Also in the Webinar, we discussed CMCSA and Boaty is feeling better, so here's his report:
Here's a comprehensive analysis of Comcast (CMCSA):
## Current Position
**Financial Metrics**
- Trading at $37.08, down from 52-week high of $47.11
- Market cap: $141.6B
- P/E ratio: 10.0
- EPS: $3.71
- Average daily volume: 20.95M shares
## Growth Catalysts
**Broadband Expansion**
- Adding 1.2M homes to current 63M footprint
- DOCSIS 4.0 technology rollout providing competitive advantage
- Mobile/broadband bundling strategy showing promise
- Business services targeting $60B addressable market
**AI Integration**
- Network self-healing capabilities (60% of alerts)
- Automated customer service improvements
- Enhanced installation efficiency
- Operating margin improvement potential
## The Good
**Core Business Strength**
- Strong cash flow generation
- Vertical integration advantages
- Significant market share in core markets
- Trump administration likely to reduce regulatory pressure
**Growth Opportunities**
- Only 20% penetration in business services
- Mobile market expansion potential
- AI-driven efficiency improvements
- Infrastructure investment benefits
## The Bad
**Market Challenges**
- Losing broadband customers (100,000 per quarter)
- ARPU growth slowing
- Operating margins declined from 21.5% to 18%
- Fierce competition in core markets
## The Ugly
**Structural Issues**
- Cord-cutting acceleration
- Price sensitivity in key markets
- Rising content costs
- Infrastructure upgrade requirements
## Investment Outlook
**Price Targets**
- Consensus: $47.33 (29.68% upside)
- High: $60.00
- Low: $34.00
The combination of strong cash flow, improving efficiency, and reduced regulatory pressure under Trump suggests potential upside, but investors should monitor customer retention and margin trends carefully. The stock appears attractively valued at current levels, particularly given the potential for business services growth and AI-driven cost improvements.
Key risks include continued customer losses and margin pressure, but the 6.82% dividend yield provides support while waiting for growth initiatives to materialize.
