We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
What's in Store for Charter Communications' (CHTR) Q4 Earnings?
Read MoreHide Full Article
Charter Communications (CHTR - Free Report) is set to report fourth-quarter 2021 results on Jan 28.
The Zacks Consensus Estimate for fourth-quarter 2021 revenues is pegged at $13.25 billion, indicating a 4.97% increase from the year-ago quarter’s reported figure.
The consensus mark for earnings has moved down 0.4% to $6.91 in the past 30 days, suggesting growth of 25.64% from the figure reported in the year-ago quarter.
Charter’s earnings beat the Zacks Consensus Estimate in three of the last four quarters and missed the same in one. CHTR has trailing four-quarter earnings surprise of 7.6%, on average.
Charter Communications, Inc. Price and EPS Surprise
Charter’s top line in the to-be-reported quarter is expected to have benefited from increased number of Internet subscribers fueled by work-from-home and learn-from-home trends and a spike in media consumption.
Charter Communications’ Spectrum Networks announced that Spectrum News witnessed year-over-year growth in December, solidifying its rank as the most-watched news network. The network averaged more than 2.6 million daily viewing households across its 11 metered markets on its linear and digital platforms
Spectrum News witnessed year-over-year growth in October, where customers averaged more than 2.5 million daily viewing households across all linear and digital platforms in its 11 metered markets.
In the to-be-reported quarter, Charter Spectrum Networks announced the launch of Spectrum News in Hawaii. The channel will bring its local reporting and community-based journalism to the Internet and video consumers via the Spectrum News app. The launch is expected to increase the company’s customer base.
The Zacks Consensus Estimate for Residential-Internet revenues is pegged at $5.42 billion, indicating 11.4% growth from the figure reported in the year-ago quarter. The consensus mark for Residential-Internet subscribers is pegged at 28.16 million, suggesting 4.2% year-over-year subscriber growth.
On Oct 4, Charter Communications announced that Spectrum News cemented its place as the most-watched news network by Spectrum customers in September. The network averaged more than 2.7 million daily viewing households, up 12% year over year across all linear and digital platforms in its 10-state footprint.
As of Sep 30, Charter Communications had 29.8 million residential customer relationships, up 3.2% year over year.
The company had 27.9 million residential Internet customers, up 4.3% year over year in third-quarter 2021. Internet revenues rose 13.6% year over year to $5.4 billion, driven by growth in Internet customers, promotional rate step-ups, rate adjustments and higher bundled revenue allocation. The trend is likely to have continued in the to-be-reported quarter.
Charter Communication’s expanding mobile subscriber base is also a key catalyst. The consensus mark for fourth-quarter mobile revenues is at $606 million, indicating a surge of 41.6% from the figure reported in the year-ago quarter.
In December, the company announced that it is offering NBCUniversal’s over-the-top video streaming service — Peacock Premium — for free to Spectrum service customers.
Per the deal with NBCUniversal, a Comcast (CMCSA - Free Report) subsidiary, Charter will provide 12 months of free Peacock Premium services to the Spectrum TV subscribers and three months to the Spectrum Internet subscribers.
The new deal will provide Charter’s Spectrum TV and Internet customers greater access to thousands of hit, binge-worthy movies and shows like The Office, Two and a Half Men, and the Harry Potter film series. It would also enable live news and sports like Premier League and Olympics from the Comcast subsidiary — NBCUniversal — and other sources for the customers.
The Zacks Consensus Estimate for Residential Video revenues is pegged at $4.45 billion, indicating growth of 0.8% from the figure reported in the year-ago quarter.
However, Charter has been suffering due to video-subscriber attrition stemming from cord-cutting and stiff competition from Netflix, Disney+ and Amazon prime video.
Small and medium-sized businesses have been the worst hit during the pandemic. Charter’s substantial exposure (roughly 2 million customers) to this cohort is expected to have dented the company’s advertising revenue growth in the to-be-reported quarter.
The Zacks Consensus Estimate for advertising sales is pegged at $453 million, calling for a 27.5% decline from the figure reported in the year-ago quarter.
What Our Model Says
Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
Charter has an Earnings ESP of -1.28% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are some companies worth considering as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases:
Electronic Arts (EA - Free Report) has an Earnings ESP of +5.23% and a Zacks Rank #2. The company is set to announce third-quarter fiscal 2022 results on Feb 2.
EA is down 7.6% in the past year against the Zacks Toys - Games - Hobbies industry’s decline of 10% and the Consumer Discretionary sector’s plunge of 20.1%.
Image: Bigstock
What's in Store for Charter Communications' (CHTR) Q4 Earnings?
Charter Communications (CHTR - Free Report) is set to report fourth-quarter 2021 results on Jan 28.
