Common Stock Valuation Ratios (Price Multiples)
Quarterly Data
Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).
Historical Valuation Ratios (Summary)
Charter Communications Inc., historical price multiples (quarterly data)
Based on: 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
The analysis of the financial ratios over the given periods reveals several notable trends and shifts in valuation metrics.
- Price to Earnings (P/E) Ratio
- This ratio was initially unavailable for earlier periods but began at a high level of 65.14 in March 2020. It then displayed a consistent downward trend through subsequent quarters, moving steadily from 58.10 in June 2020 to 10.17 by December 2023. This suggests improving earnings relative to the stock price, indicative of either rising earnings or a recalibration of market expectations towards more typical valuation levels.
- Price to Operating Profit (P/OP) Ratio
- The Price to Operating Profit ratio started at 16.69 in March 2020 and generally decreased over time, reaching 3.69 in December 2023. There were minor fluctuations during 2020 and 2021, but the overall trajectory was downward, signaling either growth in operating profit or a declining stock price, reflecting an improving operational performance relative to price.
- Price to Sales (P/S) Ratio
- This ratio also showed a downward movement, starting at 2.37 in March 2020 and dropping to 0.85 by the end of 2023. The decline was relatively steady, reflecting a decrease in market valuation relative to sales, which could point to market adjustments or slower revenue growth compared to price changes.
- Price to Book Value (P/BV) Ratio
- Contrary to the other ratios, the Price to Book Value ratio initially increased from 2.32 in March 2019 to a peak of 7.26 in December 2021, suggesting growing market valuation relative to book equity. However, after this peak, the ratio declined steadily to 4.18 by December 2023. This pattern may indicate initial market optimism or asset revaluation, followed by a period of correction or changes in book value or market capitalization.
Overall, the financial data indicates a general trend of decreasing valuation multiples over the recent few years, especially visible in the P/E, P/OP, and P/S ratios. This suggests a market reassessment leading to more conservative valuation levels or improvements in earnings and profits relative to price. The Price to Book Value ratio’s mid-period peak followed by a decline points to a more complex dynamic in equity valuation.
Price to Earnings (P/E)
Charter Communications Inc., historical P/E calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 145,225,459 | 147,920,286 | 149,670,941 | 150,575,231 | 152,651,397 | 155,672,282 | 160,654,747 | 167,858,282 | 172,741,237 | 179,291,074 | 183,822,206 | 188,666,161 | 193,730,993 | 199,875,129 | 204,899,177 | 206,457,541 | 209,975,964 | 214,780,120 | 221,477,665 | 223,408,075 | ||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||
| Net income attributable to Charter shareholders (in millions) | 1,058) | 1,255) | 1,223) | 1,021) | 1,196) | 1,185) | 1,471) | 1,203) | 1,610) | 1,217) | 1,020) | 807) | 1,246) | 814) | 766) | 396) | 714) | 387) | 314) | 253) | ||||||
| Earnings per share (EPS)2 | 31.38 | 31.74 | 30.90 | 32.36 | 33.11 | 35.13 | 34.24 | 30.08 | 26.94 | 23.93 | 21.15 | 19.26 | 16.63 | 13.46 | 11.04 | 8.77 | 7.94 | 0.00 | 0.00 | 0.00 | ||||||
| Share price1, 3 | 319.21 | 372.00 | 396.80 | 368.70 | 394.41 | 368.24 | 432.10 | 428.49 | 590.47 | 674.89 | 744.05 | 673.45 | 607.56 | 603.82 | 580.00 | 509.64 | 517.46 | 462.19 | 398.79 | 371.19 | ||||||
| Valuation Ratio | ||||||||||||||||||||||||||
| P/E ratio4 | 10.17 | 11.72 | 12.84 | 11.39 | 11.91 | 10.48 | 12.62 | 14.24 | 21.92 | 28.21 | 35.19 | 34.97 | 36.53 | 44.87 | 52.52 | 58.10 | 65.14 | — | — | — | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| P/E Ratio, Competitors5 | ||||||||||||||||||||||||||
