CHTR - Embedded Expectations Analysis - 2020 04 24
ï€ Charter Communications, Inc. (CHTR:USA) currently trades above recent averages relative to UAFRS-based (Uniform) earnings, with a 25.2x Uniform P/E. At these levels, the market has bullish expectations for the firm, but management may have concerns about customer relationship growth, operating and labor costs, and their networkï€ Specifically, management may lack confidence in their ability to sustain long-term customer relationship and mobile lines growth, reduce regular operating costs, and manage labor, insourcing, and integration costs. Moreover, they may be exaggerating their capital deployment strategy discipline, their ability to create long-term shareholder value, and the potential of their mobile bundles. Furthermore, they may be downplaying concerns about the number of people that have been priced out of the market, and they may be exaggerating their data viewing capabilities and their ability to sustain homes passed expansion. Finally, they may have concerns about their leverage ratios, network capabilities, and the progress of their back-end integration
Charter Communications is a holding company. Through its subsidiaries, the company is a cable operator and a broadband communications company providing video, Internet and voice services. The company also provides its mobile service to residential customers. In addition, the company sells video and online advertising inventory to local, regional and national advertising customers and communications and managed solutions to enterprise customers. The company also owns and operates regional sports networks and local sports, news and community channels. The company owns and operates a two-way telecommunications network which passes various households and small and medium businesses across United States.
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