Key insights
- The post highlights the significant drop in Charter Communications' stock price and questions its low valuation relative to its consistent net income. Despite attractive P/E and P/S ratios, the author hesitates due to the lack of growth and unappealing sector. This suggests potential bearish sentiment towards the cable industry, possibly influencing other telecom stocks, but the impact is limited due to the individual stock focus.
Ticker: $CHTR
Down another 8% today. 34% in the last 5 days.
Market Cap: $19.5 B
Annual Revenue 2025: $54.77 B
Annual Net Income 2025: $5.77 B
P/S Ratio is a paltry 0.35!
P/E FWD: 3.7
P/E TTM: 4.28
I just don’t understand how this stock can get any cheaper. Its growth seems to have stalled or completely disappeared, but even if growth is completely gone, isn’t this priced too cheap for income now?
They’re averaging $5 billion a year in Net Income. Pure profit, since 2021. And the entire business is trading under $20 billion.
What am I missing here?
I don’t have a position but I’m pretty interested in starting one here. I just don’t like the sector that the business is in. There nothing sexy about what they do.