On September 17, Comcast fell 3.01% in regular trading, trading at $23.675/share, with turnover of $318 million. The decline follows a wave of investment bank price target cuts reflecting deepening concerns over broadband subscriber losses.
Multiple brokerages recently lowered their targets on Comcast. UBS cut its price target to $27 from $32, citing expectations of 160,000 broadband subscriber losses in Q3 and 200,000 in Q4, while projecting total revenue and EBITDA declines of 2.2% and 3.1%, respectively. UBS noted that broadband competition is worsening as fiber growth accelerates, fixed wireless access continues at pace, and Starlink's v3 constellation ramps up. BofA Securities also trimmed its target to $35 from $37, while Goldman Sachs lowered its target to $24 from $25.
The downgrades follow Comcast CFO Jason Armstrong's remarks at a Goldman Sachs conference, where he stated that Q3 broadband subscriber losses are unlikely to improve year-over-year, as competitors deploy aggressive low-price strategies. That disclosure triggered a single-day drop of over 7% on September 10. The stock has now fallen below its book value of $25.30 per share, pushing its price-to-book ratio to 0.96x.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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