* Note: Prices are in Million (M) USD.
Description:
Comcast Corporation is an American telecommunications conglomerate headquartered in Philadelphia, Pennsylvania. It is the second-largest broadcasting and cable television company in the world by revenue (behind AT&T), the largest pay-TV company, the largest cable TV company and largest home Internet service provider in the United States, and the nation's third-largest home telephone service provider. Comcast provides services to U.S. residential and commercial customers in 40 states and in the District of Columbia. As the parent company of the international media company NBCUniversal since 2011, Comcast is a producer of feature films and television programs intended for theatrical exhibition and over-the-air and cable television broadcast, respectively.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $8,593 M
Debt : $99,122 M
EBITDA : $37,342 M
Net Debt (Debt - Cash): $90,529 M
Since Net Debt is covered by EBITDA within 3 years, 1 points assigned.
This criteria used industry in which company operates:
Sector: Communication services
Industry: Pay tv
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 7.88
Since Forward PE Ratio is less than 15, 5 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 20 overlapping fiscal years (max 20).Average Free Cash Flow: $8,778 M
Average Revenue: $73,374 M
Revenue Converted To Free Cash Flow (%): 12.0%
Since Free Cash Flow (FCF) to Revenue percentage is less than 15, 1 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $123,731 M
Revenue 4 Years Ago (2020-12-31): $103,564 M
Last 5 Years Average Revenue Growth: 4%
Since Revenue Growth is between 0 - 5, 1 point assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $3,788 M
Share Count 5 Years Ago (2020-12-31): $4,624 M
Company is buying back its own shares, 3 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $4.32
Trailing 12-Month Earnings Per Share (EPS): $4.20
Average Earnings Per Share (EPS): $4.26
Dividend Per Share (DPS): $1
Payout Ratio: 30%
Dividend Yield: 4%
Since company Payout Ratio is less than 50, 2 points assigned.
Since Dividend Yield is greater than 3, 3 points assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Using last 20 valid ROE years (max 20).Average ROE: 12.8%
Since Average ROE is between 10 - 20, 3 points assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $34
52-Week Low: $31
Threshold Price (15% Above 52-Week Low): $36
Since Current price is within 15% threshold, 5 points assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $122,577 M
Since Market Cap is between 100B - 500B, 3 points assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 4% exposure of Total Portfolio.
Value-Trade has assigned 30 points to above Comcast Corp (CMCSA) stock.
Last 18 Years Avg PE 26.54, Fair Value PE 15, Industry Based PE 18, Growth Based PE 3, RCFC Based PE 21.57, ROE Based PE 20.24, Risk-Free Anchored PE (25% MoS) 17.08. Based on these 7 values, average assigned is 17.35. Value-Trades has assined P/E value 17.35. Since an average (Current Year EPS + Next Year EPS) earning per share is $4.26.
The fair value of Comcast Corp (CMCSA) stock should be (17.35 x $4.26) = $73.9.
