Insider Selling: Liberty Broadband Corp Unloads $100.00M Of Charter Communications Stock

Liberty Broadband Corp, Board Member at Charter Communications (NASDAQ:CHTR), reported an insider sell on December 11, according to a new SEC filing.

What Happened: After conducting a thorough analysis, Corp sold 481,371 shares of Charter Communications. This information was disclosed in a Form 4 filing with the U.S. Securities and Exchange Commission on Thursday. The total transaction value is $100,000,011.

During Friday's morning session, Charter Communications shares down by 0.0%, currently priced at $212.06.

Discovering Charter Communications: A Closer Look

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 revenue growth over a period of 3 months has faced challenges. As of 30 September, 2025, the company experienced a revenue decline of approximately -0.89%. This indicates a decrease in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Communication Services sector.

Insights into Profitability:

  • Gross Margin: With a low gross margin of 40.67%, the company exhibits below-average profitability, signaling potential struggles in cost efficiency compared to its industry peers.

  • Earnings per Share (EPS): The company excels with an EPS that surpasses the industry average. With a current EPS of 8.5, Charter Communications showcases strong earnings per share.

Debt Management: Charter Communications's debt-to-equity ratio surpasses industry norms, standing at 6.33. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

Insights into Valuation Metrics:

  • Price to Earnings (P/E) Ratio: With a higher-than-average P/E ratio of 5.88, Charter Communications's stock is perceived as being overvalued in the market.

  • Price to Sales (P/S) Ratio: The current P/S ratio of 0.55 is below industry norms, suggesting potential undervaluation and presenting an investment opportunity for those considering sales performance.

  • EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): A high EV/EBITDA ratio of 5.83 reflects market recognition of Charter Communications's value, positioning it as more highly valued compared to industry peers.

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

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Why Insider Activity Matters in Finance

Insider transactions shouldn't be used primarily to make an investing decision, however an insider transaction can be an important factor in the investing decision.

From a legal standpoint, the term "insider" pertains to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities as outlined in Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and significant hedge funds. These insiders are mandated to inform the public of their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

A company insider's new purchase is a indicator of their positive anticipation for a rise in the stock.

While insider sells may not necessarily reflect a bearish view and can be motivated by various factors.

Breaking Down the Significance of Transaction Codes

When it comes to transactions, investors tend to focus on those in the open market, detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S indicates 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.

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