Recent News
Feb 27–Mar 2, 2026: The FCC approved Charter’s $34.5 billion combination with Cox, enabling the companies to combine operations and rebrand consumer offerings under the Cox name while retaining Spectrum as the consumer brand. Mar 3, 2026: Spectrum Business expanded technology services under the California CALNET contract. Mar 10, 2026: Charter leadership emphasized broadband customer growth and the winding down of major multi‑year investment programs. Mar 18, 2026: Charter announced product rollouts including a Spectrum TV app launch on Google TV/Android TV OS and additional Spectrum partnerships for enterprise and AI contact‑center offerings.
Technical Analysis
ADX / DI+/DI-: ADX at 9.21 signals no strong directional trend; DI+ shows a dip & reversal while DI- is decreasing, which together indicate a resumption of positive directional pressure without a confirmed strong trend. This environment supports potential mean reversion toward intrinsic value rather than an extended breakout.
MACD: MACD sits at 0.87 and the MACD line has crossed above its signal line (-0.16), with the MACD trend increasing; that crossover represents bullish momentum that can drive short‑term price appreciation if sustained.
MRO (Momentum/Regression Oscillator): MRO at -24.72 with a dip & reversal shows the price below the model target and signals scope for upward adjustment; the negative MRO implies catch‑up potential relative to the target level embedded in the oscillator.
RSI and Moving Averages: RSI at 51.8 and increasing indicates neutral to modest bullish momentum. Price ($235.97) trades above short EMAs (12‑day EMA $222.62 and 26‑day EMA $221.47) and above the 20‑day average ($221.26) but remains below the 200‑day average ($246.97), implying near‑term upside potential bounded by longer‑term resistance.
Volume & Bands: Today’s volume (2,058,046) exceeds the 10‑day average (1,578,956), showing above‑average participation on the recent move. Price sits between the 1x and 2x upper Bollinger bands, consistent with momentum that has room before meeting the 200‑day average resistance. All technical signals align with WMDST’s valuation view by indicating constructive short‑term momentum while the broader trend stays range‑bound.
Fundamental Analysis
Profitability: EBIT $3.231B yields an EBIT margin of 23.756%, above the industry peer mean of 9.055% and the industry peer median of 10.167%, and below the industry peer high of 31.652%. Operating margin stands at 24.66% and gross margin at 56.974%, reflecting strong operating leverage in core broadband services. QoQ EBIT margin improved by +8.193%, while YoY change registered -0.352%.
Earnings & Cash Flow: Reported EPS $10.34 versus estimate $9.93 produced a surprise of +$0.41, or +4.13%. Forward EPS equals $11.79 with a forward P/E of 18.27 versus a trailing P/E of 20.49, indicating analysts expect modest earnings growth. Free cash flow $426.0M implies a free cash flow yield of 1.588%, slightly below the industry peer mean of 1.82%.
Revenue & Growth: Total revenue $13.601B; reported revenue growth reads -0.519% overall and revenue growth YoY at -154.632% as provided. Earnings growth shows +23.981% on the latest figure, with earnings growth YoY +65.249%. Quarterly revenue and earnings dynamics show short‑term pressure on top line but expansion in margin metrics QoQ.
Balance Sheet & Leverage: Total debt roughly $97.12B with net debt ~$96.64B versus market cap ~$26.83B, resulting in very high leverage. Debt/EBITDA stands at ~17.9x and interest coverage at 2.54x, reflecting meaningful leverage that increases sensitivity to rates and cash‑flow volatility. Debt‑to‑assets registers 62.98% and debt‑to‑equity about 6.05x, underscoring financial risk despite operating cash flow strength ($3.761B operating cash flow).
