Charter Communications (NASDAQ:CHTR) Reaches New 1-Year Low - Time to Sell?

Key Points

• Charter Communications' stock reached a new 52-week low, trading as low as $251.23, with analysts providing largely negative ratings, including a "sell" from Goldman Sachs.
• The company's most recent earnings report showed an EPS of $9.18, missing expectations, while revenue was slightly up 0.6% year-over-year.
• Insider activity includes CEO Christopher L. Winfrey purchasing shares valued at over $1 million, suggesting potential confidence in the company amidst declining stock prices.

Charter Communications, Inc. (NASDAQ:CHTR - Get Free Report)'s share price hit a new 52-week low during mid-day trading on Friday . The stock traded as low as $251.23 and last traded at $252.33, with a volume of 804099 shares changing hands. The stock had previously closed at $255.34.

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on the stock. The Goldman Sachs Group assumed coverage on shares of Charter Communications in a report on Tuesday, September 2nd. They set a "sell" rating and a $223.00 price target on the stock. Barclays decreased their price target on shares of Charter Communications from $341.00 to $275.00 and set an "underweight" rating on the stock in a report on Monday, July 28th. Arete Research raised shares of Charter Communications to a "strong sell" rating in a report on Tuesday, July 8th. Deutsche Bank Aktiengesellschaft decreased their price target on shares of Charter Communications from $370.00 to $325.00 and set a "hold" rating on the stock in a report on Monday, October 6th. Finally, Bank of America decreased their price target on shares of Charter Communications from $440.00 to $355.00 and set a "buy" rating on the stock in a report on Wednesday, September 24th. Eight investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and four have given a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus target price of $373.71.

Charter Communications Stock Down 1.0%

The company has a debt-to-equity ratio of 4.57, a quick ratio of 0.33 and a current ratio of 0.33. The stock has a market capitalization of $34.54 billion, a P/E ratio of 6.92, a price-to-earnings-growth ratio of 0.60 and a beta of 1.05. The stock's fifty day simple moving average is $266.53 and its two-hundred day simple moving average is $336.34.

Charter Communications (NASDAQ:CHTR - Get Free Report) last issued its quarterly earnings results on Friday, July 25th. The company reported $9.18 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $10.06 by ($0.88). The firm had revenue of $13.77 billion during the quarter, compared to analyst estimates of $13.76 billion. Charter Communications had a return on equity of 26.77% and a net margin of 9.53%.The firm's revenue for the quarter was up .6% on a year-over-year basis. During the same quarter last year, the firm posted $8.49 EPS. As a group, research analysts expect that Charter Communications, Inc. will post 38.16 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CEO Christopher L. Winfrey purchased 3,670 shares of the company's stock in a transaction dated Thursday, July 31st. The shares were purchased at an average price of $273.10 per share, for a total transaction of $1,002,277.00. Following the transaction, the chief executive officer owned 70,243 shares of the company's stock, valued at approximately $19,183,363.30. This trade represents a 5.51% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, Director Balan Nair purchased 360 shares of the company's stock in a transaction dated Thursday, July 31st. The stock was purchased at an average price of $274.21 per share, for a total transaction of $98,715.60. Following the transaction, the director directly owned 9,622 shares in the company, valued at approximately $2,638,448.62. This trade represents a 3.89% increase in their position. The disclosure for this purchase can be found here. 0.83% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the stock. Perigon Wealth Management LLC lifted its position in shares of Charter Communications by 2.2% during the 3rd quarter. Perigon Wealth Management LLC now owns 4,012 shares of the company's stock valued at $1,104,000 after acquiring an additional 88 shares during the period. Polianta Ltd acquired a new position in shares of Charter Communications during the 3rd quarter valued at $1,458,000. CWM LLC lifted its position in shares of Charter Communications by 764.5% during the 3rd quarter. CWM LLC now owns 23,195 shares of the company's stock valued at $6,381,000 after acquiring an additional 20,512 shares during the period. Pacer Advisors Inc. lifted its position in shares of Charter Communications by 12.6% during the 3rd quarter. Pacer Advisors Inc. now owns 20,465 shares of the company's stock valued at $5,630,000 after acquiring an additional 2,290 shares during the period. Finally, Brookstone Capital Management lifted its position in shares of Charter Communications by 267.6% during the 3rd quarter. Brookstone Capital Management now owns 2,522 shares of the company's stock valued at $694,000 after acquiring an additional 1,836 shares during the period. Institutional investors and hedge funds own 81.76% of the company's stock.

About Charter Communications

Charter Communications, Inc operates as a broadband connectivity and cable operator company serving residential and commercial customers in the United States. The company offers subscription-based internet, video, and mobile and voice services; a suite of broadband connectivity services, including fixed internet, WiFi, and mobile; Advanced WiFi services; Spectrum Security Shield; in-home WiFi, which provides customers with high performance wireless routers and managed WiFi services to enhance their fixed wireless internet experience; out-of-home WiFi; and Spectrum WiFi services.

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