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How Are Analysts Rating Comcast after Its Earnings?

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Analysts are bullish on Comcast

Comcast’s (CMCSA) stock price closed at $36.89 on January 23 after the announcement of its fourth-quarter earnings. Now let’s look at how analysts are rating the stock after its earnings. Out of 33 analysts covering the stock, while seven analysts have rated the stock a “strong buy,” 18 analysts have rated the stock a “buy.” Eight analysts have rated the stock a “hold.” There are no “sell” ratings for the stock.

Analysts have set a mean target price of $44.03 for the stock and a median price target of $44.00. As of January 23, Comcast was trading at a 19.4% differential from its stock price.

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Why are analysts bullish on CMCSA?

Comcast’s NBCUniversal business continues to deliver strong results with its broadcast television networks posting strong advertising revenues as a result of sports broadcasts. The company also continues to add new attractions to its Universal theme parks and intends to open a theme park in Beijing, China (FXI), in 2020.

The company’s Cable Communications business is also riding high on the back of a customer-centric strategy that is reaping rewards for the company. Comcast’s video business, which is a part of its Cable Communications business, is increasingly facing competition from video streaming operators like Netflix (NFLX) and Amazon’s (AMZN) Prime video service, which has resulted in increased customer losses for the company. However, the company has slightly tweaked its strategy when it comes to its video business by making its X1 set-top box a content aggregator by including Netflix and Amazon’s Prime video service on X1.

Comcast’s NBC Universal’s launch of a free, ad-supported video streaming service in Q1 2020 could also help it counter competition from other pay-TV companies like Dish Network (DISH).

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