Valuation Summary: Valuation as determined by WMDST: under‑valued. Key signals supporting that view include robust EBIT and operating margins relative to peers, a lower forward P/E (18.27) than trailing multiples, and MRO‑implied catch‑up potential; counterweights include heavy leverage and below‑mean free cash flow yield. QoQ margin improvement (+8.193% EBIT margin QoQ) supports the near‑term valuation case.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-01-30 |
| NEXT REPORT DATE: | 2026-05-01 |
| CASH FLOW | Begin Period Cash Flow | $ 521.0 M |
| Operating Cash Flow | $ 3.8 B | |
| Capital Expenditures | $ -3.33 B | |
| Change In Working Capital | $ -410.00 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ 77.0 M | |
| End Period Cash Flow | $ 598.0 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 13.6 B | |
| Forward Revenue | $ 3.8 B | |
| COSTS | ||
| Cost Of Revenue | $ 5.9 B | |
| Depreciation | $ 2.2 B | |
| Depreciation and Amortization | $ 2.2 B | |
| Research and Development | — | |
| Total Operating Expenses | $ 10.2 B | |
| PROFITABILITY | ||
| Gross Profit | $ 7.7 B | |
| EBITDA | $ 5.4 B | |
| EBIT | $ 3.2 B | |
| Operating Income | $ 3.4 B | |
| Interest Income | — | |
| Interest Expense | $ 1.3 B | |
| Net Interest Income | $ -1.27 B | |
| Income Before Tax | $ 2.0 B | |
| Tax Provision | $ 415.0 M | |
| Tax Rate | 21.163 % | |
| Net Income | $ 1.3 B | |
| Net Income From Continuing Operations | $ 1.5 B | |
| EARNINGS | ||
| EPS Estimate | $ 9.93 | |
| EPS Actual | $ 10.34 | |
| EPS Difference | $ 0.41 | |
| EPS Surprise | 4.129 % | |
| Forward EPS | $ 11.79 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 154.2 B | |
| Intangible Assets | $ 97.6 B | |
| Net Tangible Assets | $ -81.57 B | |
| Total Current Assets | $ 5.1 B | |
| Cash and Short-Term Investments | $ 477.0 M | |
| Cash | $ 477.0 M | |
| Net Receivables | $ 3.7 B | |
| Inventory | — | |
| Long-Term Investments | $ 5.0 B | |
| LIABILITIES | ||
| Accounts Payable | $ 1.0 B | |
| Short-Term Debt | $ 1.7 B | |
| Total Current Liabilities | $ 13.3 B | |
| Net Debt | $ 96.6 B | |
| Total Debt | $ 97.1 B | |
| Total Liabilities | $ 133.7 B | |
| EQUITY | ||
| Total Equity | $ 16.1 B | |
| Retained Earnings | $ -5.39 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 126.78 | |
| Shares Outstanding | 126.632 M | |
| Revenue Per-Share | $ 107.41 | |
| VALUATION | Market Capitalization | $ 26.8 B |
| Enterprise Value | $ 123.5 B | |
| Enterprise Multiple | 22.76 | |
| Enterprise Multiple QoQ | -11.144 % | |
| Enterprise Multiple YoY | 136.189 % | |
| Enterprise Multiple IPRWA | high: 64.866 mean: 34.425 median: 25.876 CHTR: 22.76 low: -16.265 |
|
| EV/R | 9.078 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 9.606 | |
| Asset To Liability | 1.153 | |
| Debt To Capital | 0.858 | |
| Debt To Assets | 0.63 | |
| Debt To Assets QoQ | -0.827 % | |
| Debt To Assets YoY | 3595.892 % | |
| Debt To Assets IPRWA | high: 1.69 CHTR: 0.63 median: 0.349 mean: 0.322 low: 0.0 |
|
| Debt To Equity | 6.05 | |
| Debt To Equity QoQ | -4.392 % | |
| Debt To Equity YoY | 3587.681 % | |
| Debt To Equity IPRWA | CHTR: 6.05 high: 3.615 mean: 0.958 median: 0.907 low: -9.844 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.671 | |
| Price To Book QoQ | -28.032 % | |
| Price To Book YoY | -48.713 % | |
| Price To Book IPRWA | high: 5.379 median: 1.857 mean: 1.811 CHTR: 1.671 low: -0.597 |
|
| Price To Earnings (P/E) | 20.488 | |
| Price To Earnings QoQ | -37.918 % | |
| Price To Earnings YoY | -42.163 % | |
| Price To Earnings IPRWA | high: 106.029 mean: 54.724 median: 34.324 CHTR: 20.488 low: -109.964 |
|
| PE/G Ratio | 0.854 | |
| Price To Sales (P/S) | 1.972 | |
| Price To Sales QoQ | -24.289 % | |
| Price To Sales YoY | -45.914 % | |
| Price To Sales IPRWA | high: 13.686 median: 5.727 mean: 5.4 CHTR: 1.972 low: 0.01 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 18.273 | |
| Forward PE/G | 0.762 | |
| Forward P/S | 6.729 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -14.689 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.089 | |
| Asset Turnover Ratio QoQ | -1.369 % | |
| Asset Turnover Ratio YoY | -4.773 % | |
