VALUATION HIGHLIGHTS

1. Connectivity & Platforms constitute 84% of the Trefis price estimate for Comcast's stock.
2. Content & Experiences constitute 16% of the Trefis price estimate for Comcast's stock.

WHAT HAS CHANGED?

Q4 2025 Earnings

Comcast reported fourth-quarter earnings that beat expectations on adjusted earnings per share and showed modest revenue growth, though its core broadband business remained under pressure. Revenue for the quarter was about $32.31 billion, up roughly 1% year-over-year, and adjusted EPS of $0.84 topped forecasts. The company lost about 181,000 broadband subscribers in the period, extending declines in its connectivity segment. Comcast also shed video customers even as its wireless and Peacock streaming businesses grew.

BUSINESS SUMMARY

Comcast is a global media and technology company. Comcast is one of the largest providers of high-speed internet, video, and voice services in the United States. The company's media business includes NBCUniversal, which operates cable networks, broadcast television, filmed entertainment, and theme parks. Comcast's Sky business, based in Europe, operates video, high-speed internet, voice, and wireless phone services. It also runs the Sky News broadcast network and Sky Sports networks.

POTENTIAL UPSIDE & DOWNSIDE TO TREFIS PRICE

Below are the key drivers of Comcast's value that present opportunities for upside or downside to the current Trefis price estimate for Comcast:

Connectivity & Platforms EBITDA Margin: Comcast's Connectivity division's EBITDA margins stood at 38.8% in 2021 and rose to 41.6% in 2024, driven by better cost management. Trefis expects the metric to remain roughly flat going forward. However, if Comcast is able to boost margins to around 45%, driven by higher-priced broadband plans and lower costs, there could be a 10% upside to our price estimate.

For additional details, select a driver above or select a division from the interactive Trefis split for Comcast at the top of the page.

SOURCES OF VALUE

We believe that Comcast's Cable Communications business is the biggest driver of its valuation for a couple of reasons.

High number of subscribers

Comcast had about 32 million broadband subscribers as of 2024. Going forward, we expect that broadband subscribers will continue to grow while the pay-TV subscriber base will shrink in the long term.

High average monthly fees per subscriber

There is quite a difference between fees per subscriber for Comcast's pay-TV and broadband subscribers. Comcast makes an average of over $110 per month from its pay-TV subscribers compared to levels of about $60 per month for broadband subscribers.

KEY TRENDS

Comcast takes streaming more seriously

With pay-TV services facing competition from online streaming companies such as Netflix, many cable TV users are cutting the cord. However, Comcast has been taking steps to cater to this growing market. The company's direct-to-consumer streaming service, Peacock, was launched in July 2020, offering both ad-supported and ad-free subscription options. The business has been gaining traction, with its subscriber base rising from around 9 million as of December 2021 to 34 million as of 2024.

Universal studio's focus on franchises

Comcast's Universal movie studio has been increasingly focusing on movie franchises, which have larger audiences and greater brand recognition, making them more likely to succeed than standalone films. Some popular franchises from the company include Fast and Furious and Despicable Me. Universal also successfully revived the fan-favorite Jurassic Park franchise.

NBCU is expanding in China with a massive theme park project in Beijing

NBCUniversal, along with Beijing Shouhuan Cultural Tourism Investment Co. (a consortium of four state-owned companies), opened a new Universal theme park in Beijing in September 2021. The park is spread over 300 acres and will eventually expand to 1,000 acres. The property also includes two hotels. China’s theme park industry is one of the largest in the world, with strong attendance levels. This should benefit NBCUniversal’s overall theme park business.