Assessing Charter Communications: Insights From 11 Financial Analysts

Analysts' ratings for Charter Communications CHTR over the last quarter vary from bullish to bearish, as provided by 11 analysts.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Charter Communications and provided 12-month price targets. The average target is $402.27, accompanied by a high estimate of $500.00 and a low estimate of $315.00. This current average has increased by 6.0% from the previous average price target of $379.50.

Deciphering Analyst Ratings: An In-Depth Analysis

A comprehensive examination of how financial experts perceive Charter Communications is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Charter Communications. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Charter Communications compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Charter Communications's stock. This comparison reveals trends in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Charter Communications's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Charter Communications analyst ratings.

Discovering Charter Communications: A Closer Look

Charter is the product of the 2016 merger of three cable companies, each with a decades-long history in the business: Legacy Charter, Time Warner Cable, and Bright House Networks. The firm now holds networks capable of providing television, internet access, and phone services to roughly 58 million US homes and businesses, around 35% of the country. Across this footprint, Charter serves 29 million residential and 2 million commercial customer accounts under the Spectrum brand, making it the second-largest US cable company behind Comcast. The firm also owns, in whole or in part, sports and news networks, including Spectrum SportsNet (long-term local rights to Los Angeles Lakers games), SportsNet LA (Los Angeles Dodgers), SportsNet New York (New York Mets), and Spectrum News NY1.

Charter Communications: Financial Performance Dissected

Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.

Revenue Growth: Charter Communications displayed positive results in 3 months. As of 30 September, 2024, the company achieved a solid revenue growth rate of approximately 1.55%. This indicates a notable increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Communication Services sector.

Net Margin: Charter Communications's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 9.28%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): Charter Communications's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 9.49%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): Charter Communications's ROA excels beyond industry benchmarks, reaching 0.86%. This signifies efficient management of assets and strong financial health.

Debt Management: With a high debt-to-equity ratio of 6.83, Charter Communications faces challenges in effectively managing its debt levels, indicating potential financial strain.

Analyst Ratings: Simplified

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.