Don't Buy Comcast Before Checking Its Fundamentals!

With gains of 2.1%, Comcast was one of the winners on Wall Street today. Its shares are now trading at $43.08 and have logged a -1.0% daily outperformance of the S&P 500. Don't join the feeding frenzy before checking some basic facts about this stock:

  • Comcast has moved 23.0% over the last year, and the S&P 500 logged a change of 15.0%

  • CMCSA has an average analyst rating of buy and is -12.08% away from its mean target price of $49.0 per share

  • Its trailing earnings per share (EPS) is $3.59

  • Comcast has a trailing 12 month Price to Earnings (P/E) ratio of 12.0 while the S&P 500 average is 15.97

  • Its forward earnings per share (EPS) is $4.31 and its forward P/E ratio is 10.0

  • The company has a Price to Book (P/B) ratio of 2.12 in contrast to the S&P 500's average ratio of 2.95

  • Comcast is part of the Telecommunications sector, which has an average P/E ratio of 23.78 and an average P/B of 3.46

  • The company has a free cash flow of $11.93 Billion, which refers to the total sum of all its inflows and outflows of cash over the last quarter

  • Comcast Corporation operates as a media and technology company worldwide. It operates through Residential Connectivity & Platforms, Business Services Connectivity, Media, Studios, and Theme Parks segments. The Residential Connectivity & Platforms segment provides residential broadband and wireless connectivity services, residential and business video services, advertising sales, and Sky channels. The Business Services Connectivity segment offers connectivity services for small business locations, which include broadband, voice, and wireless services, as well as solutions for medium-sized customers and larger enterprises; and small business connectivity services for international locations. The Media segment operates NBCUniversal's television and streaming business, including national and regional cable networks; the NBC and Telemundo broadcast networks; NBC and Telemundo owned local broadcast television stations; and Peacock, a direct-to-consumer streaming service. It also operates international networks comprising the Sky Sports channels, as well as other digital properties. The Studios segment operates NBCUniversal and Sky film and television studio production and distribution operations. The Theme Parks segment operates Universal theme parks in Orlando, Florida; Hollywood, California; Osaka, Japan; and Beijing, China. The company also owns the Philadelphia Flyers and the Wells Fargo Center arena in Philadelphia, Pennsylvania; and operates Xumo, a consolidated streaming platform. Comcast Corporation was founded in 1963 and is headquartered in Philadelphia, Pennsylvania.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

IN FOCUS