I’m interested in having a discussion about Comcast stock and why I believe it’s a high value investments.
A few reasons based on their company statistics:
• PE is 11 which would indicate they are undervalued. Look at this in relation to other telecom companies which have a slighlty higher PE such as AT&T, Verizon, Charter.
• EPS of 3.76 which is higher than both Verizon and AT&T. Charter has an EPS of 31.34 which is incredibly high. Likely another good long term hold value investment.
• 5 Year Beta of 1.00 which indicates low volatility.
• Dividend Yield of 3.04% which is good as far as I can see. Charter doesn't offer dividends. AT&T and Verizon both offer higher but both stocks have been struggling over the last year.
It's understandable that Comcast doesn't have a large growth path, however, a few reason I think they will continue to show growth. They have unique offerings that layer on top of being a telecom company. Some of these are:
• FreeWheel/Beeswax Ownership – These two entities are a huge component of the Connected TV Advertising ecosystem. Alone they are huge and just happen to be wrapped under the Comcast umbrella. Many companies competitive to NBC utilize this technology.
• NBC/Peacock Growth – They are making inroads on exclusive sponsorships such as the Olympics, Sunday Night Baskteball, etc. This gives them an additional revenue stream that layers into their other products such as CTV Advertising, Telecom Services and drives further brand awareness for Xfinity.
• AI Customer Services – This will give them the ability to reduce headcount significantly across their call centers and provide investors with further EPS as a result. I've been trying to figure out how many of their 180K+ employees are in client services, but my guess is a large portion are invovled with customer support.
I'm intersted in learning about what I may be missing. I am focused on learning more about analyzing company statistics so totally open to feedback on any blind spots.
Thank you.
PS: Mods, please don't delete this. I've posted 3 times already and am attempting to have a productive discussion on Comcast stock. Hopefully this won't be deemend 'low effort.'
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