CHARTER COMMUNICATIONS, INC. /MO/ (CHTR), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) has a book value per share of $116.57, based on its most recent annual SEC filing.
Based on recent SEC filings and earnings disclosures, Management expects the company's network evolution and expansion capital initiatives to conclude with total capital spending declining meaningfully in dollar terms after 2026, reaching a run-rate below $8 billion annually by 2028 as the company completes its transition to symmetrical and multi-gigabit speeds across its footprint. The company is focused on winning in the residential and business connectivity marketplace through best-in-class connectivity, value, and service, with management noting that getting back to positive net additions is a game of inches in the current competitive environment and that investments made over the past three years in lowering service transactions and efficiency programs, including AI tools, will provide tailwinds for years to come. Management expects slight EBITDA growth in 2026 excluding transition costs, with first-half 2026 EBITDA more challenged than second-half due to one-time benefits in the prior year and expected political advertising benefits in the second half, while Internet ARPU is expected to grow more slowly than in prior years as the company drives Spectrum pricing and packaging through its footprint. The pending Cox acquisition is expected to create growth synergies in video and B2B capabilities, with management targeting post-close leverage at the low end of a 3.5x-3.75x range within three years while continuing significant ongoing capital returns to shareholders through share repurchases.
Based on recent SEC filings and earnings calls, CHARTER COMMUNICATIONS, INC. /MO/ (CHTR) has provided the following forward guidance: Total capital expenditures: approximately $11.4 billion (FY2026); Run-rate capital expenditures: below $8 billion per year (After evolution and expansion capital initiatives conclude); Calendar year 2026 cash tax payments: between $500 million-$800 million (FY2026); Subsidized rural passings growth: approximately 450,000 (FY2026); EBITDA growth: slight growth (FY2026), plus 2 additional metrics.
Subsidized rural passings growth (FY2026): “We expect subsidized rural passings growth of approximately 450,000 in 2026, our last large build year, in addition to continued non-rural construction and fill-in activity.”
EBITDA growth (FY2026): “For the full year 2026, we are planning for slight EBITDA growth, excluding the impact of transition costs.”
Normalized CapEx (By 2028): “We expect to revert to normalized CapEx in the range of $7.5 billion-$8 billion per year by 2028.”
Post-close target leverage (Within three years following close of Cox transaction): “Following the close of those transactions, we will target the low end of the 3.5x-3.75 x range, which we expect to achieve within three years following close.”
No recent press releases.