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

Charter Communications Inc. (NASDAQ:CHTR)

Common Stock Valuation Ratios (Price Multiples)

Beginner level

Current Valuation Ratios

Charter Communications Inc., current price multiples

Microsoft Excel LibreOffice Calc
Charter Communications Inc. Comcast Corp. Netflix Inc. Walt Disney Co. Media Consumer Services
Selected Financial Data
Current share price (P) $642.80
No. shares of common stock outstanding 199,875,129
Growth rate (g) 8.56%
 
Earnings per share (EPS) $8.35
Next year expected EPS $9.06
Operating profit per share $32.58
Sales per share $228.96
Book value per share (BVPS) $157.32
Valuation Ratios (Price Multiples)
Price to earnings (P/E) 77.03 18.13 116.28 30.70 45.09
Price to next year expected earnings 70.95 15.83 100.53 27.46 39.61
Price-earnings-growth (PEG) 8.99 1.24 7.42 2.60 3.26
Price to operating profit (P/OP) 19.73 11.21 83.36 20.75 28.99
Price to sales (P/S) 2.81 2.17 10.77 4.07 3.47 2.27
Price to book value (P/BV) 4.09 2.86 28.63 3.19 4.03 9.39

Based on: 10-K (filing date: 2020-01-31).

If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.


Historical Valuation Ratios (Summary)

Charter Communications Inc., historical price multiples

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Price to earnings (P/E) 65.14 60.65 9.34 24.77
Price to operating profit (P/OP) 16.69 14.29 22.51 35.52 16.26
Price to sales (P/S) 2.37 1.71 2.22 3.01 1.86
Price to book value (P/BV) 3.46 2.06 2.36 2.17

Based on: 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), 10-K (filing date: 2016-02-10).

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Charter Communications Inc.’s P/E ratio increased from 2017 to 2018 and from 2018 to 2019.
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Charter Communications Inc.’s P/OP ratio decreased from 2017 to 2018 but then slightly increased from 2018 to 2019.
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Charter Communications Inc.’s P/S ratio decreased from 2017 to 2018 but then increased from 2018 to 2019 exceeding 2017 level.
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company’s required rate of return and its actual rate of return. Charter Communications Inc.’s P/BV ratio decreased from 2017 to 2018 but then increased from 2018 to 2019 exceeding 2017 level.

Price to Earnings (P/E)

Charter Communications Inc., historical P/E calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
No. shares of common stock outstanding1 209,975,964 225,353,808 238,506,060 268,897,793 112,438,828
Selected Financial Data (US$)
Net income (loss) attributable to Charter shareholders (in millions) 1,668  1,230  9,895  3,522  (271)
Earnings per share (EPS)2 7.94 5.46 41.49 13.10 -2.41
Share price1, 3 517.46 331.05 387.50 324.46 161.08
Valuation Ratio
P/E ratio4 65.14 60.65 9.34 24.77
Benchmarks
P/E Ratio, Competitors5
Comcast Corp. 15.39 14.11 8.70 20.56 17.78
Netflix Inc. 80.66 118.55 220.95 328.44 329.54
Walt Disney Co. 23.96 13.36 17.28 16.65 23.41
P/E Ratio, Sector
Media 26.23 20.62 13.49 22.20 24.39
P/E Ratio, Industry
Consumer Services 32.56 29.96 23.68 25.70 27.64

Based on: 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), 10-K (filing date: 2016-02-10).

1 Data adjusted for splits and stock dividends.

2 2019 Calculation
EPS = Net income (loss) attributable to Charter shareholders ÷ No. shares of common stock outstanding
= 1,668,000,000 ÷ 209,975,964 = 7.94

3 Closing price as at the filing date of Charter Communications Inc.’s Annual Report.

4 2019 Calculation
P/E ratio = Share price ÷ EPS
= 517.46 ÷ 7.94 = 65.14

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Charter Communications Inc.’s P/E ratio increased from 2017 to 2018 and from 2018 to 2019.

