Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Charter Communications Inc. (NASDAQ:CHTR)

Analysis of Solvency Ratios

Beginner level

Solvency Ratios (Summary)

Charter Communications Inc., solvency ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Debt Ratios
Debt to equity 3.48 2.51 2.01 1.80 1.54
Debt to equity (including operating lease liability) 3.53 2.55 2.01 1.80 1.54
Debt to capital 0.78 0.72 0.67 0.64 0.61
Debt to capital (including operating lease liability) 0.78 0.72 0.67 0.64 0.61
Debt to assets 0.57 0.53 0.50 0.48 0.41
Debt to assets (including operating lease liability) 0.58 0.54 0.50 0.48 0.41
Financial leverage 6.06 4.71 4.03 3.75 3.71
Coverage Ratios
Interest coverage 2.12 1.64 1.48 1.33 1.33
Fixed charge coverage 2.00 1.58 1.43 1.30 1.30

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-01-31), 10-K (filing date: 2018-02-02), 10-K (filing date: 2017-02-16).

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. Charter Communications Inc.’s debt to equity ratio deteriorated from 2018 to 2019 and from 2019 to 2020.
Debt to equity ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. Charter Communications Inc.’s debt to equity ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020.
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Charter Communications Inc.’s debt to capital ratio deteriorated from 2018 to 2019 and from 2019 to 2020.
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. Charter Communications Inc.’s debt to capital ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020.
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Charter Communications Inc.’s debt to assets ratio deteriorated from 2018 to 2019 and from 2019 to 2020.
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. Charter Communications Inc.’s debt to assets ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020.
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. Charter Communications Inc.’s financial leverage ratio increased from 2018 to 2019 and from 2019 to 2020.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Charter Communications Inc.’s interest coverage ratio improved from 2018 to 2019 and from 2019 to 2020.
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. Charter Communications Inc.’s fixed charge coverage ratio improved from 2018 to 2019 and from 2019 to 2020.

Debt to Equity

Charter Communications Inc., debt to equity calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Current portion of long-term debt 1,008  3,500  3,290  2,045  2,028 
Long-term debt, less current portion 81,744  75,578  69,537  68,186  59,719 
Total debt 82,752  79,078  72,827  70,231  61,747 
 
Total Charter shareholders’ equity 23,805  31,445  36,285  39,084  40,139 
Solvency Ratio
Debt to equity1 3.48 2.51 2.01 1.80 1.54
Benchmarks
Debt to Equity, Competitors2
Comcast Corp. 1.15 1.24 1.56 0.94 1.13
Netflix Inc. 1.47 1.95 1.98 1.81 1.26
Walt Disney Co. 0.70 0.53 0.43 0.61 0.47
Debt to Equity, Sector
Media 1.25 1.15 1.33 1.09 1.04
Debt to Equity, Industry
Consumer Services 1.22 1.24 1.27 1.10 0.99

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-01-31), 10-K (filing date: 2018-02-02), 10-K (filing date: 2017-02-16).

1 2020 Calculation
Debt to equity = Total debt ÷ Total Charter shareholders’ equity
= 82,752 ÷ 23,805 = 3.48

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. Charter Communications Inc.’s debt to equity ratio deteriorated from 2018 to 2019 and from 2019 to 2020.

Debt to Equity (including Operating Lease Liability)

Charter Communications Inc., debt to equity (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Current portion of long-term debt 1,008  3,500  3,290  2,045  2,028 
Long-term debt, less current portion 81,744  75,578  69,537  68,186  59,719 
Total debt 82,752  79,078  72,827  70,231  61,747 
Operating lease liabilities, current portion 235  214  —  —  — 
Operating lease liabilities, long-term portion (included within Other long-term liabilities) 1,110  979  —  —  — 
Total debt (including operating lease liability) 84,097  80,271  72,827  70,231  61,747 
 
Total Charter shareholders’ equity 23,805  31,445  36,285  39,084  40,139 
Solvency Ratio
Debt to equity (including operating lease liability)1 3.53 2.55 2.01 1.80 1.54
Benchmarks
Debt to Equity (including Operating Lease Liability), Competitors2
Comcast Corp. 1.20 1.29 1.56 0.94 1.13
Netflix Inc. 1.67 2.16 1.98 1.81 1.26
Walt Disney Co. 0.74 0.53 0.43 0.61 0.47
Debt to Equity (including Operating Lease Liability), Sector
Media 1.31 1.19 1.33 1.09 1.04
Debt to Equity (including Operating Lease Liability), Industry
Consumer Services 1.53 1.39 1.27 1.10 0.99

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-01-31), 10-K (filing date: 2018-02-02), 10-K (filing date: 2017-02-16).

1 2020 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Total Charter shareholders’ equity
= 84,097 ÷ 23,805 = 3.53

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to equity ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. Charter Communications Inc.’s debt to equity ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020.

