Charter Comm upgraded to Outperform at Telsey Advisory Group; tgt raised to $450
Telsey Advisory Group upgrades CHTR to Outperform from Market Perform and raises their tgt to $450 from $340. With Telecom and Cable battling for strategic leverage for the next five years of media and communications firm expects continued consolidation will occur within and of cable operators. While S has made soft gestures at cable in an effort to test the waters and improve its positioning, firm expects ATUS has the edge in consolidating cable. It trades at a lofty EBITDA multiple and generates DD EBITDA growth. Also, they expect Liberty Media (LBTYA) and John Malone would prefer to be aligned with ATUS more than S. So, ATUS becomes the white knight. The next question is, who or what will be Mr Malone's new target.