Citi Reaffirms Buy Rating on Comcast with $39 Price Target

Citi reaffirms their Buy rating on Comcast (CMCSA) with a price target of $39.00. Michael Rollins, the analyst, has a 12.9% average return and a 67.86% success rate on recommended stocks. The general analyst consensus rating for Comcast is Moderate Buy with an average price target of $39.66, representing an 11.34% upside from current levels.

Comcast Corporation (NASDAQ:CMCSA) continues to receive positive attention from analysts, with Citi reaffirming its Buy rating and setting a price target of $39.00. The move comes amidst a backdrop of potential tax reforms and industry-specific benefits that could boost cash flows for North American telecom operators. The tax reforms, which include full bonus depreciation and expanded interest expense deductions, are expected to lift industry-wide free cash flow by 10% in 2025 and improve long-term profitability [1].

Michael Rollins, the analyst at Citi, has a strong track record with a 12.9% average return and a 67.86% success rate on recommended stocks. The general analyst consensus rating for Comcast is a Moderate Buy, with an average price target of $39.66, representing an 11.34% upside from current levels [2].

Rogco LP, a hedge fund, has significantly increased its stake in Comcast, raising its holdings by 3,673.9% in the first quarter, according to its most recent SEC filing. The firm now owns 15,171 shares of the cable giant's stock, worth $560,000 [3]. This investment signals confidence in Comcast's prospects, particularly given the potential benefits from the new tax legislation.

Comcast reported its quarterly earnings on April 24th, with earnings per share (EPS) of $1.09, topping analysts' consensus estimates by $0.08. The company's revenue for the quarter was $29.89 billion, a 0.6% decrease compared to the same period last year. The company's return on equity was 19.70% and its net margin was 12.72% [2].

Several analysts have recently issued reports on Comcast. TD Cowen lowered its price objective from $46.00 to $45.00 while setting a "buy" rating on the stock. BNP Paribas cut Comcast from a "neutral" rating to an "underperform" rating and set a $31.00 price objective. Bernstein Bank lowered its price target from $38.00 to $37.00 and set a "market perform" rating. Rosenblatt Securities restated a "neutral" rating and issued a $36.00 price target. New Street Research lowered its target price from $44.00 to $38.00 and set a "buy" rating [2].

Despite these mixed signals, the overall sentiment remains positive, with three equities research analysts rating the stock with a sell rating, ten issuing a hold rating, twelve giving a buy rating, and two assigning a strong buy rating to the company. The average rating is "Hold" with an average price target of $40.96 [2].

Comcast's dividend payout ratio (DPR) is 32.43%, with the company recently declaring a quarterly dividend of $0.33 per share, payable on July 23rd. This represents a $1.32 annualized dividend and a yield of 3.71% [2].

In summary, Citi's reaffirmation of its Buy rating on Comcast, coupled with potential tax reforms and strong earnings reports, suggests that the company remains a solid investment opportunity. However, investors should carefully consider the mixed analyst ratings and the company's recent acquisitions in Philadelphia before making a decision.

References:
[1] https://finance.yahoo.com/news/comcast-cmcsa-positioned-resilience-growth-130932697.html
[2] https://www.marketbeat.com/instant-alerts/filing-rogco-lp-buys-14769-shares-of-comcast-corporation-nasdaqcmcsa-2025-07-10/
[3] https://therealdeal.com/national/philadelphia/2025/07/10/sixers-comcast-buy-properties-near-scuttled-arena-site/