Debt to Capital

Charter Communications Inc., debt to capital calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Current portion of long-term debt 1,008  3,500  3,290  2,045  2,028 
Long-term debt, less current portion 81,744  75,578  69,537  68,186  59,719 
Total debt 82,752  79,078  72,827  70,231  61,747 
Total Charter shareholders’ equity 23,805  31,445  36,285  39,084  40,139 
Total capital 106,557  110,523  109,112  109,315  101,886 
Solvency Ratio
Debt to capital1 0.78 0.72 0.67 0.64 0.61
Benchmarks
Debt to Capital, Competitors2
Comcast Corp. 0.53 0.55 0.61 0.48 0.53
Netflix Inc. 0.60 0.66 0.66 0.64 0.56
Walt Disney Co. 0.41 0.35 0.30 0.38 0.32
Debt to Capital, Sector
Media 0.56 0.54 0.57 0.52 0.51
Debt to Capital, Industry
Consumer Services 0.55 0.55 0.56 0.52 0.50

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-01-31), 10-K (filing date: 2018-02-02), 10-K (filing date: 2017-02-16).

1 2020 Calculation
Debt to capital = Total debt ÷ Total capital
= 82,752 ÷ 106,557 = 0.78

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Charter Communications Inc.’s debt to capital ratio deteriorated from 2018 to 2019 and from 2019 to 2020.

Debt to Capital (including Operating Lease Liability)

Charter Communications Inc., debt to capital (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Current portion of long-term debt 1,008  3,500  3,290  2,045  2,028 
Long-term debt, less current portion 81,744  75,578  69,537  68,186  59,719 
Total debt 82,752  79,078  72,827  70,231  61,747 
Operating lease liabilities, current portion 235  214  —  —  — 
Operating lease liabilities, long-term portion (included within Other long-term liabilities) 1,110  979  —  —  — 
Total debt (including operating lease liability) 84,097  80,271  72,827  70,231  61,747 
Total Charter shareholders’ equity 23,805  31,445  36,285  39,084  40,139 
Total capital (including operating lease liability) 107,902  111,716  109,112  109,315  101,886 
Solvency Ratio
Debt to capital (including operating lease liability)1 0.78 0.72 0.67 0.64 0.61
Benchmarks
Debt to Capital (including Operating Lease Liability), Competitors2
Comcast Corp. 0.55 0.56 0.61 0.48 0.53
Netflix Inc. 0.63 0.68 0.66 0.64 0.56
Walt Disney Co. 0.43 0.35 0.30 0.38 0.32
Debt to Capital (including Operating Lease Liability), Sector
Media 0.57 0.54 0.57 0.52 0.51
Debt to Capital (including Operating Lease Liability), Industry
Consumer Services 0.60 0.58 0.56 0.52 0.50

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-01-31), 10-K (filing date: 2018-02-02), 10-K (filing date: 2017-02-16).

1 2020 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 84,097 ÷ 107,902 = 0.78

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. Charter Communications Inc.’s debt to capital ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020.

Debt to Assets

Charter Communications Inc., debt to assets calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Current portion of long-term debt 1,008  3,500  3,290  2,045  2,028 
Long-term debt, less current portion 81,744  75,578  69,537  68,186  59,719 
Total debt 82,752  79,078  72,827  70,231  61,747 
 
Total assets 144,206  148,188  146,130  146,623  149,067 
Solvency Ratio
Debt to assets1 0.57 0.53 0.50 0.48 0.41
Benchmarks
Debt to Assets, Competitors2
Comcast Corp. 0.38 0.39 0.44 0.35 0.34
Netflix Inc. 0.42 0.43 0.40 0.34 0.25
Walt Disney Co. 0.29 0.24 0.21 0.26 0.22
Debt to Assets, Sector
Media 0.40 0.38 0.41 0.37 0.34
Debt to Assets, Industry
Consumer Services 0.33 0.34 0.37 0.34 0.32

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-01-31), 10-K (filing date: 2018-02-02), 10-K (filing date: 2017-02-16).

1 2020 Calculation
Debt to assets = Total debt ÷ Total assets
= 82,752 ÷ 144,206 = 0.57

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Charter Communications Inc.’s debt to assets ratio deteriorated from 2018 to 2019 and from 2019 to 2020.

Debt to Assets (including Operating Lease Liability)

Charter Communications Inc., debt to assets (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Current portion of long-term debt 1,008  3,500  3,290  2,045  2,028 
Long-term debt, less current portion 81,744  75,578  69,537  68,186  59,719 
Total debt 82,752  79,078  72,827  70,231  61,747 
Operating lease liabilities, current portion 235  214  —  —  — 
Operating lease liabilities, long-term portion (included within Other long-term liabilities) 1,110  979  —  —  — 
Total debt (including operating lease liability) 84,097  80,271  72,827  70,231  61,747 
 
Total assets 144,206  148,188  146,130  146,623  149,067 
Solvency Ratio
Debt to assets (including operating lease liability)1 0.58 0.54 0.50 0.48 0.41
Benchmarks
Debt to Assets (including Operating Lease Liability), Competitors2
Comcast Corp. 0.40 0.41 0.44 0.35 0.34
Netflix Inc. 0.47 0.48 0.40 0.34 0.25
Walt Disney Co. 0.31 0.24 0.21 0.26 0.22
Debt to Assets (including Operating Lease Liability), Sector
Media 0.41 0.39 0.41 0.37 0.34
Debt to Assets (including Operating Lease Liability), Industry
Consumer Services 0.41 0.39 0.37 0.34 0.32

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-01-31), 10-K (filing date: 2018-02-02), 10-K (filing date: 2017-02-16).

