Charter price target lowered to $541 from $551 at Credit Suisse

Credit Suisse analyst Douglas Mitchelson lowered the firm’s price target on Charter to $541 from $551 and keeps an Outperform rating on the shares. As expected, Charter’s Analyst Event was predominately focused on a material increase in capex for plant expansion, mainly rural builds, and its "network evolution" path to its high-split / DOCSIS4.0 future. However, spending is accelerated well beyond the analyst’s above-Street estimates, with the update increasing his capex estimates and accordingly lowering Charter’s free cash flow outlook for at least the next few years.