Recent News
On August 18, Charter priced $2.0 billion of senior secured notes to refinance near-term maturities and for general corporate purposes. On September 4 the company presented at the BofA Media, Communications & Entertainment conference (CFO Jessica Fischer). On September 22 a securities-law firm announced a class-action filing related to a recent share decline.
Technical Analysis
ADX at 35.44 signals a very strong trend magnitude in play; that strength magnifies the directional bias implied by the directional indicators. DI+ registered a dip-and-reversal while DI− sits at 25.99 and is decreasing; the DI+ reversal therefore shifts directional pressure toward upside momentum against the still-elevated DI− level.
MACD currently reads −7.33 and has been increasing; the MACD sits above its signal line (signal = −10.23), which constitutes a bullish momentum confirmation even though the absolute MACD value remains negative.
MRO stands at −19.16 and is increasing; the negative reading indicates price sits below the model target and therefore contains upward potential, while the rising MRO suggests that potential has been strengthening recently.
RSI at 37.47 shows a dip-and-reversal pattern; that pattern reflects a recovery attempt off lower momentum and aligns with the MACD crossover in supporting near-term upside attempts.
Price behavior versus moving averages shows the close at $266.13 trading above the 20-day average ($262.89) and the 12-day EMA ($263.98), while remaining below the 50-day ($289.00) and 200-day ($351.53) averages. The 12-day EMA’s dip-and-reversal aligns with short-term bullish pressure, but longer-term averages define overhead resistance. Bollinger bands place the one‑sigma upper band near $265.38 and two‑sigma near $267.86; a successful push above the bands would increase short-term momentum signals. The super trend upper boundary sits at $277.11, marking a nearer resistance line for swing horizons.
Fundamental Analysis
Revenue totaled $13,766,000,000 with YoY revenue growth of 4.14%; operating cash flow reached $3,600,000,000 and free cash flow totaled $999,000,000, producing a free cash flow yield of 2.28% (WMDST valuation: over-valued).
EBIT amounted to $3,172,000,000 and EBIT margin registered 23.04%. That margin sits slightly above the industry peer mean of 22.857% and improved QoQ by 2.254% while showing a modest YoY decline of 0.779%. Operating margin of 24.41% improved QoQ by 8.316% and YoY by 5.103%, supporting the view that core profitability shows incremental improvement even as top-line expansion stays modest.
Reported EPS came in at $9.18 versus an estimate of $9.66, producing an EPS surprise of −4.97%. Forward EPS sits at $8.945 with a forward PE of 43.16x; the trailing PE reads 42.55x. Those multiples reflect stretched earnings valuation relative to free cash flow yield and the company’s capital structure.
Balance sheet and leverage highlight key valuation constraints: total debt stands at $96,283,000,000 with net debt near $95,677,000,000; debt to EBITDA reads roughly 18.0x and debt to assets about 63.52%. Interest coverage equals 2.51x. The company priced $2.0 billion of senior secured notes in August for refinancing and other purposes, which modifies near-term liability sizing but leaves leverage materially elevated.
Cash and short-term investments total $606,000,000 and the current ratio measures 0.33, reflecting tight near-term liquidity headroom versus total current liabilities of $14,556,000,000. Return on equity sits at 8.03% and return on assets at 0.86%; QoQ improvements appear, but YoY returns show pressure. Free cash flow growth trends negative year-over-year and quarter-over-quarter, signaling that discretionary capital levers require careful monitoring.
