Comcast (CMCSA) Stock Sinks As Market Gains: What You Should Know
Comcast (CMCSA) closed at $39.83 in the latest trading session, marking a -1.14% move from the prior day. This change lagged the S&P 500's daily gain of 0.16%. At the same time, the Dow lost 0.42%, and the tech-heavy Nasdaq gained 0.17%.
Heading into today, shares of the cable provider had lost 4.71% over the past month, outpacing the Consumer Discretionary sector's loss of 9.96% and the S&P 500's loss of 6.79% in that time.
Comcast will be looking to display strength as it nears its next earnings release, which is expected to be July 28, 2022. The company is expected to report EPS of $0.91, up 8.33% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $29.87 billion, up 4.62% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.61 per share and revenue of $122.68 billion. These totals would mark changes of +11.76% and +5.41%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Comcast. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.12% lower. Comcast is currently sporting a Zacks Rank of #4 (Sell).
Investors should also note Comcast's current valuation metrics, including its Forward P/E ratio of 11.15. Its industry sports an average Forward P/E of 16.24, so we one might conclude that Comcast is trading at a discount comparatively.
We can also see that CMCSA currently has a PEG ratio of 0.84. 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 1.07 as of yesterday's close.
The Cable Television industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 82, which puts it in the top 33% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Comcast Corporation (CMCSA) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
