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Comcast (CMCSA) Stock Dips While Market Gains: Key Facts

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Comcast (CMCSA - Free Report) ended the recent trading session at $42.99, demonstrating a -0.3% swing from the preceding day's closing price. The stock fell short of the S&P 500, which registered a gain of 0.57% for the day. Elsewhere, the Dow gained 0.83%, while the tech-heavy Nasdaq added 0.39%.

The cable provider's stock has climbed by 4.56% in the past month, exceeding the Consumer Discretionary sector's gain of 0.27% and the S&P 500's gain of 2.97%.

Analysts and investors alike will be keeping a close eye on the performance of Comcast in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.99, reflecting a 7.61% increase from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $29.95 billion, up 0.88% from the year-ago period.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $4.31 per share and a revenue of $124.65 billion, representing changes of +8.29% and +2.53%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Comcast. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.33% higher. Currently, Comcast is carrying a Zacks Rank of #3 (Hold).

Looking at its valuation, Comcast is holding a Forward P/E ratio of 10. For comparison, its industry has an average Forward P/E of 10, which means Comcast is trading at no noticeable deviation to the group.

One should further note that CMCSA currently holds a PEG ratio of 0.96. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Cable Television industry currently had an average PEG ratio of 0.7 as of yesterday's close.

The Cable Television industry is part of the Consumer Discretionary sector. Currently, this industry holds a Zacks Industry Rank of 228, positioning it in the bottom 10% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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