Price to Operating Profit (P/OP)

Charter Communications Inc., historical P/OP calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
No. shares of common stock outstanding1 209,975,964 225,353,808 238,506,060 268,897,793 112,438,828
Selected Financial Data (US$)
Income from operations (in millions) 6,511  5,221  4,106  2,456  1,114 
Operating profit per share2 31.01 23.17 17.22 9.13 9.91
Share price1, 3 517.46 331.05 387.50 324.46 161.08
Valuation Ratio
P/OP ratio4 16.69 14.29 22.51 35.52 16.26
Benchmarks
P/OP Ratio, Competitors5
Comcast Corp. 9.51 8.71 10.98 10.61 9.07
Netflix Inc. 57.82 89.46 147.25 161.44 132.15
Walt Disney Co. 24.82 11.37 11.26 11.01 14.90
P/OP Ratio, Sector
Media 17.72 13.58 15.49 14.27 13.07
P/OP Ratio, Industry
Consumer Services 20.93 18.87 18.08 15.67 15.14

Based on: 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), 10-K (filing date: 2016-02-10).

1 Data adjusted for splits and stock dividends.

2 2019 Calculation
Operating profit per share = Income from operations ÷ No. shares of common stock outstanding
= 6,511,000,000 ÷ 209,975,964 = 31.01

3 Closing price as at the filing date of Charter Communications Inc.’s Annual Report.

4 2019 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 517.46 ÷ 31.01 = 16.69

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Charter Communications Inc.’s P/OP ratio decreased from 2017 to 2018 but then slightly increased from 2018 to 2019.

Price to Sales (P/S)

Charter Communications Inc., historical P/S calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
No. shares of common stock outstanding1 209,975,964 225,353,808 238,506,060 268,897,793 112,438,828
Selected Financial Data (US$)
Revenues (in millions) 45,764  43,634  41,581  29,003  9,754 
Sales per share2 217.95 193.62 174.34 107.86 86.75
Share price1, 3 517.46 331.05 387.50 324.46 161.08
Valuation Ratio
P/S ratio4 2.37 1.71 2.22 3.01 1.86
Benchmarks
P/S Ratio, Competitors5
Comcast Corp. 1.84 1.75 2.34 2.22 1.95
Netflix Inc. 7.47 9.09 10.56 6.94 5.96
Walt Disney Co. 3.81 2.83 2.81 2.81 3.74
P/S Ratio, Sector
Media 2.97 2.59 2.95 2.78 2.79
P/S Ratio, Industry
Consumer Services 1.64 1.52 1.51 1.32 1.29

Based on: 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), 10-K (filing date: 2016-02-10).

1 Data adjusted for splits and stock dividends.

2 2019 Calculation
Sales per share = Revenues ÷ No. shares of common stock outstanding
= 45,764,000,000 ÷ 209,975,964 = 217.95

3 Closing price as at the filing date of Charter Communications Inc.’s Annual Report.

4 2019 Calculation
P/S ratio = Share price ÷ Sales per share
= 517.46 ÷ 217.95 = 2.37

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Charter Communications Inc.’s P/S ratio decreased from 2017 to 2018 but then increased from 2018 to 2019 exceeding 2017 level.

Price to Book Value (P/BV)

Charter Communications Inc., historical P/BV calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
No. shares of common stock outstanding1 209,975,964 225,353,808 238,506,060 268,897,793 112,438,828
Selected Financial Data (US$)
Total Charter shareholders’ equity (deficit) (in millions) 31,445  36,285  39,084  40,139  (46)
Book value per share (BVPS)2 149.76 161.01 163.87 149.27 -0.41
Share price1, 3 517.46 331.05 387.50 324.46 161.08
Valuation Ratio
P/BV ratio4 3.46 2.06 2.36 2.17
Benchmarks
P/BV Ratio, Competitors5
Comcast Corp. 2.43 2.31 2.88 3.31 2.78
Netflix Inc. 19.86 27.41 34.48 22.88 18.18
Walt Disney Co. 2.98 3.45 3.76 3.61 4.41
P/BV Ratio, Sector
Media 3.44 3.41 3.73 3.45 4.04
P/BV Ratio, Industry
Consumer Services 6.78 6.39 6.46 5.50 5.54

Based on: 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), 10-K (filing date: 2016-02-10).

1 Data adjusted for splits and stock dividends.

2 2019 Calculation
BVPS = Total Charter shareholders’ equity (deficit) ÷ No. shares of common stock outstanding
= 31,445,000,000 ÷ 209,975,964 = 149.76

3 Closing price as at the filing date of Charter Communications Inc.’s Annual Report.

4 2019 Calculation
P/BV ratio = Share price ÷ BVPS
= 517.46 ÷ 149.76 = 3.46

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company’s required rate of return and its actual rate of return. Charter Communications Inc.’s P/BV ratio decreased from 2017 to 2018 but then increased from 2018 to 2019 exceeding 2017 level.