Zacks Investment Research lowered shares of Charter Communications Inc. (NASDAQ:CHTR) from a hold rating to a sell rating in a report published on Wednesday morning.
According to Zacks, “Charter Communications is facing competition from online video streaming services as they provide an extremely cheap source of TV programming. In the last ten years, the over the top business model is gaining momentum, threatening the pay TV model. Additionally, Charter Communications faces competition from telecom operators and other cable MSO's in the high growth Ethernet market. Moreover the company has a highly leveraged balance sheet. However, the recent merger with Time Warner Cable and Brighthouse Networks, will strengthen its foothold in hybrid fiber coax (HFC) and fiber networks. This should also help Charter Communications better address small and medium-sized business (SMB) and large businesses. The company’s residential and commercial internet and voice customer growth continues to accelerate.”
A number of other brokerages have also recently issued reports on CHTR. Pivotal Research increased their price objective on Charter Communications from $333.00 to $350.00 and gave the stock a buy rating in a report on Monday, September 26th. Macquarie increased their price objective on Charter Communications from $286.00 to $289.00 and gave the stock an outperform rating in a report on Wednesday, September 28th. Citigroup Inc. increased their price objective on Charter Communications from $270.00 to $318.00 and gave the stock a buy rating in a report on Friday, September 30th. Moffett Nathanson raised Charter Communications from a neutral rating to a buy rating in a report on Thursday, November 10th. Finally, Morgan Stanley reissued a buy rating and set a $300.00 price objective on shares of Charter Communications in a report on Monday, September 12th. One research analyst has rated the stock with a sell rating, four have assigned a hold rating, thirteen have assigned a buy rating and two have given a strong buy rating to the stock. The company presently has an average rating of Buy and a consensus target price of $289.97.
Shares of Charter Communications (NASDAQ:CHTR) opened at 270.82 on Wednesday. The firm has a market capitalization of $73.30 billion, a price-to-earnings ratio of 16.11 and a beta of 0.93. The stock’s 50 day moving average price is $259.94 and its 200-day moving average price is $247.46. Charter Communications has a 52 week low of $156.13 and a 52 week high of $281.36.
Charter Communications (NASDAQ:CHTR) last issued its quarterly earnings data on Thursday, November 3rd. The company reported $0.69 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.79 by $0.10. The company had revenue of $10.04 billion for the quarter, compared to analysts’ expectations of $1.66 billion. Charter Communications had a return on equity of 0.62% and a net margin of 13.87%. The business’s revenue for the quarter was up 309.7% on a year-over-year basis. During the same period last year, the company posted $0.48 EPS. Equities analysts predict that Charter Communications will post $0.60 earnings per share for the current year.
A number of large investors have recently added to or reduced their stakes in the company. Prudential Financial Inc. boosted its stake in Charter Communications by 12.2% in the first quarter. Prudential Financial Inc. now owns 6,430 shares of the company’s stock valued at $1,302,000 after buying an additional 700 shares during the period. BNP Paribas Arbitrage SA boosted its stake in Charter Communications by 858.0% in the second quarter. BNP Paribas Arbitrage SA now owns 210,584 shares of the company’s stock valued at $48,148,000 after buying an additional 188,602 shares during the period. Fulton Bank N.A. acquired a new stake in Charter Communications during the second quarter valued at $231,000. Baxter Bros Inc. acquired a new stake in Charter Communications during the second quarter valued at $1,474,000. Finally, CKW Financial Group acquired a new stake in Charter Communications during the second quarter valued at $103,000. Institutional investors and hedge funds own 77.56% of the company’s stock.
About Charter Communications
Charter Communications, Inc (Charter) is a provider of cable services, offering various entertainments, information and communications solutions to residential and commercial customers. The Company’s services include Video Services, Internet Services, Voice Services, Commercial Services and Advertising Services.