Comcast share reaction to updated Q4 guidance ‘appears overdone,’ says BofA

BofA analyst Jessica Reif Ehrlich notes that Comcast (CMCSA) Cable president, Dave Watson, presented at a competitor conference yesterday and noted that Q4 broadband subscriber net losses will more closely resemble the first half of 2024 and that Comcast is now “looking at a broadband subscriber loss in 4Q of just over 100k.” Additionally, ARPU will be pressured and the company is now guiding Q4 ARPU to be at the lower end of the company’s 3%-4% year-over-year growth range, the analyst noted. In BofA’s view, the negative share price reaction to Comcast’s updated Q4 guidance “appears overdone,” says the analyst, who maintains a Buy rating and $50 price target on the shares.