Key insights
- The author suggests that Charter Communications (CHTR) is undervalued due to its aggressive share buyback program and anticipated increase in free cash flow (FCF) after completing its capital expenditure cycle. Despite a minor earnings miss and declining revenue, the author believes the stock is worth significantly more based on a discounted cash flow (DCF) valuation, implying a bullish outlook.
This is my favorite community as you are (the 1 percent of good ideas haha) have made me good money. As such I wanted to return the favor and check out charter today! Chtr
It's all over the place.. 182 to 187 as I write this, crazy volume. Minor earnings miss... But it's a share cannibal and absolutely isnt worth less than 330 on a dcf.
It's not a Google, it's revenues decline 1 percent annually.. probably will forever. But the buybacks are crazy, and next year they will finish their capex, meaning their fcf will blow up 50 percent with no financial improvement.