Charter Communications, Inc. — Earnings Quality Grade F
CHTR · Communication Services
Major red flags
Screening Summary
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 25 days, change +4 days YoY
AR outpaced revenue for 2 consecutive years
Revenue -0.6%, CFFO 11.4%. Cash follows revenue
Expense Quality
No material inventory
CapEx growth 3.5% vs revenue -0.6%. Normal
SG&A/Gross Profit = 14.4%, excellent (<30%)
Gross margin 56.5%, change +0.7pp. Stable
Cash Flow Quality
CFFO/NI = 3.22. Profits backed by cash
FCF $4.4B, FCF/NI = 0.89
Accruals ratio = -7.2%. Low accruals
Cash $0.5B covers only 0% of debt $97.1B
Balance Sheet Health
Goodwill+Intangibles $97.6B = 608% of equity. Over 50%
Debt/EBITDA = 4.6x (>4x). Financial stress
Other assets 5.1% vs revenue -0.6%. Normal
No write-off data
Acquisition Risk
FCF after acquisitions positive
Goodwill+Intangibles change -0% YoY. Normal
Manipulation Score
M-Score = -2.66 (< -2.22). Unlikely manipulator
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-08