Comcast: Not Comcastic
Comcast (CMCSA) announced yesterday after the close that 2007 results would come in slightly below previous guidance (Press Release) and shares are getting crushed today.
Three analysts downgraded their rating on the stock from “Buy” to “Hold” this morning. Shares are the most heavily traded on any exchange this morning and are down about 10%.
It’s been a tough year for Comcast. After being one of the most loved stocks last year, surging more than 70% from around $17.50 to over $30 from April 2006 to January 2007, shares have given back almost all of those gains at the current price around $18.50 (CMCSA 2 Year Chart).
At almost 30% below its 200 day moving averages, one wonders whether Comcast is starting to offer good value at these levels.
After all, even in a recession do you really think Americans are going to cancel their cable? Give me a break: what would they do???