Comcast (CMCSA) closed the most recent trading day at $33.06, moving -1.02% from the previous trading session. The stock trailed the S&P 500, which registered a daily loss of 0.05%. At the same time, the Dow lost 0.59%, and the tech-heavy Nasdaq gained 0.45%.
Shares of the cable provider witnessed a gain of 1.52% over the previous month, trailing the performance of the Consumer Discretionary sector with its gain of 5.91%, and the S&P 500's gain of 3.44%.
Market participants will be closely following the financial results of Comcast in its upcoming release. The company's earnings per share (EPS) are projected to be $1.1, reflecting a 1.79% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $30.8 billion, indicating a 3.96% decrease compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $4.3 per share and revenue of $123.06 billion, which would represent changes of -0.69% and -0.55%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Comcast. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Comcast presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Comcast is presently being traded at a Forward P/E ratio of 7.77. This valuation marks a premium compared to its industry average Forward P/E of 7.31.
One should further note that CMCSA currently holds a PEG ratio of 2. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Cable Television industry had an average PEG ratio of 0.78 as trading concluded yesterday.
The Cable Television industry is part of the Consumer Discretionary sector. With its current Zacks Industry Rank of 175, this industry ranks in the bottom 30% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Comcast Corporation (CMCSA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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