Update shared on 02 Dec 2025
Fair value Decreased 1.31%Comcast’s analyst price target fell modestly to $34.65 from $35.10, as analysts highlighted ongoing challenges in broadband subscriber trends, competitive pressures, and slower expectations for EBITDA growth.
Analyst Commentary
Recent research from Wall Street reflects a mix of cautious optimism and heightened concern regarding Comcast's outlook. These perspectives have resulted in adjustments to price targets and ratings as analysts weigh the company's execution, growth prospects, and competitive headwinds.
Bullish Takeaways- Bullish analysts point to positive impacts from Comcast’s efforts to pivot its broadband pricing and enhance customer experience. These efforts appear to be gaining traction despite aggressive competition.
- Some note that broadband and mobile net additions have outperformed expectations, signifying operational strengths and the resilience of core businesses.
- Updated strategies aimed at improving subscriber metrics and stabilizing the business trajectory are viewed as supportive of medium-term value.
- Bearish analysts caution that EBITDA and ARPU growth are expected to slow further, which could lead to reduced near-term earnings power and valuation compression.
- Mounting investments required to maintain competitive momentum in broadband are anticipated to diminish shareholder returns and limit catalysts for outperformance.
- Ongoing headwinds, including increased broadband competition and uncertainties regarding major media contracts, are likely to pressure both free cash flow and margin expansion in the coming years.
- There is skepticism that strategic moves, such as business spinouts and base repricing, will sufficiently offset challenges from changing market dynamics and customer behavior.
What's in the News
- Comcast, alongside Netflix and Paramount, has formally submitted bids to acquire all or parts of Warner Bros. Discovery, which is increasing competition in the media sector (Deadline).
- Warner Bros. Discovery has asked bidders, including Comcast, to submit improved offers, with final bids due after an initial round was received last week (Bloomberg).
- Comcast is evaluating the strategic acquisition of Warner Bros. Discovery’s streaming and studio assets and has hired Goldman Sachs and Morgan Stanley as advisers (Reuters).
- Major League Baseball has reached new media deals with NBC, which is owned by Comcast, granting NBC/Peacock rights to air the first round of the playoffs and Sunday Night Baseball (The Athletic).
- President Trump publicly opposed any move by the FCC to raise or eliminate the 39% TV ownership cap, and specifically mentioned NBC News (Comcast) as a target of concern (Variety).
Valuation Changes
- Consensus Analyst Price Target has decreased modestly from $35.10 to $34.65. This reflects updated expectations for the stock’s fair value.
- Discount Rate has increased slightly from 8.04% to 8.05%, signifying a marginally higher perceived risk or required return.
- Revenue Growth projections have edged lower from 1.53% to 1.53%, indicating a very slight reduction in expected top-line expansion.
- Net Profit Margin estimate has declined marginally from 10.24% to 10.24%, pointing to only a minimal adjustment in forecasted profitability.
- Future P/E Ratio has decreased from 10.92x to 10.79x. This suggests that analysts expect somewhat lower earnings multiples moving forward.
Disclaimer
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