CHARTER COMMUNICATIONS INC-A (CHTR)
US16119P1084 - Common Stock
CHTR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 93 industry peers in the Media industry. CHTR has an excellent profitability rating, but there are concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on CHTR.
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
CHTR has a Return On Assets of 3.13%. This is in the better half of the industry: CHTR outperforms 75.00% of its industry peers.
CHTR's Return On Equity of 36.11% is amongst the best of the industry. CHTR outperforms 93.48% of its industry peers.
CHTR has a Return On Invested Capital of 7.21%. This is in the better half of the industry: CHTR outperforms 78.26% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CHTR is in line with the industry average of 7.05%.
The last Return On Invested Capital (7.21%) for CHTR is above the 3 year average (6.96%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.13% | ||
| ROE | 36.11% | ||
| ROIC | 7.21% |
ROA(3y)3.29%
ROA(5y)2.64%
ROE(3y)43.22%
ROE(5y)29.7%
ROIC(3y)6.96%
ROIC(5y)5.91%
1.3 Margins
With a decent Profit Margin value of 8.51%, CHTR is doing good in the industry, outperforming 78.26% of the companies in the same industry.
CHTR's Profit Margin has improved in the last couple of years.
CHTR's Operating Margin of 23.46% is amongst the best of the industry. CHTR outperforms 96.74% of its industry peers.
CHTR's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 46.00%, CHTR is in line with its industry, outperforming 54.35% of the companies in the same industry.
In the last couple of years the Gross Margin of CHTR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.46% | ||
| PM (TTM) | 8.51% | ||
| GM | 46% |
OM growth 3Y9.18%
OM growth 5Y12.87%
PM growth 3Y7.6%
PM growth 5Y24.24%
GM growth 3Y1.08%
GM growth 5Y1.09%
2. Health
2.1 Basic Checks
CHTR has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it 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
CHTR has an Altman-Z score of 0.72. This is a bad value and indicates that CHTR is not financially healthy and even has some risk of bankruptcy.
CHTR has a Altman-Z score (0.72) which is in line with its industry peers.
CHTR has a debt to FCF ratio of 28.67. This is a negative value and a sign of low solvency as CHTR would need 28.67 years to pay back of all of its debts.
CHTR has a Debt to FCF ratio (28.67) which is in line with its industry peers.
A Debt/Equity ratio of 7.58 is on the high side and indicates that CHTR has dependencies on debt financing.
CHTR has a worse Debt to Equity ratio (7.58) than 90.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.58 | ||
| Debt/FCF | 28.67 | ||
| Altman-Z | 0.72 |
ROIC/WACC1.13
WACC6.38%
2.3 Liquidity
A Current Ratio of 0.39 indicates that CHTR may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.39, CHTR is doing worse than 97.83% of the companies in the same industry.
A Quick Ratio of 0.39 indicates that CHTR may have some problems paying its short term obligations.
CHTR has a Quick ratio of 0.39. This is amonst the worse of the industry: CHTR underperforms 96.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.39 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.34% over the past year.
CHTR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 46.16% yearly.
Looking at the last year, CHTR shows a small growth in Revenue. The Revenue has grown by 0.23% in the last year.
CHTR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.59% yearly.
EPS 1Y (TTM)5.34%
EPS 3Y24.81%
EPS 5Y46.16%
EPS Q2Q%5.47%
Revenue 1Y (TTM)0.23%
Revenue growth 3Y4.32%
Revenue growth 5Y4.59%
Sales Q2Q%0.19%
3.2 Future
CHTR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.12% yearly.
Based on estimates for the next years, CHTR will show a small growth in Revenue. The Revenue will grow by 0.68% on average per year.
EPS Next Y14.33%
EPS Next 2Y8.59%
EPS Next 3Y10.3%
EPS Next 5Y10.12%
Revenue Next Year0.33%
Revenue Next 2Y-0.26%
Revenue Next 3Y0.16%
Revenue Next 5Y0.68%
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
CHTR is valuated reasonably with a Price/Earnings ratio of 10.44.
86.96% of the companies in the same industry are more expensive than CHTR, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 29.62. CHTR is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 9.25 indicates a reasonable valuation of CHTR.
CHTR's Price/Forward Earnings ratio is rather cheap when compared to the industry. CHTR is cheaper than 83.70% of the companies in the same industry.
CHTR is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.22, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.44 | ||
| Fwd PE | 9.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CHTR is valued cheaply inside the industry as 83.70% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, CHTR is valued a bit cheaper than the industry average as 63.04% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.86 | ||
| EV/EBITDA | 6.73 |
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.
CHTR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.73
PEG (5Y)0.23
EPS Next 2Y8.59%
EPS Next 3Y10.3%
5. Dividend
5.1 Amount
CHTR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
CHARTER COMMUNICATIONS INC-A
NASDAQ:CHTR (9/6/2024, 8:05:17 PM)
After market: 327.43 0 (0%)327.43
-3.35 (-1.01%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap47.16B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(8)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.44 | ||
| Fwd PE | 9.25 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.73
PEG (5Y)0.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.13% | ||
| ROE | 36.11% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 23.46% | ||
| PM (TTM) | 8.51% | ||
| GM | 46% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.58 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.39 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)5.34%
EPS 3Y24.81%
EPS 5Y
EPS Q2Q%
EPS Next Y14.33%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)0.23%
Revenue growth 3Y4.32%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y