GET DAILY SIGNALSCharter Communications (CHTR, $49.59) Earnings Expectations on Friday, April 28: A Technical Analysis
Charter Communications (NASDAQ: CHTR), one of the largest cable and telecommunications companies in the United States, is set to announce its quarterly earnings results on Friday, April 28. As investors eagerly await the release of the company's financial performance, technical analysts have observed some key indicators that could shed light on the stock's near-term trajectory. One such indicator, the Moving Average Convergence Divergence Histogram (MACD), recently turned negative for CHTR, which could be a bearish signal for the stock. In this article, we'll dive into the technical analysis of Charter Communications and examine the potential implications of the MACD's bearish signal.
MACD Histogram Turns Negative:
On April 20, 2023, CHTR's MACD Histogram turned negative, a technical indicator that suggests potential weakness in the stock's price. The MACD is a popular momentum indicator that tracks the relationship between two moving averages – the 12-day exponential moving average (EMA) and the 26-day EMA. When the MACD Histogram turns negative, it indicates that the 12-day EMA has crossed below the 26-day EMA, signaling a potential downward trend.
To better understand the significance of the MACD's bearish signal for CHTR, we can turn to Tickeron's A.I.dvisor, which analyzed 45 instances in which the indicator turned negative. In 27 of those cases, the stock moved lower in the days that followed, translating to a 60% probability of a downward move. While this historical analysis does not assure that CHTR's stock price will decline following the negative MACD signal, it does provide investors with insight into the potential odds of such a move.
As we approach Charter Communications' earnings announcement, it's essential to keep in mind that the MACD is just one technical indicator among many that can help investors gauge the stock's momentum. Other factors, such as company fundamentals, industry trends, and broader market conditions, should also be considered when evaluating the stock's potential direction.
For instance, investors should pay attention to Charter Communications' revenue growth, subscriber additions, and the impact of the ongoing shift towards streaming services on its traditional cable business. Additionally, the competitive landscape in the telecommunications industry and any regulatory developments could also play a role in shaping CHTR's future performance.
As Charter Communications prepares to release its earnings results on April 28, the recent bearish signal from the MACD Histogram suggests that the stock could be facing near-term headwinds. According to Tickeron's A.I.dvisor, there is a 60% chance that the stock will move lower based on historical instances. However, investors should not solely rely on this technical indicator and should consider other factors, including the company's fundamentals and industry trends, when making their investment decisions.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
Momentum Indicator for CHTR turns positive, indicating new upward trend
CHTR saw its Momentum Indicator move above the 0 level on October 30, 2026. This is an indication that the stock could be shifting in to a new upward move. Traders may want to consider buying the stock or buying call options. Tickeron's A.I.dvisor looked at 81 similar instances where the indicator turned positive. In 50 of the 81 cases, the stock moved higher in the following days. The odds of a move higher are at 62%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where CHTR's RSI Indicator exited the oversold zone, 22 of 36 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 61%.
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. 34 of 58 cases where CHTR's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 59%.
The Moving Average Convergence Divergence (MACD) for CHTR just turned positive on October 13, 2026. Looking at past instances where CHTR's MACD turned positive, the stock continued to rise in 24 of 40 cases over the following month. The odds of a continued upward trend are 60%.
Following a +5.79% 3-day Advance, the price is estimated to grow further. Considering data from situations where CHTR advanced for three days, in 176 of 294 cases, the price rose further within the following month. The odds of a continued upward trend are 60%.
Bearish Trend Analysis
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CHTR declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 75%.
The Aroon Indicator for CHTR entered a downward trend on October 30, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is 34 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 57 (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.753) is normal, around the industry mean (2.038). P/E Ratio (2.866) is within average values for comparable stocks, (-4.279). Projected Growth (PEG Ratio) (0.631) is also within normal values, averaging (8.005). Dividend Yield (0.000) settles around the average of (0.121) among similar stocks. P/S Ratio (0.318) is also within normal values, averaging (5.777).
The Tickeron Price Growth Rating for this company is 65 (best 1 - 100 worst), indicating fairly steady price growth. CHTR’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 90 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. CHTR’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 83, placing this stock worse than average.
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General Information
a provider of broadband communications services
Industry MajorTelecommunications
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