Comcast (CMCSA) Faces Connectivity Investment Pressure but Shows Third-Quarter Revenue Beats

Comcast Corporation (NASDAQ:CMCSA) ranks among the most undervalued NASDAQ stocks to buy now. UBS reaffirmed its Neutral rating and $36 price target for Comcast Corporation (NASDAQ:CMCSA) on September 18, citing pressure from rising investments in connectivity on the media giant. Comcast’s go-to-market initiatives, such as new broadband pricing, free mobile lines, and higher marketing and customer support costs, have caused the firm to revise its projections.

Comcast’s total company revenue and EBITDA have been forecast to drop 3.2% and 1.6%, respectively, in the third quarter, beating UBS’s earlier projections of -2.9% and -0.8%. For the full year, UBS continues to predict flat revenues and a 1.1% decrease in EBITDA, which marks a downward revision from its earlier forecast of -0.5%. The firm also predicts declines in the connectivity and content areas.

Comcast Corporation (NASDAQ:CMCSA) is a media, entertainment, and communications company that operates through three business units: Cable Communications, NBCUniversal, and Sky, the top entertainment provider in Europe.

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Disclosure: None. This article is originally published at Insider Monkey.