Charter Communication (NDAQ:CHTR) shares dropped around 20 percent yesterday before rebounding slightly today. Things are looking bad for the $800 million company with an astounding $19 billion in debt. The cable company's operating income of $200 million is hardly enough to service its debt while it struggles to compete with others in the industry.

Shares in the company fell around 20 percent after competitor Comcast Corporation (NDAQ:CMCSA) announced earnings that showed a slowdown in the growth of digital cable subscribers. Many are speculating that this could be the end of the "triple play" boom as countless other telecom companies are entering the fray.

This is a big problem for Charter, who is quickly running out of time to ramp up its offerings to match the triple-play offerings seen at other companies. These triple offerings include phone, cable and internet services over newer and faster fiber optic networks. The company also has yey to embrace the HDTV wave to the same extent as others in the industry.

Unfortunately, Charter does not have enough money to move into the triple play market and continue to service is debt. This is bad news for shareholders who are likely to see their money erode in value unless the company takes action soon to unlock value and return it to shareholders. Combined, these factors make CHTR a stock worth watching!

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