1-Star Stocks Poised to Plunge: Charter Communications?

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Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, cable TV provider Charter Communications (NAS: CHTR) has received the dreaded one-star ranking.

With that in mind, let's take a closer look at Charter's business and see what CAPS investors are saying about the stock right now.

Charterfacts

Headquarters (founded)St. Louis (1999)
Market Cap$7.8 billion
IndustryCable and satellite
Trailing-12-Month Revenue$7.4 billion
ManagementCEO Thomas Rutledge (since February 2012)
CFO Christopher Winfrey (since November 2011)
Return on Equity (average, past 3 years)5%
Cash/Debt$5.0 million / $12.9 billion
CompetitorsComcast
Cox Communications
Time Warner Cable

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 58% of the 12 members who have rated Charter believe the stock will underperform the S&P 500 going forward.

Just last week, one of those Fools, All-Star jwray01, succinctly summed up the Charter bear case for our community:

Consistently losing money, book value is ~0, and tangible book is around negative 8B. It's headed for yet another bankruptcy. Cable is obsolete and more and more people are cutting the cord, while the valuation of this stock is still in a bubble.

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The article 1-Star Stocks Poised to Plunge: Charter Communications? originally appeared on Fool.com.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

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