BofA downgrades Comcast to Neutral at start of ‘reset year’

As previously reported, BofA analyst Jessica Reif Ehrlich downgraded Comcast (CMCSA) to Neutral from Buy with a price target of $38, down from $50, as the firm now forecasts an EBITDA decline in the “reset year” of 2025. The competitive environment, with still ramping fixed wireless access deployments and accelerating fiber builds, are driving broadband shares losses for Comcast and at about 90% penetration the U.S. broadband market has matured significantly and industry growth will be more limited moving forward, the analyst tells investors. In addition, Peacock now requires increased investment and the firm sees limited upcoming catalysts to drive shares higher.