| Alphabet Inc. | 23.89 | 23.76 | 26.82 | 22.64 | 22.47 | 18.32 | 20.58 | 20.32 | 25.74 | 27.53 | 28.90 | 31.05 | 34.65 | — | — | — | — | — | — | — | ||||||
| Comcast Corp. | 12.01 | 10.40 | 28.75 | 29.69 | 31.38 | 25.58 | 12.39 | 13.00 | 16.01 | 16.37 | 21.39 | 22.12 | 22.37 | — | — | — | — | — | — | — | ||||||
| Meta Platforms Inc. | 30.97 | 24.92 | 35.58 | 28.51 | 21.10 | 9.01 | 12.84 | 14.91 | 16.44 | 21.80 | 25.93 | 27.69 | 25.89 | — | — | — | — | — | — | — | ||||||
| Netflix Inc. | 45.65 | 38.78 | 44.61 | 34.72 | 36.17 | 23.66 | 19.54 | 19.36 | 33.56 | 57.28 | 51.57 | 60.01 | 86.39 | — | — | — | — | — | — | — | ||||||
| Take-Two Interactive Software Inc. | — | — | — | 124.44 | 34.10 | 37.79 | 39.46 | 28.54 | 35.22 | 46.82 | 42.49 | 45.44 | 39.58 | — | — | — | — | — | — | — | ||||||
| Walt Disney Co. | 73.44 | 71.09 | 44.85 | 61.51 | 54.90 | 65.23 | 72.29 | 86.97 | 137.89 | 289.34 | — | — | — | — | 33.92 | 25.19 | 23.96 | — | — | — | ||||||
Based on: 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2023 Calculation
EPS
= (Net income attributable to Charter shareholdersQ4 2023
+ Net income attributable to Charter shareholdersQ3 2023
+ Net income attributable to Charter shareholdersQ2 2023
+ Net income attributable to Charter shareholdersQ1 2023)
÷ No. shares of common stock outstanding
= (1,058,000,000 + 1,255,000,000 + 1,223,000,000 + 1,021,000,000)
÷ 145,225,459 = 31.38
3 Closing price as at the filing date of Charter Communications Inc. Quarterly or Annual Report.
4 Q4 2023 Calculation
P/E ratio = Share price ÷ EPS
= 319.21 ÷ 31.38 = 10.17
5 Click competitor name to see calculations.
The data reveals significant fluctuations in share price, earnings per share (EPS), and price-to-earnings (P/E) ratio over the analyzed periods. There is a discernible relationship among these key financial metrics that illustrates the company's market valuation and profitability dynamics.
- Share Price Trend
- The share price showed an overall upward trajectory from March 2019 through June 2021, peaking at $744.05 in June 2021. This marks a substantial increase from an initial value of $371.19 in March 2019. However, after mid-2021, the price experienced a downward correction, declining steadily to $319.21 by December 2023. The intervals reveal a peak in early 2021 followed by a consistent depreciation through to the end of 2023.
- Earnings Per Share (EPS) Trend
- EPS data is available from March 2020 onward and displays a robust growth pattern from 7.94 in March 2020, steadily rising to a peak of 35.13 in December 2022. This represents a more than fourfold increase in EPS over under three years, indicating strong profitability improvement. A slight decline is observable thereafter, with EPS dropping to 31.38 by December 2023.
- Price-to-Earnings (P/E) Ratio Trend
- The P/E ratio began at 65.14 in March 2020 and consistently decreased over the periods, reaching a low of 10.17 by December 2023. This steady decline reflects an evolving market valuation, likely driven by the substantial rise in earnings which outpaced share price growth. The falling P/E suggests that shares became more attractively valued relative to earnings over time, despite the later decrease in share price.
- Interrelationship and Insights
- The concurrent increase in EPS and decrease in P/E ratio alongside an initial share price rise indicates enhanced profitability that the market gradually reflected, lowering relative valuation multiples. The peak in share price prior to the highest EPS point suggests speculative growth or market optimism ahead of earnings realization. The subsequent declines in share price and EPS beyond their peaks imply emerging challenges or market corrections reducing investor confidence. Notably, while EPS remains substantially higher than early periods, the share price's drop below prior peaks indicates market concerns or shifting expectations despite improved earnings compared to the base period.
