Insider Transaction: Liberty Broadband Corp Sells $100.00M Worth Of Charter Communications Shares

On October 14, a recent SEC filing unveiled that Liberty Broadband Corp, Director at Charter Communications (NASDAQ:CHTR) made an insider sell.

What Happened: A Form 4 filing from the U.S. Securities and Exchange Commission on Tuesday showed that Corp sold 378,373 shares of Charter Communications. The total transaction amounted to $100,000,200.

The latest market snapshot at Wednesday morning reveals Charter Communications shares up by 0.15%, trading at $266.66.

About Charter Communications

Charter is the product of the 2016 merger of three cable companies, each with a decades-long history in the business: Legacy Charter, Time Warner Cable, and Bright House Networks. The firm now holds networks capable of providing television, internet access, and phone services to roughly 58 million US homes and businesses, around 35% of the country. Across this footprint, Charter serves 29 million residential and 2 million commercial customer accounts under the Spectrum brand, making it the second-largest US cable company behind Comcast. The firm also owns, in whole or in part, sports and news networks, including Spectrum SportsNet (Los Angeles Lakers), SportsNet LA (Los Angeles Dodgers), SportsNet New York (New York Mets), and Spectrum News NY1. Charter plans to acquire cable peer Cox.

Understanding the Numbers: Charter Communications's Finances

Revenue Growth: Charter Communications's remarkable performance in 3 months is evident. As of 30 June, 2025, the company achieved an impressive revenue growth rate of 0.59%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Communication Services sector.

Insights into Profitability:

• Gross Margin: The company shows a low gross margin of 49.54%, indicating concerns regarding cost management and overall profitability relative to its industry counterparts.

• Earnings per Share (EPS): Charter Communications's EPS outshines the industry average, indicating a strong bottom-line trend with a current EPS of 9.41.

Debt Management: Charter Communications's debt-to-equity ratio surpasses industry norms, standing at 5.94. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

Valuation Overview:

• Price to Earnings (P/E) Ratio: Charter Communications's current Price to Earnings (P/E) ratio of 7.29 is higher than the industry average, indicating that the stock may be overvalued according to market sentiment.

• Price to Sales (P/S) Ratio: The P/S ratio of 0.69 is lower than the industry average, implying a discounted valuation for Charter Communications's stock in relation to sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Boasting an EV/EBITDA ratio of 6.16, Charter Communications demonstrates a robust market valuation, outperforming industry benchmarks.

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

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Uncovering the Importance of Insider Activity

Investors should view insider transactions as part of a multifaceted analysis and not rely solely on them for decision-making.

Exploring the legal landscape, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated by Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and major hedge funds. These insiders are required to report their transactions through a Form 4 filing, which must be submitted within two business days of the transaction.

Highlighted by a company insider's new purchase, there's a positive anticipation for the stock to rise.

But, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.

Deciphering Transaction Codes in Insider Filings

In the domain of transactions, investors frequently turn their focus to those taking place in the open market, as meticulously outlined in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Charter Communications's Insider Trades.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.