Charter Communications Analysts Increase Their Forecasts After Upbeat Q2 Earnings

Financial Performance - Charter Communications reported fiscal second-quarter 2024 revenue growth of 0.2% year-on-year to $13.69 billion, exceeding the analyst consensus estimate of $13.59 billion [1] - The company achieved an EPS of $8.49, surpassing the analyst consensus estimate of $7.95 [1] Customer Metrics - Charter lost 154,000 residential Internet customers, primarily due to the end of the FCC's Affordable Connectivity Program subsidies, compared to a gain of 70,000 customers in the previous year [2] - Residential video customers decreased by 393,000, a larger decline than the 189,000 decrease reported in the prior year [2] Future Outlook - Charter Communications expects a 2024 capital expenditure (capex) of $12.0 billion, revised down from a previous estimate of $12.2 billion to $12.4 billion [2] - The company's 2024 revenue and EPS consensus estimates are $54.52 billion and $32.53, respectively [2] Stock Performance - Following the financial results announcement, Charter Communications shares gained 16.6%, closing at $367.62 [3] Analyst Ratings - Pivotal Research analyst Jeffrey Wlodarczak maintained a Buy rating on Charter Communications, raising the price target from $400 to $435 [4] - Rosenblatt analyst Barton Crockett maintained a Neutral rating, increasing the price target from $292 to $329 [4] - B of A Securities analyst Jessica Ehrlich also maintained a Neutral rating, boosting the price target from $360 to $385 [4]