Valuation context: WMDST values the stock as over-valued. High leverage, elevated trailing and forward P/E multiples, and sub‑3% free cash flow yield underpin the stretched valuation despite improving operating margins and positive cash generation.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-06-30 |
| REPORT DATE: | 2025-07-25 |
| NEXT REPORT DATE: | 2025-10-23 |
| CASH FLOW | Begin Period Cash Flow | $ 866.0 M |
| Operating Cash Flow | $ 3.6 B | |
| Capital Expenditures | $ -2.60 B | |
| Change In Working Capital | $ -299.00 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ -217.00 M | |
| End Period Cash Flow | $ 649.0 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 13.8 B | |
| Forward Revenue | $ 3.2 B | |
| COSTS | ||
| Cost Of Revenue | $ 6.9 B | |
| Depreciation | $ 2.2 B | |
| Depreciation and Amortization | $ 2.2 B | |
| Research and Development | — | |
| Total Operating Expenses | $ 10.4 B | |
| PROFITABILITY | ||
| Gross Profit | $ 6.8 B | |
| EBITDA | $ 5.3 B | |
| EBIT | $ 3.2 B | |
| Operating Income | $ 3.4 B | |
| Interest Income | — | |
| Interest Expense | $ 1.3 B | |
| Net Interest Income | $ -1.26 B | |
| Income Before Tax | $ 1.9 B | |
| Tax Provision | $ 414.0 M | |
| Tax Rate | 21.687 % | |
| Net Income | $ 1.3 B | |
| Net Income From Continuing Operations | $ 1.5 B | |
| EARNINGS | ||
| EPS Estimate | $ 9.66 | |
| EPS Actual | $ 9.18 | |
| EPS Difference | $ -0.48 | |
| EPS Surprise | -4.969 % | |
| Forward EPS | $ 8.95 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 151.6 B | |
| Intangible Assets | $ 97.8 B | |
| Net Tangible Assets | $ -81.61 B | |
| Total Current Assets | $ 4.8 B | |
| Cash and Short-Term Investments | $ 606.0 M | |
| Cash | $ 606.0 M | |
| Net Receivables | $ 3.5 B | |
| Inventory | — | |
| Long-Term Investments | $ 4.8 B | |
| LIABILITIES | ||
| Accounts Payable | $ 967.0 M | |
| Short-Term Debt | $ 3.1 B | |
| Total Current Liabilities | $ 14.6 B | |
| Net Debt | $ 95.7 B | |
| Total Debt | $ 96.3 B | |
| Total Liabilities | $ 131.2 B | |
| EQUITY | ||
| Total Equity | $ 16.2 B | |
| Retained Earnings | $ -5.23 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 118.67 | |
| Shares Outstanding | 136.591 M | |
| Revenue Per-Share | $ 100.78 | |
| VALUATION | Market Capitalization | $ 43.8 B |
| Enterprise Value | $ 139.4 B | |
| Enterprise Multiple | 26.071 | |
| Enterprise Multiple QoQ | -4.647 % | |
| Enterprise Multiple YoY | 0.225 % | |
| Enterprise Multiple IPRWA | high: 69.499 CHTR: 26.071 mean: 22.332 median: 10.916 low: -28.512 |
|
| EV/R | 10.129 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 9.352 | |
| Asset To Liability | 1.155 | |
| Debt To Capital | 0.856 | |
| Debt To Assets | 0.635 | |
| Debt To Assets QoQ | 0.338 % | |
| Debt To Assets YoY | -3.252 % | |
| Debt To Assets IPRWA | high: 1.096 CHTR: 0.635 median: 0.394 mean: 0.376 low: 0.001 |
|
| Debt To Equity | 5.94 | |
| Debt To Equity QoQ | 0.996 % | |
| Debt To Equity YoY | -21.588 % | |
| Debt To Equity IPRWA | high: 6.354 CHTR: 5.94 mean: 0.935 median: 0.906 low: -6.665 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 2.699 | |
| Price To Book QoQ | -11.395 % | |
| Price To Book YoY | -17.53 % | |
| Price To Book IPRWA | high: 4.743 CHTR: 2.699 mean: 1.538 median: 1.295 low: -1.801 |
|
| Price To Earnings (P/E) | 42.548 | |
| Price To Earnings QoQ | 1.6 % | |
| Price To Earnings YoY | 22.323 % | |
| Price To Earnings IPRWA | high: 151.482 CHTR: 42.548 mean: 11.527 median: 2.323 low: -46.484 |
|
| PE/G Ratio | 4.714 | |
| Price To Sales (P/S) | 3.178 | |
| Price To Sales QoQ | -11.801 % | |
| Price To Sales YoY | 3.183 % | |
| Price To Sales IPRWA | high: 13.385 mean: 5.313 median: 4.139 CHTR: 3.178 low: 0.016 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 43.165 | |
| Forward PE/G | 4.782 | |
| Forward P/S | 13.537 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 11.023 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.091 | |
| Asset Turnover Ratio QoQ | -0.296 % | |
| Asset Turnover Ratio YoY | -1.366 % | |
