Sep. 8 at 2:01 PM
RBC Capital Markets initiated coverage of Comcast Corp with a Sector Perform rating and
$38 price target, citing strong execution but intense broadband competition and limited short-term growth drivers. Comcast faces fiber supplier challenges and growing fixed wireless services, pressuring subscriber numbers and pricing.
Analysts project residential broadband subscribers to decline annually through 2030, with internet penetration dropping 7 points. RBC’s
$38 target assumes largely flat profit margins in the coming years. Shares fell 3.9% premarket to
$32. Comcast recently adjusted pricing to defend its position, but rivals’ network expansion remains a “significant challenge” as promotions expire and consumers evaluate alternatives. A survey showed 32% of Comcast broadband users prefer cable, versus 33% for fiber and 18% for fixed wireless.
$CMCSA