Stock is down about a third from its 52-week high. Growth has flattened, but it's buybacks and dividends galore. Trades at a 14.8% free cash flow yield.
Excellent write up. Modern World also did a great analysis as well. Regarding, $WBD, I remember when they took a run at Disney.
I do think Universal Studios could suffer in a downturn, but long term I think the addition of Nintendo World will have a positive impact to an audience and crowd of younger generations. Disney seems to be squandering their brand and relevance in recent years
The Chris anecdote perfectly captures the cord-cutting dynamic. When a 20-year customer is threatening to switch to Roku, it speaks to how much the power balance has shifted. Comcast's challenge is that connectivity is increasingly commoditized while customers now have viable streaming alternatives. The irony is that Comcast still profits from providing the broadband that enables customers to use Roku to avoid Comcast's cable bundles. Their pivot to Peacock makes sense but competiton in streaming is brutal with customer acquisition costs eating into margins.
Solid analysis of Comcast's position. From a Liberty Broadband perspective (which owns 28% of Charter/Spectrum), it's interesting to see how both Comcast and Charter face similar headwinds - flat broadband subs, competition from wireless FWA, and eroding pricing power. However, Charter's upcoming Cox merger could shift the compettive dynamics significantly by adding scale economies and expanding their mobile runway. Both companies are leaning into the same playbook: return capital via buybacks/dividends while their connectivity cash cows fund the transition to converged broadband+mobile offerings. The key differentiator will be execution on mobile penetration rates over the next 3-5 years.
Excellent write up. Modern World also did a great analysis as well. Regarding, $WBD, I remember when they took a run at Disney.
I do think Universal Studios could suffer in a downturn, but long term I think the addition of Nintendo World will have a positive impact to an audience and crowd of younger generations. Disney seems to be squandering their brand and relevance in recent years
Anyway, I also think the stock is cheap.
Agree. I did a little write up of my own a few weeks ago. CMCSA is down 10% since I wrote it on the heels of the Paramount/Warner news.
https://open.substack.com/pub/thisisthemodernworld/p/jurassic-world
Great read, thanks for sending.
The Chris anecdote perfectly captures the cord-cutting dynamic. When a 20-year customer is threatening to switch to Roku, it speaks to how much the power balance has shifted. Comcast's challenge is that connectivity is increasingly commoditized while customers now have viable streaming alternatives. The irony is that Comcast still profits from providing the broadband that enables customers to use Roku to avoid Comcast's cable bundles. Their pivot to Peacock makes sense but competiton in streaming is brutal with customer acquisition costs eating into margins.
Solid analysis of Comcast's position. From a Liberty Broadband perspective (which owns 28% of Charter/Spectrum), it's interesting to see how both Comcast and Charter face similar headwinds - flat broadband subs, competition from wireless FWA, and eroding pricing power. However, Charter's upcoming Cox merger could shift the compettive dynamics significantly by adding scale economies and expanding their mobile runway. Both companies are leaning into the same playbook: return capital via buybacks/dividends while their connectivity cash cows fund the transition to converged broadband+mobile offerings. The key differentiator will be execution on mobile penetration rates over the next 3-5 years.