Charter Earnings: Market Relief May Be Premature, There Were Some Red Flags
- Charter's earnings report showed much lower ACP broadband losses than expected, hence the 12% market rally.
- ACP losses may not end in Q4 as management projects.
- Spectrum Mobile showed continued strength and may become even more profitable than expected.
- Charter's new Video strategy has potential, but today management disclosed yet another unforced error in the transition.
- Without meaningful reductions in Video content spending, which are not on current track, Charter's Video reboot may die stillborn.
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Charter (NASDAQ:CHTR) reported its Q3 earnings today before market open, and the market has reacted very positively, bidding the stock up 12% at market close.
Ordinarily, when it comes to large companies like Charter, I prefer to write deep dives on one
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