BofA calls Comcast's cable network spin-off “strategic step” [Yahoo! Finance]
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Comcast Corporation - Class A (CMCSA)
Last comcast corporation - class a earnings: 4/30 07:00 am
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Source: Yahoo! Finance
The spin-off will allow Comcast to focus on higher-growth segments by separating slower-growing cable assets, and is expected to return capital to shareholders through dividends or share repurchases. The new company will own a portfolio of popular cable networks, including USA Network, CNBC, MSNBC, Oxygen, E!, SYFY, and Golf Channel, along with digital assets like Fandango and Rotten Tomatoes. It is expected to acquire additional cable networks to achieve scale and drive growth. The spin-off could potentially reduce regulatory hurdles for Comcast, enabling it to pursue future cable mergers, although the lack of NBC content to bundle into programming contracts could make rate negotiations more challenging until the new company achieves scale. The analyst maintains a 'buy' rating and has a price target of $50 for Comcast, citing its strong balance sheet and healthy free cash flow generation, which should drive solid capital returns. Investing.com - BofA analyst on Thursday said
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