Price to Operating Profit (P/OP)
Charter Communications Inc., historical P/OP calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 145,225,459 | 147,920,286 | 149,670,941 | 150,575,231 | 152,651,397 | 155,672,282 | 160,654,747 | 167,858,282 | 172,741,237 | 179,291,074 | 183,822,206 | 188,666,161 | 193,730,993 | 199,875,129 | 204,899,177 | 206,457,541 | 209,975,964 | 214,780,120 | 221,477,665 | 223,408,075 | ||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||
| Income from operations (in millions) | 3,267) | 3,126) | 3,240) | 2,926) | 3,040) | 2,924) | 3,227) | 2,771) | 2,956) | 2,927) | 2,575) | 2,068) | 2,462) | 2,172) | 1,969) | 1,802) | 1,959) | 1,586) | 1,541) | 1,425) | ||||||
| Operating profit per share2 | 86.48 | 83.37 | 81.04 | 80.47 | 78.36 | 76.30 | 73.95 | 66.90 | 60.94 | 55.95 | 50.47 | 45.96 | 43.38 | 39.53 | 35.71 | 33.36 | 31.01 | 0.00 | 0.00 | 0.00 | ||||||
| Share price1, 3 | 319.21 | 372.00 | 396.80 | 368.70 | 394.41 | 368.24 | 432.10 | 428.49 | 590.47 | 674.89 | 744.05 | 673.45 | 607.56 | 603.82 | 580.00 | 509.64 | 517.46 | 462.19 | 398.79 | 371.19 | ||||||
| Valuation Ratio | ||||||||||||||||||||||||||
| P/OP ratio4 | 3.69 | 4.46 | 4.90 | 4.58 | 5.03 | 4.83 | 5.84 | 6.41 | 9.69 | 12.06 | 14.74 | 14.65 | 14.00 | 15.27 | 16.24 | 15.28 | 16.69 | — | — | — | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| P/OP Ratio, Competitors5 | ||||||||||||||||||||||||||
| Alphabet Inc. | 20.92 | 20.13 | 21.93 | 18.38 | 18.01 | 15.62 | 17.97 | 18.39 | 24.86 | 26.82 | 29.02 | 32.10 | 33.85 | — | — | — | — | — | — | — | ||||||
| Comcast Corp. | 7.93 | 6.75 | 12.94 | 11.89 | 12.00 | 9.64 | 7.83 | 8.75 | 10.89 | 11.91 | 14.39 | 14.66 | 13.47 | — | — | — | — | — | — | — | ||||||
| Meta Platforms Inc. | 25.90 | 20.16 | 27.97 | 22.11 | 16.91 | 7.39 | 10.83 | 12.68 | 13.84 | 18.71 | 22.67 | 24.49 | 23.10 | — | — | — | — | — | — | — | ||||||
| Netflix Inc. | 35.50 | 29.21 | 33.68 | 27.12 | 28.85 | 20.88 | 16.77 | 15.62 | 27.71 | 44.39 | 37.28 | 40.38 | 52.02 | — | — | — | — | — | — | — | ||||||
| Take-Two Interactive Software Inc. | — | — | — | 75.75 | 30.10 | 33.09 | 35.73 | 25.95 | 32.96 | 46.57 | 40.61 | 44.54 | 37.65 | — | — | — | — | — | — | — | ||||||
| Walt Disney Co. | 33.90 | 34.95 | 26.48 | 32.61 | 26.43 | 31.54 | 35.31 | 53.03 | 91.54 | 197.21 | — | — | — | 242.78 | 21.67 | 26.30 | 24.82 | — | — | — | ||||||
Based on: 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2023 Calculation
Operating profit per share
= (Income from operationsQ4 2023
+ Income from operationsQ3 2023
+ Income from operationsQ2 2023
+ Income from operationsQ1 2023)
÷ No. shares of common stock outstanding
= (3,267,000,000 + 3,126,000,000 + 3,240,000,000 + 2,926,000,000)
÷ 145,225,459 = 86.48
3 Closing price as at the filing date of Charter Communications Inc. Quarterly or Annual Report.
4 Q4 2023 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 319.21 ÷ 86.48 = 3.69
5 Click competitor name to see calculations.
The analysis of the financial data reveals notable trends in the share price, operating profit per share, and the price-to-operating profit (P/OP) ratio over the observed quarterly periods.
- Share Price
- The share price demonstrated an overall upward trend from March 2019 through June 2021, increasing from $371.19 to a peak of $744.05. Following this peak, however, the share price experienced significant volatility and a downward trajectory, falling to $319.21 by December 2023. This decline suggests a period of decreased investor confidence or other market pressures impacting valuation during the latter quarters.
