CHTR - Charter Communications, Inc.

Charter Communications operates Spectrum-branded cable TV, internet, and mobile services delivered over its hybrid fiber-coaxial network across 41 U.S. states. The business model is direct-to-consumer and small-business subscription, with residential broadband as the primary revenue driver, supplemented by Spectrum Mobile (MVNO on Verizon's network) and commercial services. Charter generates approximately $55B in annual revenue, exclusively in the United States, making it the second-largest cable operator in the country by subscriber count behind Comcast. The company serves roughly 32 million customer relationships, with internet subscribers accounting for the largest and most stable segment as video cord-cutting accelerates.

Past Year Trends

• Charter lost 455,000 net internet subscribers over the 12 months ending Q1 2026, with Q1 2026 alone shedding 120,000 broadband customers — worse than the ~72,000 lost in Q1 2025 — as fiber overbuilders and fixed-wireless competitors intensified pressure on its core cable internet base. (Bearish)
• Spectrum Mobile reached 12.1 million lines by Q1 2026, adding over 1.8 million lines in the prior four quarters at revenue growth rates of 13–19% YoY, making it Charter's only meaningfully growing segment and partially offsetting broadband and video revenue declines. (Bullish)
• Charter announced and received FCC approval (February 27, 2026) for its $34.5 billion acquisition of Cox Communications, the largest U.S. cable deal in years, which will add roughly 6.5 million Cox subscribers and combine the two largest private cable operators under the Spectrum consumer brand. (Bullish)

Next Year Trends

• The California Public Utilities Commission must approve the Cox merger by approximately July 16, 2026 to meet the September 15, 2026 federal HSR antitrust deadline; a delay or denial by the CPUC would block or materially restructure the deal, preventing Charter from realizing the $500M+ projected cost synergies and leaving it with elevated standalone leverage near 4.5x EBITDA. (Bearish)
• Charter's DOCSIS network evolution upgrade — targeting symmetrical multi-gigabit speeds across 50% of its footprint by 2027 at roughly $100 per home passed — is behind its original end-of-2025 schedule and now pushed to 2027, meaning Charter will face continued competitive disadvantage against fiber overbuilders like AT&T Fiber and post-merger Verizon-Frontier in overlapping markets during 2026. (Bearish)
• Spectrum Mobile's bundled 'Invincible WiFi' product (launched February 2026, featuring WiFi 7 with integrated 5G failover and a $1,000 first-year savings guarantee versus Verizon/AT&T/T-Mobile) is Charter's primary lever to stem broadband churn, and its success in converting wireless subscribers to bundled internet customers will determine whether broadband net losses reverse in 2026. (Bullish)

Red Flags

No severe red flags identified as of August 2025.