NEW YORK (TheStreet) -- Shares of Time Warner Cable (TWC) are higher by 1.11% to $159 in pre-market trading on Monday morning, as investors keep an eye on the cable company in regards to speculation that Time Warner Cable and Charter Communications (CHTR) will meet this week to discuss a possible merger.
Last year Charter attempted a hostile takeover of Time Warner Cable before Comcast (CMCSA) stepped in with its deal offer. The potential merger between Comcast and Time Warner Cable fell though at the end of last month.
On Sunday the Wall Street Journal reported that John Malone, the chairman of Liberty Broadband Corp. (LBRDA), Charter's largest shareholder, recently called Time Warner Cable CEO Rob Marcus to express Charter's interests in pursuing friendly merger talks.
Charter is the fourth largest cable operator in the U.S., number two is Time Warner Cable. The two sides are expected to continue to speak this week when Marcus and Charter CEO Tom Rutledge meet at the annual National Cable & Telecommunications Association convention in Chicago, the Journal noted.
Separately, TheStreet Ratings team rates TIME WARNER CABLE INC as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate TIME WARNER CABLE INC (TWC) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, increase in stock price during the past year and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income."