Charter Communications (NASDAQ:CHTR) Trading Up 4.2% - Should You Buy?

Key Points

• Charter Communications shares rose 4.2% to about $139.54, though trading volume was 88% below the average session volume.
• Analyst sentiment remains cautious: the stock has an overall “Hold” rating, with five Buys, nine Holds, and five Sells. Several firms recently cut their price targets, while the consensus target remains $226.88.
• Charter exceeded quarterly earnings expectations, reporting $10.66 in EPS versus $9.98 expected, but revenue declined 1.7% year over year to $13.53 billion. The company also carries substantial leverage, with a debt-to-equity ratio of 4.32.

Charter Communications, Inc. (NASDAQ:CHTR - Get Free Report)'s share price shot up 4.2% on Thursday . The company traded as high as $138.92 and last traded at $139.5390. Approximately 334,505 shares traded hands during trading, a decline of 88% from the average session volume of 2,742,987 shares. The stock had previously closed at $133.89.

Analyst Ratings Changes

A number of research firms recently issued reports on CHTR. JPMorgan Chase & Co. dropped their price objective on shares of Charter Communications from $200.00 to $150.00 and set a "neutral" rating on the stock in a report on Wednesday, July 29th. The Goldman Sachs Group cut their price objective on Charter Communications from $185.00 to $125.00 and set a "sell" rating for the company in a research note on Thursday, July 2nd. Weiss Ratings reissued a "sell (d+)" rating on shares of Charter Communications in a report on Wednesday, June 24th. UBS Group lowered their price target on shares of Charter Communications from $235.00 to $140.00 and set a "neutral" rating on the stock in a report on Monday, July 27th. Finally, Freedom Capital upgraded shares of Charter Communications to a "hold" rating in a research report on Friday, June 12th. Five equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and five have issued a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $226.88.

Charter Communications Stock Performance

The firm has a market cap of $16.76 billion, a PE ratio of 3.64, a PEG ratio of 0.31 and a beta of 0.69. The firm's 50 day simple moving average is $143.41 and its 200 day simple moving average is $169.35. The company has a current ratio of 0.36, a quick ratio of 0.36 and a debt-to-equity ratio of 4.32.

Charter Communications (NASDAQ:CHTR - Get Free Report) last issued its earnings results on Friday, July 24th. The company reported $10.66 earnings per share (EPS) for the quarter, topping the consensus estimate of $9.98 by $0.68. Charter Communications had a return on equity of 23.71% and a net margin of 9.05%.The firm had revenue of $13.53 billion for the quarter, compared to analysts' expectations of $13.51 billion. During the same period in the previous year, the firm posted $9.18 earnings per share. The business's revenue was down 1.7% compared to the same quarter last year. On average, research analysts forecast that Charter Communications, Inc. will post 42.72 EPS for the current fiscal year.

Institutional Investors Weigh In On Charter Communications

Institutional investors have recently modified their holdings of the stock. Geneos Wealth Management Inc. grew its holdings in Charter Communications by 141.0% during the 1st quarter. Geneos Wealth Management Inc. now owns 94 shares of the company's stock valued at $35,000 after purchasing an additional 55 shares during the last quarter. Cassaday & Co Wealth Management LLC bought a new position in shares of Charter Communications in the first quarter worth about $25,000. Quarry LP increased its stake in Charter Communications by 153.2% in the 4th quarter. Quarry LP now owns 119 shares of the company's stock worth $25,000 after buying an additional 72 shares during the period. Altshuler Shaham Ltd bought a new stake in Charter Communications during the 4th quarter valued at about $25,000. Finally, DV Equities LLC purchased a new stake in Charter Communications in the 4th quarter valued at about $25,000. 81.76% of the stock is owned by institutional investors.

About Charter Communications

Charter Communications, Inc is a telecommunications and media company that operates under the Spectrum brand. Its primary business is providing broadband internet, video, mobile, and voice services to residential customers across the United States. Charter also offers communications and managed services to businesses, including internet access, data networking, phone, video, and fiber-based connectivity solutions.

The company's consumer offerings include high-speed internet, traditional and streaming-enabled television services, mobile wireless plans, and home phone services.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.