Penny Stock Pick - CHTR

The penny stock of the day is Charter Communications(CHTR), the St. Louis, MO based cable and broadband service provider. On Tuesday the tv operator posted rising fourth quarter revenue of $1.3 billion citing increase in digital video customers. This is an encouraging news as it has been one of the weakest performing cable companies.

Technical
Looking at the technical chart, the stock looks somewhat weak as MACD is below 0 and KD is pointing downwards. The stock is trading around 50 day moving average and 200 day moving average as both moving average are tangling with each other. As the moving average indicates, the stock is on a neutral zone and a spike or plunge would defines the trend for the next few months.

Insider
Some top executives such as vice president, director, secretary and CEO have been acquiring shares for the past few months showing the management is bullish of the company's outlook. Institution has also added addition 22 million shares also indicating plus sign for the company.

Financial
From the financial statements the company has consecutive annual revenue growth yet got hit with huge income loss. The balance sheet shows the company actually has more liabilities than assets. In simple words, the company owe more money than it can afford even if it sells everything - not a very health financial.

Penny Stock Score (1~5) 5 is highest
1.Technical: 2
2.Financial: 1
3.Market Potential: 4
4.Insider: 4
Recommendation: Neutral