Telecommunications and media company Comcast (NASDAQ:CMCSA) will be reporting results this Thursday before market hours. Here’s what investors should know.
Comcast met analysts’ revenue expectations last quarter, reporting revenues of $29.89 billion, flat year on year. It was a satisfactory quarter for the company, with a decent beat of analysts’ EPS estimates but a miss of analysts’ domestic broadband customers estimates. It reported 31.64 million domestic broadband customers, down 1.7% year on year.
Is Comcast a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Comcast’s revenue to be flat year on year at $29.77 billion, improving from the 2.7% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.18 per share.
Heading into earnings, analysts covering the company have grown increasingly bearish with revenue estimates seeing 13 downward revisions over the last 30 days (we track 22 analysts). Comcast has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 0.9% on average.
Looking at Comcast’s peers in the wireless, cable and satellite segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Verizon delivered year-on-year revenue growth of 5.2%, beating analysts’ expectations by 2.3%, and AT&T reported revenues up 3.5%, topping estimates by 1.3%. Verizon traded up 5.3% following the results while AT&T was also up 2%.
Read our full analysis of Verizon’s results here and AT&T’s results here.
There has been positive sentiment among investors in the wireless, cable and satellite segment, with share prices up 7.5% on average over the last month. Comcast is down 7.8% during the same time and is heading into earnings with an average analyst price target of $39.99 (compared to the current share price of $32.90).
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