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Comcast (CMCSA) Announces Availability of Supersonic WiFi

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Comcast (CMCSA - Free Report) recently announced the availability of its Supersonic WiFi, enabled by its newest WiFi 6E gateway. The new Supersonic WiFi is currently available to Xfinity Internet Gigabit and Ultrafast customers across the United States.

Supersonic WiFi can deliver symmetrical Gigabit speeds, internet speeds faster than 1 Gbps and three times more capacity to simultaneously support numerous connected devices.

Innovation In Broadband and Wireless Business Aids Prospects

The coronavirus pandemic has acted as a catalyst in Comcast’s broadband business. The company continues to benefit from growth in its broadband subscriber base. CMCSA delivers broadband services through its Xfinity, Comcast Business and Sky brands.

The strategy to provide high-speed internet at an affordable price is anticipated to play a pivotal role in providing connectivity and enhancing the consumer experience.

The company continues to experiment and innovate in its broadband and wireless products and services segment.

Last month, Comcast announced the launch of its next-generation Advanced Gateway along with its first WiFi-6 certified device capable of delivering multi-gigabit speeds, thereby providing superior WiFi connectivity to businesses.

Earlier this year, Comcast launched its next-generation xFi Advanced Gateway in the United States that incorporates WiFi 6E. The new gateway promises to offer customers an enhanced broadband experience with a faster and more reliable wireless connection.

 

In the December quarter of last year, management announced that it is steadily moving on the path to 10G while maintaining its CapEx intensity.

In January 2021, Comcast announced the successful test of a prototype Full Duplex DOCSIS 4.0 system-on-chip (SoC) cable modem. The modem is built by Broadcom and powered by 10G network technology, which can deliver multi-gigabit speed to more than 10 million homes.

In the fourth quarter of fiscal 2021, overall customer growth continued to be driven by broadband. Cable Communications’ total customer relationship net additions were 169,000. Total broadband customer net additions amounted to 212,000.

In the last reported quarter, Cable Communications, which comprises the operations of Comcast Cable, delivered revenues of $16.41 billion, up 4.5% year over year.
Comcast Cable offers broadband, voice, video and wireless, business services, advertising and other services in the United States.

In the last reported quarter, broadband was the largest contributor to Comcast’s cable revenue growth.

Broadband revenues rose 8.5% year over year to $5.86 billion, primarily driven by increased residential broadband customers and a higher average rate.

Wireless revenues surged 40.4% to $709 million, driven by an increase in the number of customer lines as well as in device sales. Comcast added 312K wireless lines in the reported quarter.

Comcast has been investing heavily in developing AI and machine learning (ML) technologies amid the pandemic, which helped the company to easily manage network capacity expansions.

Zacks Rank and Stocks to Consider

Currently, Comcast has a Zacks Rank #3 (Hold).

Shares of CMCSA have dropped 3.9% compared with the Zacks Cable Television industry’s decline of 6.5% and the Consumer Discretionary sector’s fall of 11.5% in the year-to-date period.

Some better-ranked stocks in the Zacks Consumer Discretionary sector are Funko (FNKO - Free Report) , sporting a Zacks Rank #1 (Strong Buy), and Academy Sports and Outdoors (ASO - Free Report) and Target Hospitality (TH - Free Report) , both carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Funko shares have declined 4% in the year-to-date period compared with the Zacks Consumer Products - Discretionary industry’s fall of 24% and the Consumer Discretionary sector’s decline of 11.5%.

ASO shares have declined 13% in the year-to-date period compared with the Zacks Leisure and Recreation Products industry’s fall of 21.6% and the Consumer Discretionary sector’s decline of 11.5%.

Target Hospitality shares have surged 65.5% in the year-to-date period against the Zacks Leisure and Recreation Services industry’s decline of 4.4% and compared with the Consumer Discretionary sector’s decline of 11.4%.

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