Here's Why Charter Communications (CHTR) is a Strong Value Stock

Zacks
26 Mar

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.

While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.

Why Investors Should Pay Attention to This Value Stock

Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.

Charter Communications (CHTR)

Charter Communications is the second largest cable operator in the United States and a leading broadband communications company providing video, Internet and voice services. The company served approximately 30.1 million customers in 41 states through its Spectrum brand as of Dec. 31, 2024.

CHTR sits at a Zacks Rank #3 (Hold), holds a Value Style Score of A, and has a VGM Score of A. Compared to the Cable Television industry's P/E of 8.4X, shares of Charter Communications are trading at a forward P/E of 9.8X. CHTR also has a PEG Ratio of 0.5, a Price/Cash Flow ratio of 3.9X, and a Price/Sales ratio of 1X.

A company's earnings performance is important for value investors as well. For fiscal 2025, six analysts revised their earnings estimate higher in the last 60 days for CHTR, while the Zacks Consensus Estimate has increased $1.43 to $38.16 per share. CHTR also holds an average earnings surprise of 5.2%.

Investors should take the time to consider CHTR for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.

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Charter Communications, Inc. (CHTR) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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