Charter Communications (CHTR) Surges on Merger Approval, Reddit Eyes Rerate

The California Public Utilities Commission (CPUC) approved Charter Communications' merger with Cox Communications in a 5-0 vote, clearing one of the last major regulatory hurdles.
Reddit traders on r/wallstreetbets highlighted
$CHTR's low P/E of 3.9 and potential for a rerate, despite concerns about high debt and declining broadband subscribers.
With 83% institutional ownership and ~32% of the float shorted, some traders expect increased volume and price movement as the merger closes.

On August 13, 2026,

$CHTR became a focal point on r/wallstreetbets after the California Public Utilities Commission voted unanimously to approve the company's long-pending merger with Cox Communications. The stock, which has fallen roughly 80% from its all-time high, saw a surge in discussion as traders weighed the implications of the deal and the potential for a fundamental revaluation.

Merger Approval Drives Discussion

The CPUC's 5-0 vote on August 13 marked one of the final regulatory steps needed for the Charter-Cox merger, following prior FCC approval. The combined entity is expected to become the largest broadband and cable provider in the United States, with roughly 38 million subscribers, surpassing Comcast. Reddit users noted that the merger has been in regulatory limbo for so long that

$CHTR shares declined from around $400 to $150 since the deal was originally announced, creating a potential value opportunity if the merger closes successfully.

CHTR

Reddit Sentiment and Thesis

On r/wallstreetbets, a detailed analysis of

$CHTR argued that the stock's low P/E of 3.9 at the current price of roughly $150 presents a compelling rerate opportunity, especially if the merger with Cox closes. The author acknowledged risks including high debt and declining broadband subscribers but revealed a long position. Another post noted that with 83% of shares held by institutions and approximately 32% of the remaining float shorted, the merger approval could trigger significant volume and price appreciation as shorts cover and new buyers enter.

The overall sentiment on r/wallstreetbets toward

$CHTR was moderately positive, with an average sentiment score of 0.68 across related posts. The merger approval appears to have catalyzed a fresh wave of interest in a stock that had been largely ignored during its long decline.

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