CHTR Stock Analysis — Charter Communications
Sector: Telecom
AI Verdict
Charter trades at 3.0x next year's earnings with 23.1% expected EPS growth, making it cheap for the growth on offer if its cable moat can hold off cord-cutting and wireless competition.
Competitive Moat
Charter operates one of the largest cable internet and TV networks in the U.S., with high local market share and heavy infrastructure that creates high switching costs for customers. Its moat is rooted in the physical last-mile cable assets and regulatory barriers that make it hard for new entrants to compete at scale.
Summary
Charter trades at just 3.0x next year's earnings, with the stock down -67.26% in the past year despite 23.1% expected EPS growth.
Where It Stands
With a 1-year return of -67.26%, RSI at 43.7 (cooling), and a forward P/E of 3.0x versus the sector's typical 14x, Charter is priced for deep pessimism.
Key Metrics
- RSI: 43.7 — Neutral
- Trailing P/E: 3.6x
- Forward P/E: 3.0x
- PEG Ratio: 0.14
- Earnings Growth: +0.2%
- Revenue Growth: -0.0%
- Market Cap: $16.5B
- 1-Year Return: -67.26%
- 52-Week High: $422.29
- 52-Week Low: $124.05
Analyst Consensus
6 Buy · 15 Hold · 9 Sell (30 analysts)
Bull Case
You're getting 23.1% forward EPS growth for a rock-bottom 3.0x forward P/E, which is extremely cheap for a company with entrenched cable infrastructure.
Bear Case
If the forward P/E reverts even halfway to the sector median (from 3.0x to 7x), the stock could still be stuck in value trap territory given the -0.9% trailing revenue growth.
Catalyst to Watch
Watch for broadband subscriber trends in the next earnings report — any sign of stabilization or growth could force a rerating.