Comcast Corporation (CMCSA) is a global media and technology company with a market cap of $161.93 billion. Headquartered in Philadelphia, Pennsylvania, and incorporated in 1963, Comcast operates through its subsidiaries to provide broadband, cable, and streaming services to millions of customers worldwide. The company offers a comprehensive range of services, including high-speed internet, video entertainment, and telecommunications, and it owns and operates NBCUniversal, a premier global media and entertainment company.
Comcast has underperformed the broader market over the last year. The stock has declined 8.8% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 20.5%. In 2024 alone, the stock has lost 5.9%, compared to SPX's 15.8% gains on a YTD basis.
Zooming in further, CMCSA lagged behind the iShares U.S. Telecommunications ETF’s (IYZ) 3.7% returns over the past year. Also, the stock's YTD loss is far behind the exchange-traded fund's 1.3% returns over the same time frame.
CMCSA reported its Q2 results on Jul. 23. Following the earnings release, CMCSA shares saw a 2.5% decline. The company reported adjusted earnings of $1.21 per share, surpassing Wall Street expectations of $1.11 per share. However, revenue for the period was $29.69 billion, falling short of the forecasted $30.07 billion.
For the current fiscal year, ending in Dec. 2024, analysts expect CMCSA to report EPS growth of 6.8% to $4.25 on a diluted basis. The company's earnings surprise history is robust. It beat the consensus estimate in each of the last four quarters.
Among the 29 analysts covering CMCSA stock, the consensus rating is a “Moderate Buy.” That’s based on 15 “Strong Buy” ratings, one “Moderate Buy,” 12 “Holds,” and one “Strong Sell.”
On Jul. 24, Sebastiano Petti from JPMorgan Chase & Co. (JPM) maintained a ‘Hold’ rating on Comcast, with a price target of $44.00, which indicates a 6.6% upside from the current levels.
The mean price target of $47.05 represents a 14% premium to CMCSA’s current price levels. The Street-high price target of $57 suggests an ambitious upside potential of 38.1%.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
