Comcast Stock (CMCSA): Why We’re Bullish with a $45 Target

Investment Research Report: Comcast CMCSA

📈 Rating: Overweight / Buy
🎯 12-Month Price Target: $45
📊 Upside Potential: +35%

Why We Like Comcast CMCSA
Strong Cash Position. As of March 31, 2025, Comcast is sitting on $8.6 billion in cash and cash equivalents. This gives the company plenty of flexibility and shows they manage their money carefully.

Valuation & Debt

• Current Valuation: Comcast is trading at about 7.7x forward earnings - a very cheap level compared to both its history and other companies in the same industry.
• Debt: Comcast has about $99 billion in total debt. However, thanks to its strong cash flow and a low dividend payout, the debt isn't a big concern right now.

Free Cash Flow Strength
In the first quarter of 2025:

• Operating cash flow: $8.3 billion
• Free cash flow: $5.4 billion

This cash easily covers their dividend payments and stock buybacks. Comcast’s dividend yield is a solid 3.9%, and they only use about 30% of profits to pay it - meaning the dividend is very sustainable.

Technical Analysis

• Comcast stock is trading around its 200-month moving average ($32–$34 range).
• This level has acted as strong support in the past.
• A head and shoulders pattern may be forming on the monthly chart - if the support holds, a move up toward $45 looks very possible.

Growth Through Theme Parks
Comcast is investing $6–$7 billion into Universal Epic Universe, a new theme park opening in May 2025.
Even with recession risks in the background, this project should bring in new revenue for years to come. Plus, Comcast isn't heavily exposed to tariffs, protecting their growth plans even further.

Final Thoughts
Comcast offers a rare combination right now:
✅ A historically low valuation

✅ Strong cash flow

✅ Manageable debt

✅ A solid, sustainable dividend

With a nearly 4% dividend yield, investors are being paid to wait while the company grows.

We rate this stock as an Overweight / Buy rating on Comcast (CMCSA), with a 12-month price target of $45. +35% from current levels.

We BTFD on CMCSA . Happy Trading.