1 2020 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 84,097 ÷ 144,206 = 0.58

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. Charter Communications Inc.’s debt to assets ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020.

Financial Leverage

Charter Communications Inc., financial leverage calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Total assets 144,206  148,188  146,130  146,623  149,067 
Total Charter shareholders’ equity 23,805  31,445  36,285  39,084  40,139 
Solvency Ratio
Financial leverage1 6.06 4.71 4.03 3.75 3.71
Benchmarks
Financial Leverage, Competitors2
Comcast Corp. 3.03 3.18 3.51 2.72 3.35
Netflix Inc. 3.55 4.48 4.96 5.31 5.07
Walt Disney Co. 2.41 2.18 2.02 2.32 2.13
Financial Leverage, Sector
Media 3.16 3.04 3.23 2.94 3.11
Financial Leverage, Industry
Consumer Services 3.75 3.61 3.48 3.19 3.09

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-01-31), 10-K (filing date: 2018-02-02), 10-K (filing date: 2017-02-16).

1 2020 Calculation
Financial leverage = Total assets ÷ Total Charter shareholders’ equity
= 144,206 ÷ 23,805 = 6.06

2 Click competitor name to see calculations.

Solvency ratio Description The company
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. Charter Communications Inc.’s financial leverage ratio increased from 2018 to 2019 and from 2019 to 2020.

Interest Coverage

Charter Communications Inc., interest coverage calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Net income attributable to Charter shareholders 3,222  1,668  1,230  9,895  3,522 
Add: Net income attributable to noncontrolling interest 454  324  276  220  223 
Add: Income tax expense 626  439  180  (9,087) (2,925)
Add: Interest expense, net 3,848  3,797  3,540  3,090  2,499 
Earnings before interest and tax (EBIT) 8,150  6,228  5,226  4,118  3,319 
Solvency Ratio
Interest coverage1 2.12 1.64 1.48 1.33 1.33
Benchmarks
Interest Coverage, Competitors2
Comcast Corp. 4.07 4.72 5.30 5.97 5.88
Netflix Inc. 5.17 4.29 3.92 3.04 2.74
Walt Disney Co. -0.06 12.19 22.60 28.20 43.00
Interest Coverage, Sector
Media 2.83 4.46 5.02 5.42 6.10
Interest Coverage, Industry
Consumer Services 6.20 6.64 7.01 8.27 8.92

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-01-31), 10-K (filing date: 2018-02-02), 10-K (filing date: 2017-02-16).

1 2020 Calculation
Interest coverage = EBIT ÷ Interest expense
= 8,150 ÷ 3,848 = 2.12

2 Click competitor name to see calculations.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Charter Communications Inc.’s interest coverage ratio improved from 2018 to 2019 and from 2019 to 2020.

Fixed Charge Coverage

Charter Communications Inc., fixed charge coverage calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Net income attributable to Charter shareholders 3,222  1,668  1,230  9,895  3,522 
Add: Net income attributable to noncontrolling interest 454  324  276  220  223 
Add: Income tax expense 626  439  180  (9,087) (2,925)
Add: Interest expense, net 3,848  3,797  3,540  3,090  2,499 
Earnings before interest and tax (EBIT) 8,150  6,228  5,226  4,118  3,319 
Add: Operating lease expenses 439  428  382  321  215 
Earnings before fixed charges and tax 8,589  6,656  5,608  4,439  3,534 
 
Interest expense, net 3,848  3,797  3,540  3,090  2,499 
Operating lease expenses 439  428  382  321  215 
Fixed charges 4,287  4,225  3,922  3,411  2,714 
Solvency Ratio
Fixed charge coverage1 2.00 1.58 1.43 1.30 1.30
Benchmarks
Fixed Charge Coverage, Competitors2
Comcast Corp. 3.47 4.00 4.53 4.90 4.89
Netflix Inc. 3.65 2.92 3.33 2.55 2.28
Walt Disney Co. 0.32 6.94 10.14 11.03 13.38
Fixed Charge Coverage, Sector
Media 2.44 3.66 4.17 4.39 4.88
Fixed Charge Coverage, Industry
Consumer Services 3.67 3.87 3.98 4.49 4.73

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-01-31), 10-K (filing date: 2018-02-02), 10-K (filing date: 2017-02-16).

1 2020 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 8,589 ÷ 4,287 = 2.00

2 Click competitor name to see calculations.

Solvency ratio Description The company
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. Charter Communications Inc.’s fixed charge coverage ratio improved from 2018 to 2019 and from 2019 to 2020.