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Here's Why Comcast (CMCSA) is a Strong Value Stock

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.

Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.

Why Investors Should Pay Attention to This Value Stock

Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.

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Comcast (CMCSA)

Comcast Corporation is a global media and technology company with three primary businesses: Comcast Cable, NBCUniversal and Sky.

CMCSA is a Zacks Rank #3 (Hold) stock, with a Value Style Score of A and VGM Score of A. Shares are currently trading at a forward P/E of 8.4X for the current fiscal year compared to the Cable Television industry's P/E of 12.6X. Additionally, CMCSA has a PEG Ratio of 0.6 and a Price/Cash Flow ratio of 4.8X. Value investors should also note CMCSA's Price/Sales ratio of 1.1X.

Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Three analysts revised their earnings estimate upwards in the last 60 days for fiscal 2022. The Zacks Consensus Estimate has increased $0.01 to $3.62 per share. CMCSA has an average earnings surprise of 10%.

With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding CMCSA to their portfolios.


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