Heres Why Charter Communications (NASDAQCHTR) Is Weighed Down By Its Debt Load
News Source : Yahoo Entertainment
News Summary
- Charter Communications, Inc. (NASDAQ:CHTR) does have debt on its balance sheet.
- The real question is whether this debt is making the company risky.
- In the last three years, Charter Communications's free cash flow amounted to 29% of its EBIT, less than we'd expect.
- Charter Communications would probably need a major re-capitalization if its creditors were to demand repayment.
- So we're almost as wary of this stock as a hungry kitten is about falling into its owner's pond.
Warren Buffett famously said, Volatility is far from synonymous with risk. So it might be obvious that you need to consider debt, when you think about how risky any given stock is, because too much [+5190 chars]
Never miss a story from us, subscribe to our newsletter