BofA Lowers Charter (CHTR) PT to $440 After Q2 Miss, Cites Expected Broadband Rebound

Charter Communications Inc. (NASDAQ:CHTR) is one of the most profitable value stocks to buy according to analysts. On July 28, BofA lowered its price target on Charter to $440 from $500 but maintained a Buy rating on the shares. The adjustment followed the company’s Q2 2025 results, which were lower than forecasts. BofA anticipates that broadband trends will improve year-over-year in H2 2025 and into 2026.

In Q2 2025, the company reported a 0.6% year-over-year increase in revenue, which reached $13.8 billion, while Adjusted EBITDA grew by 0.5% to $5.7 billion. Despite this modest growth, the stock experienced a significant decline, falling over 30% in the days following the release on July 25, as the earnings per share of $9.18 fell short of the $10.05 consensus estimate.

In the mobile segment, Charter added 500,000 Spectrum Mobile lines in Q2, which contributed to a growth of ~25% over the last 12 months. However, the company continued to face challenges in its core broadband business and lost 117,000 Internet customers in the quarter.

Charter Communications Inc. (NASDAQ:CHTR) is a broadband connectivity and cable operator company serving residential and commercial customers in the US.

While we acknowledge the potential of CHTR as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.