Stock Analysis on Net

Charter Communications Inc. (NASDAQ:CHTR)

Enterprise Value to FCFF (EV/FCFF) 

Microsoft Excel

Free Cash Flow to The Firm (FCFF)

Charter Communications Inc., FCFF calculation

US$ in millions

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12 months ended: Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Net income attributable to Charter shareholders 4,557 5,055 4,654 3,222 1,668
Net income attributable to noncontrolling interests 704 794 666 454 324
Net noncash charges 9,619 9,472 10,759 10,693 10,761
Changes in operating assets and liabilities, net of effects from acquisitions and dispositions (447) (396) 160 193 (1,005)
Net cash flows from operating activities 14,433 14,925 16,239 14,562 11,748
Cash paid for interest, net of tax1 3,853 3,534 3,367 3,303 3,247
Purchases of property, plant and equipment (11,115) (9,376) (7,635) (7,415) (7,195)
Purchases of wireless spectrum licenses (464)
Free cash flow to the firm (FCFF) 7,171 9,083 11,971 9,986 7,800

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

Item Description The company
FCFF Free cash flow to the firm is the cash flow available to the Charter Communications Inc. suppliers of capital after all operating expenses have been paid and necessary investments in working and fixed capital have been made. Charter Communications Inc. FCFF decreased from 2021 to 2022 and from 2022 to 2023.

Interest Paid, Net of Tax

Charter Communications Inc., interest paid, net of tax calculation

US$ in millions

Microsoft Excel
12 months ended: Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Effective Income Tax Rate (EITR)
EITR1 23.24% 21.62% 16.72% 14.55% 18.06%
Interest Paid, Net of Tax
Cash paid for interest, before tax 5,020 4,509 4,043 3,866 3,963
Less: Cash paid for interest, tax2 1,167 975 676 563 716
Cash paid for interest, net of tax 3,853 3,534 3,367 3,303 3,247

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 See details »

2 2023 Calculation
Cash paid for interest, tax = Cash paid for interest × EITR
= 5,020 × 23.24% = 1,167


Enterprise Value to FCFF Ratio, Current

Charter Communications Inc., current EV/FCFF calculation, comparison to benchmarks

Microsoft Excel
Selected Financial Data (US$ in millions)
Enterprise value (EV) 142,910
Free cash flow to the firm (FCFF) 7,171
Valuation Ratio
EV/FCFF 19.93
Benchmarks
EV/FCFF, Competitors1
Alphabet Inc. 23.90
Comcast Corp. 16.64
Meta Platforms Inc. 26.95
Netflix Inc. 35.85
Walt Disney Co. 36.43
EV/FCFF, Sector
Media & Entertainment 24.85
EV/FCFF, Industry
Communication Services 22.51

Based on: 10-K (reporting date: 2023-12-31).

1 Click competitor name to see calculations.

If the company EV/FCFF is lower then the EV/FCFF of benchmark then company is relatively undervalued.
Otherwise, if the company EV/FCFF is higher then the EV/FCFF of benchmark then company is relatively overvalued.


Enterprise Value to FCFF Ratio, Historical

Charter Communications Inc., historical EV/FCFF calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Enterprise value (EV)1 147,057 160,595 197,065 205,933 191,615
Free cash flow to the firm (FCFF)2 7,171 9,083 11,971 9,986 7,800
Valuation Ratio
EV/FCFF3 20.51 17.68 16.46 20.62 24.57
Benchmarks
EV/FCFF, Competitors4
Alphabet Inc. 23.84 20.67 27.17 29.53 28.19
Comcast Corp. 17.60 17.93 15.77 20.50 18.00
Meta Platforms Inc. 26.42 24.09 15.40 29.48 25.83
Netflix Inc. 33.81 77.11 335.37 95.41
Walt Disney Co. 31.55 90.23 78.66 63.77 143.18
EV/FCFF, Sector
Media & Entertainment 24.48 23.09 24.10 30.50 31.28
EV/FCFF, Industry
Communication Services 22.23 22.97 30.26 25.42 24.63

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 See details »

2 See details »

3 2023 Calculation
EV/FCFF = EV ÷ FCFF
= 147,057 ÷ 7,171 = 20.51

4 Click competitor name to see calculations.

Valuation ratio Description The company
EV/FCFF Enterprise value to free cash flow to the firm is whole company valuation indicator. Charter Communications Inc. EV/FCFF ratio increased from 2021 to 2022 and from 2022 to 2023.