- Operating Profit per Share
- Operating profit per share data begins in the first quarter of 2020 and shows a consistent and steady increase throughout the entire time period. Starting at $31.01 in March 2020, it rose to $86.48 by December 2023. This indicates continuous operational improvement and potentially enhanced profitability on a per-share basis, reflecting efficient management or growth in core business activities.
- Price-to-Operating Profit (P/OP) Ratio
- The P/OP ratio began at 16.69 in March 2020 and generally trended downward over the subsequent quarters, reaching a low of 3.69 by December 2023. This decline indicates that although the share price initially rose, it did not increase at the same rate as operating profit per share. The falling ratio suggests the stock may have become more attractively valued relative to its operating earnings, or that market sentiment adjusted to align more closely with fundamental performance.
In summary, while the company experienced a substantial rise in share price early on, this was followed by a notable decrease. Concurrently, operating profit per share consistently improved, and the P/OP ratio steadily decreased, implying enhanced operational efficiency and a market valuation increasingly aligned with earnings performance.
Price to Sales (P/S)
Charter Communications Inc., historical P/S calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 145,225,459 | 147,920,286 | 149,670,941 | 150,575,231 | 152,651,397 | 155,672,282 | 160,654,747 | 167,858,282 | 172,741,237 | 179,291,074 | 183,822,206 | 188,666,161 | 193,730,993 | 199,875,129 | 204,899,177 | 206,457,541 | 209,975,964 | 214,780,120 | 221,477,665 | 223,408,075 | ||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||
| Revenues (in millions) | 13,711) | 13,584) | 13,659) | 13,653) | 13,674) | 13,550) | 13,598) | 13,200) | 13,212) | 13,146) | 12,802) | 12,522) | 12,624) | 12,039) | 11,696) | 11,738) | 11,761) | 11,450) | 11,347) | 11,206) | ||||||
| Sales per share2 | 376.02 | 368.91 | 364.37 | 361.78 | 353.89 | 344.06 | 330.87 | 311.93 | 299.19 | 284.98 | 271.93 | 259.09 | 248.27 | 236.32 | 227.65 | 224.24 | 217.95 | 0.00 | 0.00 | 0.00 | ||||||
| Share price1, 3 | 319.21 | 372.00 | 396.80 | 368.70 | 394.41 | 368.24 | 432.10 | 428.49 | 590.47 | 674.89 | 744.05 | 673.45 | 607.56 | 603.82 | 580.00 | 509.64 | 517.46 | 462.19 | 398.79 | 371.19 | ||||||
| Valuation Ratio | ||||||||||||||||||||||||||
| P/S ratio4 | 0.85 | 1.01 | 1.09 | 1.02 | 1.11 | 1.07 | 1.31 | 1.37 | 1.97 | 2.37 | 2.74 | 2.60 | 2.45 | 2.56 | 2.55 | 2.27 | 2.37 | — | — | — | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| P/S Ratio, Competitors5 | ||||||||||||||||||||||||||
| Alphabet Inc. | 5.74 | 5.34 | 5.65 | 4.66 | 4.76 | 4.35 | 5.33 | 5.60 | 7.60 | 8.13 | 8.26 | 8.11 | 7.65 | — | — | — | — | — | — | — | ||||||
| Comcast Corp. | 1.52 | 1.30 | 1.55 | 1.40 | 1.39 | 1.14 | 1.43 | 1.55 | 1.95 | 2.08 | 2.45 | 2.49 | 2.28 | — | — | — | — | — | — | — | ||||||
| Meta Platforms Inc. | 8.98 | 5.84 | 6.65 | 5.21 | 4.20 | 2.20 | 3.62 | 4.65 | 5.49 | 7.82 | 9.64 | 9.90 | 8.78 | — | — | — | — | — | — | — | ||||||
| Netflix Inc. | 7.32 | 5.36 | 5.90 | 4.57 | 5.14 | 3.79 | 3.21 | 3.19 | 5.78 | 10.10 | 8.21 | 8.55 | 9.54 | — | — | — | — | — | — | — | ||||||
| Take-Two Interactive Software Inc. | 4.40 | 3.97 | 3.63 | 5.31 | 4.07 | 5.82 | 6.60 | 5.55 | 6.15 | 7.00 | 5.99 | 6.01 | 5.18 | — | — | — | — | — | — | — | ||||||
| Walt Disney Co. | 1.94 | 1.82 | 2.12 | 2.42 | 2.09 | 2.53 | 2.50 | 3.67 | 4.08 | 5.12 | 5.55 | 5.70 | 4.13 | 3.04 | 2.33 | 3.48 | 3.81 | — | — | — | ||||||
Based on: 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2023 Calculation
Sales per share
= (RevenuesQ4 2023
+ RevenuesQ3 2023
+ RevenuesQ2 2023
+ RevenuesQ1 2023)
÷ No. shares of common stock outstanding
= (13,711,000,000 + 13,584,000,000 + 13,659,000,000 + 13,653,000,000)
