CMCSK  Comcast Corporation

Exchange

NASDAQ

Sector

Consumer Services

Industry

Television Services

Market Cap.

142.52B

Vuru Grade

52.49/100

Current Price

$58.00
+0.00 (+0.00%)

Growth Price

$53.58
Overvalued by 7.63%

Stability Price

$2.99
Overvalued by 94.84%

Company Metrics

  • P/E 18.19
  • P/S 1.95
  • P/B 2.76
  • EPS 3.19
  • Cash ROIC 5.72%
  • Cash Ratio 0.24
  • Dividend 1 / 0%
  • Avg. Vol. 3.58M
  • Shares 2.46B
  • Market Cap. 142.52B

Company Description

Comcast Corporation, together with its subsidiaries, provides consumer entertainment, information, and communication products and services to the residential and commercial customers in the United States. The company operates in two segments, Cable and Programming. The Cable segment manages and operates cable systems, including video, high-speed Internet, and phone services, as well as regional sp... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

Comcast Joins $27 Million Investment Round In Bastille
Seeking Alpha - Sep 22, 2017
Bastille has developed a hardware and software system for detecting wireless security threats within corporate and government environments.
Comcast - The Dip Will Not Last Long
Seeking Alpha - Sep 9, 2017
Comcast (NASDAQ:CMCSA) took a big hit on Thursday as its stock price declined sharply, closing at 6.2% lower than its open price.
Comcast Leads $25 Million Investment In KeyMe
Seeking Alpha - Sep 15, 2017
Comcast is primarily a company focused on the consumer and home environment, so KeyMe's value proposition is in line with Comcast's operations. KeyMe is growing rapidly, so the investment was likely an easy decision, assuming valuation wasn't too high.
Comcast Corporation (CMCSA) Sinks on Potential Subscriber Declines
Investorplace.com - Sep 7, 2017
Comcast CMCSA The telecommunications giant projects a subscriber loss in its third-quarter results, according to an executive.
Comcast -6.3%, warning of heavy video subscriber decline - Seeking Alpha
The Bull Case for Comcast Corporation (CMCSA) - Economic News
Here's Why You Should Hold Comcast Corporation (CMCSA) Stock in Your Portfolio
Investorplace.com - Aug 29, 2017
On August 29, we issued an updated research report on leading cable MSO (multi service operator) and media and entertainment firm Comcast Corporation (NASDAQ:CMCSA). The stock currently carries a Zacks Rank #3 (Hold).
Comcast Corporation (CMCSA): What's the Story? - StockNewsJournal
Comcast (CMCSA) to Expand Footprint Across Canada With X1 - Nasdaq
Sumitomo Life Insurance Co. Boosts Stake in Comcast Corporation (CMCSA)
The Ledger Gazette - 6 hours ago
Comcast Corporation logo Sumitomo Life Insurance Co. raised its holdings in shares of Comcast Corporation (NASDAQ:CMCSA) by 8.5% during the second quarter, according to the company in its most recent disclosure with the Securities & Exchange ...
Buy or Sell? Average Brokerage Ratings on Comcast Corporation (CMCSA), Plug ... - StockNewsJournal
Starz Acquisition (LCAPA) vs. Comcast Corporation (CMCSA) Critical Analysis - Week Herald
Comcast +1.2% as Moffett sees value in pullback
Seeking Alpha - Sep 12, 2017
Comcast (NASDAQ:CMCSA) is up 1.2% premarket after a boost to Buy from analyst Craig Moffett, who thinks the stock has gotten much cheaper since Thursday's warning about declining video subscribership.
Is It Time to go for MFA Financial, Inc. (MFA), Comcast Corporation (CMCSA)?
StockNewsJournal - Sep 21, 2017
Comcast Corporation (NASDAQ:CMCSA), maintained return on investment for the last twelve months at -, higher than what Reuters data shows regarding industry's average.
Park Avenue Securities LLC Acquires New Stake in Comcast Corporation (NASDAQ ... - The Ledger Gazette
How Insiders and Institutions are Trading Comcast Corporation (CMCSA) - StockNewsGazette
Buy or Sell? What Analysts Recommends: Comcast Corporation (CMCSA), Ford Motor ...
StockNewsJournal - Sep 14, 2017
ROI deals with the invested cash in the company and the return the investor realize on that money based on the net profit of the business.
Comcast Corporation (CMCSA) is down -8.32% on its one-week high while ... - NY Stock News
Somewhat Positive Media Coverage Somewhat Unlikely to Impact Comcast ... - The Ledger Gazette
What the Insider Data Suggests About Comcast Corporation (CMCSA)
NY Stock News - Sep 22, 2017
Recent trading patterns in the stock of Comcast Corporation (NASDAQ:CMCSA) have investors on high alert. Many experts agree that the best way to predict future performance is by studying the past.
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for CMCSK to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate CMCSK's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

