Comcast ( CMCSA Quick Quote CMCSA - Free Report) recently announced that Metro Detroit and Chicagoland residents can now sign up for NOW TV. It has been made available to Xfinity Internet customers for a monthly price of $20. In May 2023, Comcast introduced NOW TV, a new streaming offering that will meet the needs of value-conscious consumers who want a simple and convenient entertainment source with quality programming movies, top shows, live sports and news. Built using cross-company innovation and technology from Xfinity, Peacock, Sky and Xumo, NOW TV is the first streaming offering in the market to combine a live TV streaming service, free ad-supported streaming TV (FAST) channels and a subscription video on demand (SVOD) service. It includes 40+ live channels from A&E, AMC, Hallmark and Warner Bros. Discovery, plus 20+ integrated FAST channels from NBC, Sky and Xumo Play and a subscription to Peacock Premium at no additional cost. Comcast Corporation Price and Consensus Comcast’s Strong Product Portfolio to Boost Prospects
Shares of Comcast have increased 15.4% year to date outperforming the Zacks
Consumer Discretionary sector, rising 8.6% in the same time frame. Comcast banks on a diverse product portfolio including connectivity & platforms business and content & experiences business, containing broadband and wireless connectivity, media, entertainment and theme parks. Its media segment includes Peacock whose revenues increased by 45% to $685 million in the first-quarter 2023 primarily driven by strong growth in paid subscribers. Apart from Peacock, its newly launched NOW TV brings together collective video experiences, innovative technology, and strong broadband service to deliver streaming entertainment offerings under one single roof. These enhancements are expected to bolster subscriber base and boost the company’s top line. Comcast Facing Stiff Competition
Comcast’s first-quarter 2023 results reflected slowing content and experiences business primarily due to lower content licensing at its television studios and unfavourable forex.
Comcast faces stiff competition in its digital streaming business from DTC streaming and OTT service providers like Paramount Global ( PARA Quick Quote PARA - Free Report) , Disney ( DIS Quick Quote DIS - Free Report) and Netflix ( NFLX Quick Quote NFLX - Free Report) . They offer online streaming and downloading of content which causes viewers to switch over from cable and television networks. Shares of Paramount have declined 2.9% year to date, whereas those of Disney and Netflix have gained 6.5% and 35.6% year to date, respectively.
Comcast added 2 million paid subscribers in the first quarter of 2023, whereas Paramount and Netflix added 4.1 million and 1.75 million paid subscribers, respectively. Disney lost 3.8 million paid subscribers during the same time frame.
This Zacks Rank #3 (Hold) company’s first quarter 2023 revenues declined 4.3% year over year. You can see
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The Zacks Consensus Estimate for fiscal second-quarter revenues is pegged at $30.29 billion, indicating growth of 0.91% from the year-ago quarter’s reported figure.
The consensus mark for earnings has remained unchanged at $1 per share in the past 30 days, indicating a decline of 0.99% from the year-ago quarter’s levels.