| Asset Turnover Ratio IPRWA | high: 0.432 mean: 0.147 median: 0.118 CHTR: 0.089 low: 0.064 |
|
| Receivables Turnover | 3.738 | |
| Receivables Turnover Ratio QoQ | -2.31 % | |
| Receivables Turnover Ratio YoY | -17.283 % | |
| Receivables Turnover Ratio IPRWA | CHTR: 3.738 high: 3.242 mean: 1.979 median: 1.815 low: 0.991 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 24.414 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 13.17 | |
| Cash Conversion Cycle Days QoQ | 17.99 % | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 144.763 mean: 40.85 median: 28.512 CHTR: 13.17 low: -95.091 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | -1.666 | |
| CapEx To Revenue | -0.245 | |
| CapEx To Depreciation | -1.52 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 111.5 B | |
| Net Invested Capital | $ 113.2 B | |
| Invested Capital | $ 113.2 B | |
| Net Tangible Assets | $ -81.57 B | |
| Net Working Capital | $ -8.16 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.036 | |
| Current Ratio | 0.387 | |
| Current Ratio QoQ | 3.212 % | |
| Current Ratio YoY | 23.165 % | |
| Current Ratio IPRWA | high: 2.784 mean: 1.414 median: 1.056 low: 0.404 CHTR: 0.387 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 17.902 | |
| Cost Of Debt | 1.031 % | |
| Interest Coverage Ratio | 2.544 | |
| Interest Coverage Ratio QoQ | 7.458 % | |
| Interest Coverage Ratio YoY | -2.375 % | |
| Interest Coverage Ratio IPRWA | high: 20.795 median: 2.917 CHTR: 2.544 mean: 2.36 low: -15.218 |
|
| Operating Cash Flow Ratio | 0.264 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 11.245 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 0.892 % | |
| Revenue Growth | -0.519 % | |
| Revenue Growth QoQ | -24.012 % | |
| Revenue Growth YoY | -154.632 % | |
| Revenue Growth IPRWA | high: 71.226 % mean: 11.524 % median: 4.588 % CHTR: -0.519 % low: -24.881 % |
|
| Earnings Growth | 23.981 % | |
| Earnings Growth QoQ | -362.087 % | |
| Earnings Growth YoY | 65.249 % | |
| Earnings Growth IPRWA | high: 260.0 % CHTR: 23.981 % mean: 7.283 % median: -25.0 % low: -201.984 % |
|
| MARGINS | ||
| Gross Margin | 56.974 % | |
| Gross Margin QoQ | 40.075 % | |
| Gross Margin YoY | -45.209 % | |
| Gross Margin IPRWA | high: 97.722 % median: 68.106 % mean: 58.363 % CHTR: 56.974 % low: 37.002 % |
|
| EBIT Margin | 23.756 % | |
| EBIT Margin QoQ | 8.193 % | |
| EBIT Margin YoY | -0.352 % | |
| EBIT Margin IPRWA | high: 31.652 % CHTR: 23.756 % median: 10.167 % mean: 9.055 % low: -64.436 % |
|
| Return On Sales (ROS) | 24.66 % | |
| Return On Sales QoQ | 3.74 % | |
| Return On Sales YoY | 3.44 % | |
| Return On Sales IPRWA | high: 26.635 % CHTR: 24.66 % mean: 10.91 % median: 10.789 % low: -26.557 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 426.0 M | |
| Free Cash Flow Yield | 1.588 % | |
| Free Cash Flow Yield QoQ | -60.419 % | |
| Free Cash Flow Yield YoY | -46.023 % | |
| Free Cash Flow Yield IPRWA | high: 24.977 % median: 2.073 % mean: 1.82 % CHTR: 1.588 % low: -42.845 % |
|
| Free Cash Growth | -70.189 % | |
| Free Cash Growth QoQ | -263.067 % | |
| Free Cash Growth YoY | -719.716 % | |
| Free Cash Growth IPRWA | high: 516.576 % median: 97.29 % mean: 74.27 % CHTR: -70.189 % low: -519.247 % |
|
| Free Cash To Net Income | 0.32 | |
| Cash Flow Margin | 25.829 % | |
| Cash Flow To Earnings | 2.637 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.02 | |
| Return On Assets (ROA) | 0.868 % | |
| Return On Assets QoQ | 16.198 % | |
| Return On Assets YoY | -11.338 % | |
| Return On Assets IPRWA | high: 6.218 % CHTR: 0.868 % median: 0.795 % mean: 0.768 % low: -13.421 % |
|
| Return On Capital Employed (ROCE) | 2.293 % | |
| Return On Equity (ROE) | 0.083 | |
| Return On Equity QoQ | 11.94 % | |
| Return On Equity YoY | -11.781 % | |
| Return On Equity IPRWA | high: 0.115 CHTR: 0.083 median: 0.022 mean: 0.016 low: -0.543 |
|
| DuPont ROE | 8.486 % | |
| Return On Invested Capital (ROIC) | 2.251 % | |
| Return On Invested Capital QoQ | 11.051 % | |
| Return On Invested Capital YoY | -98.264 % | |
| Return On Invested Capital IPRWA | high: 6.371 % CHTR: 2.251 % mean: 1.612 % median: 1.608 % low: -22.388 % |
|