$58.00 Current Price

$53.58 Growth Price (DCF)

Overvalued by 7.63%


Growth Rate Assumed by Market: 12.25%


Future Free Cash Flow Growth Rate: 9.0%


Discount Rate: 15.0%


Show Free Cash Flow numbers

$2.99 Stability Price (EPV)

Overvalued by 94.84%


Discount Rate: 15.0%

$32.55 Book Price

Overvalued by 43.87%


Poor Cash Return on Invested Capital over the past 5 years

CMCSK has been unable to consistently generate sufficient returns from its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

CMCSK has only created $5.72 of cash for every $100 invested.
Figures in USD. Fiscal year ends in December
20122013201420152016
Free Cash Flow 8.22B 6.56B 8.40B 8.91B 8.42B
divided by
Invested Capital 135.84B 134.61B 137.42B 146.00B 153.89B
Cash ROIC 6.05% 4.87% 6.11% 6.10% 5.47%

Excellent Return on Equity over the past 5 years

Over the past 5 years, CMCSK has generated strong profits with money shareholders have invested. This is considered one of the best indicators of quality management. Beware of extremely high Return on Equity (> 50%) as this is often unsustainable.

CMCSK has generated $15.83 of Earnings for every $100 of Shareholders' Equity.
Figures in USD. Fiscal year ends in December
20122013201420152016
Net Income 7.87B 7.14B 8.59B 8.41B 9.05B
divided by
Stockholders' Equity 49.36B 50.69B 52.71B 52.27B 53.94B
Return on Equity 15.94% 14.07% 16.30% 16.10% 16.77%

Excellent Business Performance over the past 10 years

CMCSK has been able to maintain profitability in good times and bad. This could mean CMCSK has an extremely strong business or has the ability to scale down costs when needed. This should be a fairly resilient business, but double check for future sustainability by looking at its Risk Factors in the Annual Report.

CMCSK has created positive free cash flow for 9 or more of the past 10 years.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Free Cash Flow 2.23B 4.48B 5.16B 6.22B 8.08B 8.22B 6.56B 8.40B 8.91B 8.42B

Weak Balance Sheet

CMCSK's financial position is not ideal. The key is to check whether CMCSK is using debt to fuel its growth and the sustainability of that tendency. Highly capital intensive businesses (see Economic Moat) follow this route, which can deeply impact the future prospects of the business.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Cash 1.06B 1.25B 721.00M 6.07B 1.62B 12.42B 5.29B 4.51B 2.40B 5.07B
Current Assets 3.67B 3.72B 3.22B 8.89B 8.57B 19.99B 14.08B 13.53B 12.30B 16.36B
Total Assets 113.42B 113.02B 112.73B 118.53B 157.82B 164.97B 158.81B 159.34B 166.57B 180.50B
Current Liabilities 7.95B 8.94B 7.25B 8.23B 13.24B 16.71B 18.91B 17.41B 18.18B 21.54B
Total Liabilities 72.08B 72.57B 70.01B 74.18B 110.54B 115.62B 108.12B 106.63B 114.31B 126.56B
Stockholder' Equity 41.34B 40.45B 42.72B 44.35B 47.27B 49.36B 50.69B 52.71B 52.27B 53.94B
Current Ratio 0.46 0.42 0.44 1.08 0.65 1.20 0.74 0.78 0.68 0.76
TL-to-TA 0.64 0.64 0.62 0.63 0.70 0.70 0.68 0.67 0.69 0.70