÷ 145,225,459 = 376.02
3 Closing price as at the filing date of Charter Communications Inc. Quarterly or Annual Report.
4 Q4 2023 Calculation
P/S ratio = Share price ÷ Sales per share
= 319.21 ÷ 376.02 = 0.85
5 Click competitor name to see calculations.
The share price demonstrates significant volatility over the observed period. Starting at $371.19 on March 31, 2019, it experienced a general upward trend, peaking at $744.05 on June 30, 2021. Subsequently, the price entered a prolonged decline, falling to $319.21 by December 31, 2023. This pattern indicates a cycle of strong growth followed by a considerable correction or decrease.
Sales per share data is available from March 31, 2020 onward, showing a steady growth pattern. Beginning at $217.95, the figure rises consistently each quarter, reaching $376.02 by December 31, 2023. This upward trajectory suggests positive sales performance and expansion over the nearly four-year span.
The price-to-sales (P/S) ratio exhibits notable fluctuations. Initially recorded at 2.37 on March 31, 2020, it maintains values generally above 2.0 through early 2021, peaking at 2.74 on September 30, 2021. After that, the ratio declines sharply to values between 1.97 and 1.07 through 2022, eventually decreasing to 0.85 by December 31, 2023. This downward trend in the P/S ratio, despite growing sales per share, reflects the earlier observed decline in share price and may imply investors' reduced valuation expectations relative to sales.
- Share Price Trends
- From March 2019 to mid-2021, the share price appreciated markedly, nearly doubling, followed by a significant and sustained decline through the end of 2023.
- Sales per Share Trends
- A consistent quarter-over-quarter increase from early 2020 to late 2023 illustrates steady revenue growth.
- P/S Ratio Analysis
- The P/S ratio's peak above 2.5 levels in 2021 indicates a high valuation relative to sales, but the subsequent decline below 1.0 by the end of 2023 reflects a notable shift in market sentiment or profitability expectations relative to sales.
In summary, the company experienced solid growth in sales per share during the period analyzed, yet this was accompanied by significant share price volatility. The sharp downturn in share price and P/S ratio in the latter part of the timeline suggests that market perceptions of value diminished despite improving sales, potentially due to factors external to sales performance such as broader market conditions or operational challenges.
Price to Book Value (P/BV)
Charter Communications Inc., historical P/BV calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 145,225,459 | 147,920,286 | 149,670,941 | 150,575,231 | 152,651,397 | 155,672,282 | 160,654,747 | 167,858,282 | 172,741,237 | 179,291,074 | 183,822,206 | 188,666,161 | 193,730,993 | 199,875,129 | 204,899,177 | 206,457,541 | 209,975,964 | 214,780,120 | 221,477,665 | 223,408,075 | ||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||
| Total Charter shareholders’ equity (in millions) | 11,086) | 11,098) | 10,460) | 9,418) | 9,119) | 8,889) | 9,879) | 12,060) | 14,050) | 17,030) | 19,342) | 20,997) | 23,805) | 26,906) | 29,356) | 29,628) | 31,445) | 32,974) | 35,286) | 35,734) | ||||||
| Book value per share (BVPS)2 | 76.34 | 75.03 | 69.89 | 62.55 | 59.74 | 57.10 | 61.49 | 71.85 | 81.34 | 94.99 | 105.22 | 111.29 | 122.88 | 134.61 | 143.27 | 143.51 | 149.76 | 153.52 | 159.32 | 159.95 | ||||||
