CHTR AI Stock Analysis – Buy, Hold, or Avoid?
Charter Communications, Inc. (CHTR)
Fundamentals
Charter Communications (CHTR) is facing a multi-faceted turnaround challenge, marked by sharp market underperformance and deteriorating investor sentiment. While the company has historically benefited from a strong subscriber base and scale advantages, recent disruptions have significantly impacted its financial growth and profitability outlook.
Financial Highlights
- Revenue
- Net Income
- Net Margin (%)
Revenue
-1.00% YoY
Q1 2026
Net Income
-4.44% YoY
Q1 2026
Net Margin
Q1 2026
Growth Metrics
Revenue Growth YoY
Latest Quarter: Q1 2026
Net Income Growth YoY
Latest Quarter: Q1 2026
Revenue Per Share Growth YoY
Latest Quarter: Q1 2026
EPS Growth YoY
Latest Quarter: Q1 2026
Book Value Per Share Growth YoY
Latest Quarter: Q1 2026
| Q1 2026 | Q4 2025 | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | |
|---|---|---|---|---|---|---|---|---|
| Revenue | 13.6B | 13.6B | 13.7B | 13.8B | 13.7B | 13.9B | 13.8B | 13.7B |
| Revenue Growth YoY | -1.00% | -2.33% | -0.89% | +0.59% | +0.41% | +1.57% | +1.55% | +0.19% |
| Net Income | 1.2B | 1.3B | 1.1B | 1.3B | 1.2B | 1.5B | 1.3B | 1.2B |
| Net Income Growth YoY | -4.44% | -9.14% | -11.17% | +5.69% | +10.04% | +38.56% | +1.99% | +0.65% |
| EPS | $9.27 | $10.47 | $8.50 | $9.41 | $8.59 | $10.32 | $8.99 | $8.59 |
| EPS Growth YoY | +7.92% | +1.45% | -5.45% | +9.55% | +12.29% | +42.74% | +6.77% | +5.40% |
Profitability Metrics
Technical Analysis
CHTR is in a strong downtrend, trading near its 52-week low of $126.23, with technicals confirming bearish momentum and a death cross formation. Despite some short-term oversold RSI conditions suggesting potential for a rebound, the dominant trend remains bearish with significant resistance overhead. Key support around $126 remains critical, while resistance levels near $142 and $152 cap upside attempts.
No extreme reading
Price in downtrend
Strong trend active
50 below 200 - bearish
Key Technical Values
Price with Moving Averages
50-day, 150-day and 200-day simple moving averages
Relative Strength Index
Momentum oscillator measuring speed and magnitude of price changes
RSI (14)
Earnings
Charter Communications (CHTR) is facing a multi-faceted turnaround challenge, marked by sharp market underperformance and deteriorating investor sentiment. While the company has historically benefited from a strong subscriber base and scale advantages, recent disruptions have significantly impacted its financial growth and profitability outlook.
Latest Earnings
Q1 2026 Earnings (Mar 31, 2026)
Earnings Per Share (EPS)
Actual
$9.17
Estimated
$9.96
Surprise
$-0.79
Surprise %
-7.93%
Revenue
Actual
$13.6B
Estimated
$13.55B
Surprise
+$47.35M
Surprise %
+0.35%
Historical Earnings
| Q1 2026 | Q4 2025 | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | |
|---|---|---|---|---|---|---|---|---|
| Earnings Per Share | ||||||||
| EPS (Actual) | $9.17 | $10.34 | $8.34 | $9.18 | $8.42 | $10.10 | $8.82 | $8.49 |
| EPS (Estimated) | $9.96 | $9.78 | $9.23 | $9.58 | $8.43 | $9.19 | $8.62 | $7.98 |
| EPS Surprise | -$0.79 | +$0.56 | -$0.89 | -$0.40 | -$0.01 | +$0.91 | +$0.20 | +$0.51 |
| % Diff | -7.9% | +5.7% | -9.6% | -4.2% | -0.1% | +9.9% | +2.3% | +6.4% |
| Revenue | ||||||||
| Revenue (Actual) | $13.6B | $13.6B | $13.67B | $13.77B | $13.74B | $13.93B | $13.8B | $13.69B |
| Revenue (Estimated) | $13.55B | $13.73B | $13.74B | $13.77B | $13.67B | $13.88B | $13.66B | $13.59B |
| Revenue Surprise | +$47.35M | -$131.01M | -$71.7M | +$645.5K | +$64.7M | +$46.8M | +$136.33M | +$92.56M |
| % Diff | +0.3% | -1.0% | -0.5% | +0.0% | +0.5% | +0.3% | +1.0% | +0.7% |
Valuation
Charter Communications currently trades at multiples significantly below telecom sector averages, highlighting a valuation discount despite solid profitability and cash flow generation. While earnings and revenue growth have recently been flat or slightly negative, ongoing investments in fiber expansion and bundled services support a positive outlook. Market sentiment remains cautious, reflected by mixed analyst ratings and a recent share price decline to 52-week lows.