The Zacks Consensus Estimate for fourth-quarter 2021 revenues is pegged at $13.25 billion, indicating a 4.97% increase from the year-ago quarter’s reported figure.
The consensus mark for earnings has moved down 0.4% to $6.91 in the past 30 days, suggesting growth of 25.64% from the figure reported in the year-ago quarter.
Charter’s earnings beat the Zacks Consensus Estimate in three of the last four quarters and missed the same in one. CHTR has trailing four-quarter earnings surprise of 7.6%, on average.
Charter Communications, Inc. Price and EPS Surprise
Charter Communications, Inc. price-eps-surprise | Charter Communications, Inc. Quote
Factors to Consider
Charter’s top line in the to-be-reported quarter is expected to have benefited from increased number of Internet subscribers fueled by work-from-home and learn-from-home trends and a spike in media consumption.
Charter Communications’ Spectrum Networks announced that Spectrum News witnessed year-over-year growth in December, solidifying its rank as the most-watched news network. The network averaged more than 2.6 million daily viewing households across its 11 metered markets on its linear and digital platforms
Spectrum News witnessed year-over-year growth in October, where customers averaged more than 2.5 million daily viewing households across all linear and digital platforms in its 11 metered markets.
In the to-be-reported quarter, Charter Spectrum Networks announced the launch of Spectrum News in Hawaii. The channel will bring its local reporting and community-based journalism to the Internet and video consumers via the Spectrum News app. The launch is expected to increase the company’s customer base.
The Zacks Consensus Estimate for Residential-Internet revenues is pegged at $5.42 billion, indicating 11.4% growth from the figure reported in the year-ago quarter. The consensus mark for Residential-Internet subscribers is pegged at 28.16 million, suggesting 4.2% year-over-year subscriber growth.
On Oct 4, Charter Communications announced that Spectrum News cemented its place as the most-watched news network by Spectrum customers in September. The network averaged more than 2.7 million daily viewing households, up 12% year over year across all linear and digital platforms in its 10-state footprint.
As of Sep 30, Charter Communications had 29.8 million residential customer relationships, up 3.2% year over year.
The company had 27.9 million residential Internet customers, up 4.3% year over year in third-quarter 2021. Internet revenues rose 13.6% year over year to $5.4 billion, driven by growth in Internet customers, promotional rate step-ups, rate adjustments and higher bundled revenue allocation. The trend is likely to have continued in the to-be-reported quarter.
Charter Communication’s expanding mobile subscriber base is also a key catalyst. The consensus mark for fourth-quarter mobile revenues is at $606 million, indicating a surge of 41.6% from the figure reported in the year-ago quarter.
In December, the company announced that it is offering NBCUniversal’s over-the-top video streaming service — Peacock Premium — for free to Spectrum service customers.
Per the deal with NBCUniversal, a Comcast (CMCSA - Free Report) subsidiary, Charter will provide 12 months of free Peacock Premium services to the Spectrum TV subscribers and three months to the Spectrum Internet subscribers.
The new deal will provide Charter’s Spectrum TV and Internet customers greater access to thousands of hit, binge-worthy movies and shows like The Office, Two and a Half Men, and the Harry Potter film series. It would also enable live news and sports like Premier League and Olympics from the Comcast subsidiary — NBCUniversal — and other sources for the customers.
The Zacks Consensus Estimate for Residential Video revenues is pegged at $4.45 billion, indicating growth of 0.8% from the figure reported in the year-ago quarter.
However, Charter has been suffering due to video-subscriber attrition stemming from cord-cutting and stiff competition from Netflix, Disney+ and Amazon prime video.
Small and medium-sized businesses have been the worst hit during the pandemic. Charter’s substantial exposure (roughly 2 million customers) to this cohort is expected to have dented the company’s advertising revenue growth in the to-be-reported quarter.
The Zacks Consensus Estimate for advertising sales is pegged at $453 million, calling for a 27.5% decline from the figure reported in the year-ago quarter.
What Our Model Says
Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
Charter has an Earnings ESP of -1.28% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are some companies worth considering as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases:
Gildan Activewear (GIL - Free Report) has an Earnings ESP of +9.57% and a Zacks Rank #2. The company is set to announce fourth-quarter 2021 results on Feb 23. You can see the complete list of today’s Zacks #1 Rank stocks here.
GIL is up 49.9% in the past year against the Zacks Textile – Apparel industry’s decline of 4.1% and the Consumer Discretionary sector’s fall of 20.1%.
Electronic Arts (EA - Free Report) has an Earnings ESP of +5.23% and a Zacks Rank #2. The company is set to announce third-quarter fiscal 2022 results on Feb 2.
EA is down 7.6% in the past year against the Zacks Toys - Games - Hobbies industry’s decline of 10% and the Consumer Discretionary sector’s plunge of 20.1%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.