Filing Flows › Companies › Charter Communications › Earnings quality
Charter Communications earnings quality score
How much of the reported profit is backed by cash, and how many markers of managed earnings the filings show
Score66 / 100 · grade B · rank 501 of 1027
Charter Communications (CHTR) scores 66 of 100 for earnings quality, grade B: rank 501 of 1027 companies and 15 of 30 in communication. It loses the most points on Montier C-score 2 of 4 checks failed, accruals of -7.3% of assets, lower than 74% of companies (profit backed by cash), discretionary accruals of -3.3% of assets (modified Jones), larger than most. It earns full or near-full marks for adjusted earnings 4% above GAAP, Dechow F-score 1.13 (above normal).
What earned and lost points
| Component | What the filings show | Points | Of |
|---|---|---|---|
| Accruals | accruals of -7.3% of assets, lower than 74% of companies (profit backed by cash) | 20 | 27 |
| Dechow F-score | Dechow F-score 1.13 (above normal) | 18 | 20 |
| Montier C-score | Montier C-score 2 of 4 checks failed | 10 | 20 |
| Discretionary accruals | discretionary accruals of -3.3% of assets (modified Jones), larger than most | 6 | 13 |
| Non-GAAP gap | adjusted earnings 4% above GAAP | 11 | 13 |
| Earnings smoothness | profit far steadier than cash flow (smoothness 0.24) | 1 | 7 |
How the score is built
Eight published measures, each scored against the whole universe or on its own scale and weighted: accruals 20, discretionary accruals 10, Beneish M 15, Dechow F 15, Montier C 15, Piotroski F 10, the non-GAAP gap 10, smoothness 5. A measure that cannot be computed (Beneish for a bank, say) drops out and the rest is rescaled, so every company is scored on what applies to it.
Every company ranked → The full quality workbench, live → Charter Communications: cash flow →
Computed from the companies’ own XBRL filings (latest fiscal year) by published formulas; a statistical screen, not an audit or an accusation. A low score means the reported profit shows more of the markers of managed or low-quality earnings than its peers. Not investment advice.