Analyst Jessica Reif Ehrlich of Bank of America Securities reiterated a Hold rating on Comcast (CMCSA – Research Report), retaining the price target of $38.00.
Jessica Reif Ehrlich’s rating is based on the current competitive landscape in the broadband sector, where Comcast faces significant challenges. The company is experiencing pressure from fiber operators, fixed wireless access providers, and mobile substitution, which complicates its market position. Although Comcast is making strategic adjustments by focusing more on mobile and convergence, these initiatives are expected to take time before they yield noticeable results, likely not until the second half of 2025.
Additionally, the advertising revenue forecasts for Comcast have been adjusted downward due to fewer NFL games and tepid local cable advertising, impacting their media and theme park segments. Despite these challenges, Comcast’s financial estimates for 2025 remain largely unchanged, with a slight decline in revenue and EBITDA projected. Given these factors, Jessica Reif Ehrlich has maintained a Hold rating, reflecting a cautious outlook as Comcast navigates these headwinds.
In another report released on March 12, Bernstein also maintained a Hold rating on the stock with a $38.00 price target.