CHARTER COMMUNICATIONS INC-A (CHTR)
US16119P1084 - Common Stock
Overall CHTR gets a fundamental rating of 5 out of 10. We evaluated CHTR against 92 industry peers in the Media industry. CHTR scores excellent on profitability, but there are concerns on its financial health. CHTR scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
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.
CHTR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CHTR has a better Return On Assets (3.13%) than 75.82% of its industry peers.
CHTR's Return On Equity of 33.16% is amongst the best of the industry. CHTR outperforms 93.41% of its industry peers.
The Return On Invested Capital of CHTR (7.42%) is better than 76.92% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CHTR is in line with the industry average of 7.61%.
The last Return On Invested Capital (7.42%) 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 | 33.16% | ||
| ROIC | 7.42% |
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
Looking at the Profit Margin, with a value of 8.52%, CHTR belongs to the top of the industry, outperforming 81.32% of the companies in the same industry.
CHTR's Profit Margin has improved in the last couple of years.
CHTR has a better Operating Margin (23.74%) than 96.70% of its industry peers.
In the last couple of years the Operating Margin of CHTR has grown nicely.
CHTR's Gross Margin of 46.29% is in line compared to the rest of the industry. CHTR outperforms 53.85% of its industry peers.
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 | 23.74% | ||
| PM (TTM) | 8.52% | ||
| GM | 46.29% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CHTR is still creating some value.
The number of shares outstanding for CHTR has been reduced compared to 1 year ago.
The number of shares outstanding for CHTR has been reduced compared to 5 years ago.
CHTR has a better debt/assets ratio than last year.
2.2 Solvency
CHTR has an Altman-Z score of 0.75. This is a bad value and indicates that CHTR is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.75, CHTR is in line with its industry, outperforming 42.86% of the companies in the same industry.
CHTR has a debt to FCF ratio of 25.60. This is a negative value and a sign of low solvency as CHTR would need 25.60 years to pay back of all of its debts.
CHTR has a Debt to FCF ratio (25.60) which is comparable to the rest of the industry.
A Debt/Equity ratio of 6.70 is on the high side and indicates that CHTR has dependencies on debt financing.
CHTR's Debt to Equity ratio of 6.70 is on the low side compared to the rest of the industry. CHTR is outperformed by 87.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.7 | ||
| Debt/FCF | 25.6 | ||
| Altman-Z | 0.75 |
ROIC/WACC1.2
WACC6.18%
2.3 Liquidity
A Current Ratio of 0.34 indicates that CHTR may have some problems paying its short term obligations.
CHTR's Current ratio of 0.34 is on the low side compared to the rest of the industry. CHTR is outperformed by 98.90% of its industry peers.
A Quick Ratio of 0.34 indicates that CHTR may have some problems paying its short term obligations.
CHTR has a Quick ratio of 0.34. This is amonst the worse of the industry: CHTR underperforms 98.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.34 | ||
| Quick Ratio | 0.34 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.21% over the past year.
The Earnings Per Share has been growing by 46.16% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 0.55% in the past 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)4.21%
EPS 3Y24.81%
EPS 5Y46.16%
EPS Q2Q%6.91%
Revenue 1Y (TTM)0.55%
Revenue growth 3Y4.32%
Revenue growth 5Y4.59%
Sales Q2Q%1.55%
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.
CHTR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.68% yearly.
EPS Next Y15.83%
EPS Next 2Y10.25%
EPS Next 3Y11.38%
EPS Next 5Y10.12%
Revenue Next Year0.81%
Revenue Next 2Y0.19%
Revenue Next 3Y0.4%
Revenue Next 5Y0.68%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 12.02, which indicates a correct valuation of CHTR.
Based on the Price/Earnings ratio, CHTR is valued a bit cheaper than the industry average as 76.92% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 28.96. CHTR is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 10.52 indicates a reasonable valuation of CHTR.
82.42% of the companies in the same industry are more expensive than CHTR, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of CHTR to the average of the S&P500 Index (23.82), we can say CHTR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.02 | ||
| Fwd PE | 10.52 |
4.2 Price Multiples
CHTR's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. CHTR is cheaper than 79.12% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, CHTR is valued a bit cheaper than the industry average as 64.84% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.51 | ||
| EV/EBITDA | 6.92 |
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)0.76
PEG (5Y)0.26
EPS Next 2Y10.25%
EPS Next 3Y11.38%
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 (11/21/2024, 8:19:31 PM)
After market: 383.84 0 (0%)383.84
-5.28 (-1.36%)
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 Cap54.58B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
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Div Non Decr Years
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Surprises & Revisions
EPS beat(2)
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PT rev (1m)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.02 | ||
| Fwd PE | 10.52 | ||
| 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)0.76
PEG (5Y)0.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.13% | ||
| ROE | 33.16% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 23.74% | ||
| PM (TTM) | 8.52% | ||
| GM | 46.29% | ||
| 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 | 6.7 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.34 | ||
| Quick Ratio | 0.34 | ||
| 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)4.21%
EPS 3Y24.81%
EPS 5Y
EPS Q2Q%
EPS Next Y15.83%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)0.55%
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