Charter Communications Reports Solid Q4 Earnings Amid Market Fluctuations

Charter Communications, Inc. (CHTR), which has a market capitalization of $49.1 billion, is a prominent broadband connectivity and cable operator. Located in Stamford, Connecticut, the company provides subscription-based Internet, video, mobile, and voice services to both residential and commercial customers. Additionally, Charter distributes news coverage and sports programming among its offerings.

As a large-cap stock, Charter fits within the category of companies valued at $10 billion or more. The company operates primarily under its Spectrum brand, which serves over 57 million homes and businesses across 41 states.

Stock Performance and Market Comparison

Currently, Charter’s stock has seen a decline of 16.8% from its 52-week high of $415.27. In the last three months, CHTR has dropped 9.1%, a decline that outpaces the S&P 500 Index’s decrease of 8.8% during the same period.

Despite the recent downturn, Charter has experienced slight gains on a year-to-date (YTD) basis, outperforming the S&P 500’s 6.1% decline. Furthermore, over the past year, CHTR shares have risen by 15.8%, compared to the S&P 500’s growth of 6.9%.

Since mid-July of last year, CHTR has consistently traded above its 200-day moving average. Despite some volatility, the stock has mostly remained above its 50-day moving average during this timeframe.

Recent Financial Highlights

On January 31, shares of Charter Communications rose by 2.6% after the company announced impressive Q4 earnings of $10.10 per share along with revenues reaching $13.9 billion. As of December 31, Charter provided service to 9.9 million mobile lines, adding 2.1 million lines in fiscal year 2024. However, the total number of residential and small-to-medium business (SMB) Internet customers saw a decrease of 2% year-over-year, falling to 31.4 million.

Comparison with Competitor

In contrast, rival Comcast Corporation (CMCSA) lagged behind Charter with a 19.8% drop in share value over the past year, including a 7.5% decline on a year-to-date basis.

Analyst Outlook

While Charter has outperformed the broader market over the last year, analysts express a cautious optimism regarding its future prospects. CHTR currently holds a consensus rating of “Moderate Buy” among the 24 analysts who follow it. As of now, the stock is trading below the average price target of $411.09.

On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is for informational purposes only. For more information, please view the Barchart Disclosure Policy here.

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