| Asset Turnover Ratio IPRWA | high: 0.395 CHTR: 0.091 mean: 0.078 median: 0.061 low: 0.05 |
|
| Receivables Turnover | 4.013 | |
| Receivables Turnover Ratio QoQ | -6.378 % | |
| Receivables Turnover Ratio YoY | -11.96 % | |
| Receivables Turnover Ratio IPRWA | CHTR: 4.013 high: 3.399 median: 2.516 mean: 2.347 low: 0.453 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 22.736 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | — | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | — | |
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | -1.413 | |
| CapEx To Revenue | -0.189 | |
| CapEx To Depreciation | -1.195 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 109.4 B | |
| Net Invested Capital | $ 112.5 B | |
| Invested Capital | $ 112.5 B | |
| Net Tangible Assets | $ -81.61 B | |
| Net Working Capital | $ -9.74 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.042 | |
| Current Ratio | 0.331 | |
| Current Ratio QoQ | -9.021 % | |
| Current Ratio YoY | -14.206 % | |
| Current Ratio IPRWA | high: 2.91 median: 2.353 mean: 2.067 CHTR: 0.331 low: 0.33 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 18.004 | |
| Cost Of Debt | 1.031 % | |
| Interest Coverage Ratio | 2.511 | |
| Interest Coverage Ratio QoQ | 0.702 % | |
| Interest Coverage Ratio YoY | 4.948 % | |
| Interest Coverage Ratio IPRWA | high: 14.255 mean: 3.611 CHTR: 2.511 median: 1.225 low: -14.768 |
|
| Operating Cash Flow Ratio | 0.225 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 12.317 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 0.421 % | |
| Revenue Growth | 0.226 % | |
| Revenue Growth QoQ | -116.472 % | |
| Revenue Growth YoY | 413.636 % | |
| Revenue Growth IPRWA | high: 48.424 % CHTR: 0.226 % median: -1.631 % mean: -1.739 % low: -28.571 % |
|
| Earnings Growth | 9.026 % | |
| Earnings Growth QoQ | -154.262 % | |
| Earnings Growth YoY | -27.502 % | |
| Earnings Growth IPRWA | high: 168.182 % median: 50.0 % mean: 41.506 % CHTR: 9.026 % low: -70.652 % |
|
| MARGINS | ||
| Gross Margin | 49.535 % | |
| Gross Margin QoQ | 1.365 % | |
| Gross Margin YoY | 22.983 % | |
| Gross Margin IPRWA | high: 97.687 % CHTR: 49.535 % mean: 43.903 % median: 38.764 % low: 32.486 % |
|
| EBIT Margin | 23.042 % | |
| EBIT Margin QoQ | 2.254 % | |
| EBIT Margin YoY | -0.779 % | |
| EBIT Margin IPRWA | high: 51.965 % CHTR: 23.042 % mean: 22.857 % median: 18.227 % low: -20.463 % |
|
| Return On Sales (ROS) | 24.408 % | |
| Return On Sales QoQ | 8.316 % | |
| Return On Sales YoY | 5.103 % | |
| Return On Sales IPRWA | high: 36.461 % CHTR: 24.408 % mean: 10.532 % median: 8.334 % low: -23.166 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 999.0 M | |
| Free Cash Flow Yield | 2.283 % | |
| Free Cash Flow Yield QoQ | -27.753 % | |
| Free Cash Flow Yield YoY | -9.477 % | |
| Free Cash Flow Yield IPRWA | high: 33.482 % median: 3.588 % mean: 3.066 % CHTR: 2.283 % low: -18.193 % |
|
| Free Cash Growth | -36.125 % | |
| Free Cash Growth QoQ | -112.331 % | |
| Free Cash Growth YoY | -118.344 % | |
| Free Cash Growth IPRWA | high: 533.794 % mean: -14.737 % median: -16.937 % CHTR: -36.125 % low: -550.476 % |
|
| Free Cash To Net Income | 0.768 | |
| Cash Flow Margin | 23.805 % | |
| Cash Flow To Earnings | 2.519 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.02 | |
| Return On Assets (ROA) | 0.86 % | |
| Return On Assets QoQ | 6.304 % | |
| Return On Assets YoY | 3.614 % | |
| Return On Assets IPRWA | high: 4.632 % mean: 1.038 % CHTR: 0.86 % median: 0.196 % low: -7.182 % |
|
| Return On Capital Employed (ROCE) | 2.315 % | |
| Return On Equity (ROE) | 0.08 | |
| Return On Equity QoQ | 7.142 % | |
| Return On Equity YoY | -16.028 % | |
| Return On Equity IPRWA | high: 0.154 CHTR: 0.08 mean: 0.025 median: 0.005 low: -0.133 |
|
| DuPont ROE | 8.017 % | |
| Return On Invested Capital (ROIC) | 2.208 % | |
| Return On Invested Capital QoQ | 4.943 % | |
| Return On Invested Capital YoY | -12.416 % | |
| Return On Invested Capital IPRWA | high: 5.987 % CHTR: 2.208 % mean: 1.853 % median: 0.978 % low: -5.481 % |
|