| Share price1, 3 | 319.21 | 372.00 | 396.80 | 368.70 | 394.41 | 368.24 | 432.10 | 428.49 | 590.47 | 674.89 | 744.05 | 673.45 | 607.56 | 603.82 | 580.00 | 509.64 | 517.46 | 462.19 | 398.79 | 371.19 | ||||||
| Valuation Ratio | ||||||||||||||||||||||||||
| P/BV ratio4 | 4.18 | 4.96 | 5.68 | 5.89 | 6.60 | 6.45 | 7.03 | 5.96 | 7.26 | 7.11 | 7.07 | 6.05 | 4.94 | 4.49 | 4.05 | 3.55 | 3.46 | 3.01 | 2.50 | 2.32 | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| P/BV Ratio, Competitors5 | ||||||||||||||||||||||||||
| Alphabet Inc. | 6.22 | 5.80 | 6.12 | 5.08 | 5.26 | 4.84 | 5.80 | 5.96 | 7.78 | 7.95 | 7.66 | 6.93 | 6.27 | 5.15 | 4.87 | 4.50 | — | — | — | — | ||||||
| Comcast Corp. | 2.24 | 1.91 | 2.22 | 2.04 | 2.08 | 1.72 | 1.90 | 1.97 | 2.36 | 2.48 | 2.81 | 2.80 | 2.61 | 2.29 | 2.39 | 2.11 | — | — | — | — | ||||||
| Meta Platforms Inc. | 7.91 | 5.19 | 5.98 | 4.90 | 3.89 | 2.09 | 3.43 | 4.52 | 5.18 | 6.59 | 7.31 | 6.99 | 5.88 | 6.37 | 6.54 | 5.54 | — | — | — | — | ||||||
| Netflix Inc. | 11.99 | 7.94 | 8.30 | 6.68 | 7.82 | 5.81 | 5.22 | 5.53 | 10.83 | 18.89 | 16.34 | 17.51 | 21.56 | 20.75 | 23.74 | 22.69 | — | — | — | — | ||||||
| Take-Two Interactive Software Inc. | 2.60 | 2.01 | 1.66 | 2.08 | 3.74 | 5.42 | 6.41 | 5.15 | 6.23 | 7.31 | 6.95 | 7.66 | 6.31 | 5.32 | 6.08 | 6.76 | — | — | — | — | ||||||
| Walt Disney Co. | 1.74 | 1.64 | 1.89 | 2.12 | 1.82 | 2.22 | 2.11 | 2.98 | 3.11 | 3.76 | 3.79 | 4.12 | 3.23 | 2.47 | 2.02 | 2.91 | 2.98 | 2.82 | 2.70 | 3.34 | ||||||
Based on: 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2023 Calculation
BVPS = Total Charter shareholders’ equity ÷ No. shares of common stock outstanding
= 11,086,000,000 ÷ 145,225,459 = 76.34
3 Closing price as at the filing date of Charter Communications Inc. Quarterly or Annual Report.
4 Q4 2023 Calculation
P/BV ratio = Share price ÷ BVPS
= 319.21 ÷ 76.34 = 4.18
5 Click competitor name to see calculations.
- Share Price Trend
- The share price exhibited a general upward movement from March 31, 2019, at $371.19, peaking at $744.05 on June 30, 2021. Following this peak, a downward trend is observed, with the price declining to $319.21 by December 31, 2023. This pattern indicates significant growth up to mid-2021, followed by a notable decrease over the subsequent years.
- Book Value Per Share (BVPS) Trend
- BVPS showed a consistent decline from $159.95 on March 31, 2019, reaching a low of $57.10 on September 30, 2022. From this point, a modest recovery occurred, rising to $76.34 by December 31, 2023. Overall, BVPS decreased substantially over the full period, indicating a reduction in net asset value per share that partially reversed in late 2022 and 2023.
- Price-to-Book Value (P/BV) Ratio Trend
- The P/BV ratio increased steadily from 2.32 in March 2019 to a peak of 7.26 in December 2021, suggesting that the market price significantly exceeded the book value at the peak. After December 2021, the ratio declined to 4.18 by December 2023. This rise and subsequent fall reflect the combined effects of rising share prices relative to declining BVPS and then a decrease in share price with a slight rebound in BVPS.
- Overall Insights
- The data illustrate a period of strong market confidence in the company until mid-2021, as evidenced by the increasing share price and rising P/BV ratio despite declining book value per share. The subsequent decline in share price and P/BV ratio likely reflects reduced market optimism or changing company fundamentals, while the slight recovery in BVPS towards the end of the period may indicate stabilization or improvement in the company's underlying net asset value.