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Charter Communications (CHTR) is a Top-Ranked Value Stock: Should You Buy?

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It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.

Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.

Why Investors Should Pay Attention to This Value Stock

Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks.

Charter Communications (CHTR)

Charter Communications is the second largest cable operator in the United States and a leading broadband communications company providing video, Internet and voice services. The company served approximately 32.1 million residential and small and medium business customers as of Dec 31, 2021.

CHTR boasts a Value Style Score of A and VGM Score of A, and holds a Zacks Rank #3 (Hold) rating. Shares of Charter Communications are trading at a forward earnings multiple of 16.7X, as well as a PEG Ratio of 0.5, a Price/Cash Flow ratio of 6.1X, and a Price/Sales ratio of 1.6X.

Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Six analysts revised their earnings estimate upwards in the last 60 days for fiscal 2022. The Zacks Consensus Estimate has increased $0.31 to $29.63 per share. CHTR has an average earnings surprise of 15.1%.

Investors should take the time to consider CHTR for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.


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