Valuation Metrics
Price to Earnings
TTM
Price to Sales
TTM
Price to Book
TTM
Enterprise Value to EBITDA
TTM
Enterprise Value to Revenue
TTM
| Q1 2026 | Q4 2025 | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | |
|---|---|---|---|---|---|---|---|---|
| Price to Earnings | 5.82 | 4.98 | 8.09 | 10.86 | 10.73 | 8.30 | 9.01 | 8.62 |
| Price to Sales | 1.99 | 1.95 | 2.69 | 4.10 | 3.80 | 3.52 | 3.34 | 3.10 |
| Price to Book | 1.65 | 1.65 | 2.40 | 3.49 | 3.21 | 3.15 | 3.27 | 3.29 |
| Enterprise Value to EBITDA | 27.64 | 22.71 | 25.58 | 28.45 | 27.85 | 26.30 | 26.56 | 26.06 |
| Enterprise Value to Revenue | 9.08 | 9.06 | 9.66 | 11.05 | 10.70 | 10.36 | 10.27 | 10.19 |
Sentiment & Analyst Ratings
Charter Communications (CHTR) currently faces a mixed but generally neutral market sentiment, underpinned by significant short-term bearish price pressure and high debt concerns, but also long-term upside potential as reflected by favorable analyst price targets. Investor views are divided, with balanced buy, hold, and sell recommendations and social media sentiment slightly leaning bearish. Key catalysts include Charter's $7 billion fiber network expansion and the pending Cox acquisition, although broadband customer losses and competitive pressures weigh on near-term confidence.
Analyst Recommendations
Risk Assessment
Charter Communications faces a challenging risk profile characterized by high financial leverage and ongoing subscriber losses amid strong competitive pressures from fiber overbuilds and fixed wireless providers. While liquidity is notably weak, the company benefits from solid cash flow generation, but the heavy debt load and regulatory uncertainties around its Cox merger pose significant financial risks. The telecom sector's structural shifts and pricing pressures further complicate the outlook, calling for cautious investor consideration.
Liquidity & Solvency
Frequently Asked Questions about CHTR
AI Answers: Common Questions About CHTR
Get AI-powered answers to the questions investors ask most about Charter Communications, Inc.
CHTR is not a good buy right now despite a very low P/E of 3.42 and price-to-book below 1, as the stock is in a strong downtrend and faces severe operational and financial headwinds. The market is discounting high leverage and declining fundamentals, so waiting for stabilization is prudent.
If you already own CHTR, consider holding rather than selling at these depressed levels unless your risk tolerance is low, as the stock is deeply oversold and undervalued. However, if fundamentals deteriorate further or support at $126 breaks, a stop-loss may be warranted.
The biggest risks are high leverage (debt/equity near 6x), weak liquidity (current and quick ratio ~0.4), ongoing subscriber losses, and the possibility of further margin compression. Regulatory and execution risks around the Cox merger and fiber rollout also loom large.
Immediate technical support is at $126, with risk of a drop to $108 if broken. Resistance is at $142 and $153; analysts have price targets up to 100% above current levels, but these assume successful turnaround and improved fundamentals.
CHTR is fundamentally undervalued, trading at a P/E of 3.4, price-to-book below 1.0, and trailing EV/EBITDA around 5.6x—well below sector averages. However, this discount reflects justified concerns about growth, leverage, and execution risk.
Fundamentals are currently weak: margins and returns have eroded to multi-year lows, revenue growth is negative or flat, and the balance sheet is strained by high debt and low liquidity. The business remains capital intensive with limited near-term growth drivers.
Technical analysis is strongly bearish: the stock is in a downtrend with a death cross (50 SMA below 200 SMA), RSI near oversold at 32, and price at 52-week lows. Support at $126 is critical; a break lower could trigger further downside.
Key catalysts include upcoming earnings (where a positive surprise could spark a rebound), progress on the Cox Communications acquisition, and evidence of subscriber stabilization or margin improvement from fiber investments. Watch for regulatory updates and management commentary on deleveraging.
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