Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment **** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Charter Communications, Inc. (NASDAQ:CHTR). Charter Communications, Inc. (NASDAQ:CHTR) operates as a broadband connectivity company in the United States. On August 19 2026, Charter Communications, Inc. (NASDAQ:CHTR) closed at $152.47 per share. One-month return of Charter Communications, Inc. (NASDAQ:CHTR) was 20.53% and its shares lost -43.10% over the past 52 weeks. Charter Communications, Inc. (NASDAQ:CHTR) has a market capitalization of $19.85 billion with a 52-week trading range between $111.55 - $285.82.
Eagle Capital Management stated the following regarding Charter Communications, Inc. (NASDAQ:CHTR) in its Q2 2026 investor letter:
"Charter Communications will become the largest cable operator in the U.S. when its acquisition of **** closes. Cable has been a disappointing area, with heavy competitive pressure and minimal growth. We see Charter equity as a cheaply priced option. 80% of the capital structure is low-cost long-term debt. With a free cash flow yield that will exceed 30% in a couple of years, the company is enormously liquid and can both de-lever and return cash to shareholders. In time, we expect the company to be consolidated by Comcast, a telco, or even a non-traditional buyer. The equity could be up by a multiple in certain scenarios. We expect EPS growth of approximately 20% for this group of companies over the coming years."
#charter
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Charter Communications, Inc. (NASDAQ:CHTR). Charter Communications, Inc. (NASDAQ:CHTR) operates as a broadband connectivity company in the United States. On August 19 2026, Charter Communications, Inc. (NASDAQ:CHTR) closed at $152.47 per share. One-month return of Charter Communications, Inc. (NASDAQ:CHTR) was 20.53% and its shares lost -43.10% over the past 52 weeks. Charter Communications, Inc. (NASDAQ:CHTR) has a market capitalization of $19.85 billion with a 52-week trading range between $111.55 - $285.82.
Eagle Capital Management stated the following regarding Charter Communications, Inc. (NASDAQ:CHTR) in its Q2 2026 investor letter:
"Charter Communications will become the largest cable operator in the U.S. when its acquisition of **** closes. Cable has been a disappointing area, with heavy competitive pressure and minimal growth. We see Charter equity as a cheaply priced option. 80% of the capital structure is low-cost long-term debt. With a free cash flow yield that will exceed 30% in a couple of years, the company is enormously liquid and can both de-lever and return cash to shareholders. In time, we expect the company to be consolidated by Comcast, a telco, or even a non-traditional buyer. The equity could be up by a multiple in certain scenarios. We expect EPS growth of approximately 20% for this group of companies over the coming years."
#charter
2 hours ago