Consistent Reinvestment of Profits over the past 10 years

CMCSK has consistently retained profits. This may put CMCSK in a strong position to invest for the future, by buying new machinery, investing in R&D or a number of other options. By effectively using these earnings, CMCSK can greatly improve their long-term economic picture.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Retained Earnings 7.19B 7.43B 10.01B 12.16B 13.97B 16.28B 19.24B 21.54B 21.41B 23.08B
Retained Earnings Growth - 3.28% 34.71% 21.52% 14.91% 16.53% 18.15% 11.98% -0.58% 7.77%

Potential Competitive Advantage over the past 10 years

CMCSK potentially has a competitive advantage. This could be strong branding, the ability to keep costs low, or some other characteristic that is hard to replicate. Look at its future prospects to determine sustainability and whether the economic moat will strengthen.

$10.17 of every $100 of Revenue have been pure profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Net Income 2.59B 2.55B 3.64B 3.64B 4.16B 7.87B 7.14B 8.59B 8.41B 9.05B
divided by
Revenue 30.90B 34.26B 35.76B 37.94B 55.84B 62.57B 64.66B 68.78B 74.51B 80.40B
Net Profit Margin 8.37% 7.44% 10.17% 9.58% 7.45% 12.57% 11.04% 12.49% 11.29% 11.25%

Strong Pricing Power over the past 10 years

CMCSK has maintained substantial gross margins, suggesting that they have been able to set prices without consideration of the cost of goods sold. This potentially leaves flexibility in inflationary environments to raise prices on consumers and maintain profitability.

$69.07 of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Gross Profit 19.72B 20.78B 21.36B 22.69B 55.84B 42.64B 44.99B 47.86B 51.96B 55.94B
divided by
Revenue 30.90B 34.26B 35.76B 37.94B 55.84B 62.57B 64.66B 68.78B 74.51B 80.40B
Gross Margin 63.83% 60.67% 59.74% 59.80% 100.00% 68.15% 69.58% 69.59% 69.74% 69.57%

High Capital Intensity over the past 10 years

CMCSK spends large amounts of capital buying new equipment or investing in new facilities to stay competitive. Over the long term, those costs may have to be fuelled by debt. Look at the growth of Shareholders' Equity to see if this strategy is having a positive or negative impact.

143.45% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Capital Expenditure 6.56B 5.75B 5.12B 4.96B 6.26B 6.64B 7.61B 8.54B 9.87B 10.82B
divided by
Net Income 2.59B 2.55B 3.64B 3.64B 4.16B 7.87B 7.14B 8.59B 8.41B 9.05B
Capital Expenditure Ratio 253.73% 225.76% 140.65% 136.48% 150.50% 84.39% 106.59% 99.42% 117.31% 119.64%

Strong Dividend History over the past 10 years

CMCSK has consistently distributed a dividend for the past 9 years. This suggests CMCSK is established and will likely continue to distribute its dividend for the foreseeable future.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Dividend Paid - 547.00M 761.00M 1.06B 1.51B 2.30B 2.18B 2.47B 2.67B 2.60B
divided by
Shares Outstanding 3.19B 2.95B 2.89B 2.82B 2.78B 2.72B 2.67B - 2.52B 2.44B
Dividend Paid Per Share - 0.19 0.26 0.38 0.54 0.85 0.82 - 1.06 1.07
Price at Year End 16.80 14.79 15.46 20.28 23.56 35.21 49.73 58.55 59.69 59.69
Dividend Yield - 1.25% 1.71% 1.86% 2.31% 2.40% 1.64% - 1.78% 1.79%

Strong History of Stock Buybacks over the past 10 years

CMCSK has a strong history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Shares Outstanding 3.19B 2.95B 2.89B 2.82B 2.78B 2.72B 2.67B - 2.52B 2.44B
Stock Bought Back - 8.13% 2.32% 2.30% 1.51% 2.25% 1.95% - -100.00% 3.28%
Share your thoughts about CMCSK

Sign Up or Log In to start contributing!


Discussion

Nothing here yet. Be the first to post!