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Comcast Corporation

Data period: Annual Quarterly Graham uses annual
NASDAQ · Communication Services
Comcast Corporation
CMCSA · Telecom Services
$22.43
▼ -0.26 (-1.15%)
Cached · 10 min
Overall Grade
D
Defensive
D
Enterprising
Profitability
B
Gross Profit Margin 65.4%
Operating Margin 13.1%
Net Income Margin 6.9%
Fin. Health
F
Years to Pay Off Debt 43.5 yrs
Working Capital vs Long-Term Debt -$93.7B
Working Capital -$4.5B
Valuation
D
Margin of Safety 0.0%
Price-to-Book 0.91x
Cash Flow
C
Free Cash Flow $3.9B
CapEx % of Net Income 137.5%
Owner Earnings $9.0B
About Comcast Corporation
Comcast Corporation operates as a media and technology company worldwide. The company operates through Residential Connectivity & Platforms, Business Services Connectivity, Media, Studios, and Theme Parks segments. Its Residential Connectivity & Platforms segment provides residential broadband and wireless connectivity services, residential and business video services, sky-branded entertainment television networks, and advertising. The Business Services Connectivity segment offers connectivity services for small business locations, which include broadband, wireline voice, and wireless services; and ethernet network services for medium-sized customers and larger enterprises. Its Media segment operates NBCUniversal's national and regional cable networks; the NBC and Telemundo broadcast networks and owned local broadcast television stations; and Peacock, a direct-to-consumer streaming services. The company also operates international television networks comprising the Sky Sports networks, as well as other digital properties. Its Studios segment operates NBCUniversal and Sky film and television studio production and distribution operations. The Theme Parks segment operates Universal theme parks in Orlando, Florida; Hollywood, California; Osaka, Japan; and Beijing, China. It also offers a consolidated streaming platforms under the Philadelphia Flyers and the Xfinity Mobile Arena in Philadelphia, Pennsylvania; and Xumo. Comcast Corporation was founded in 1963 and is headquartered in Philadelphia, Pennsylvania.
Metric Explanations
What each dimension measures and where the thresholds come from.
Gross Profit Margin
Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Years to Pay Off Debt
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Margin of Safety
How far below the Graham Number the stock trades. Graham required a 33% discount as a buffer against analytical error. However, the Graham Number itself assumes 1960s-era P/E and P/B norms — for modern asset-light businesses it often understates true intrinsic value, making 0% MoS appear misleadingly bad.
Price-to-Book
Market price vs book value per share. Rarely below 1.5x for quality businesses today. Intangible assets (brand, software, patents) don't appear on the balance sheet under accounting rules, making P/B artificially high for asset-light companies like software and consumer brands.
Free Cash Flow
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
CapEx % of Net Income
Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.
Owner Earnings
Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.
Market Cap $80.1B
Enterprise Value $169.9B
P/E (TTM) 4.40
Dividend Yield 5.82%
Exchange NASDAQ
Gross Profit 65.4%
Operating Margin 13.1%
Net Margin 6.9%
Sector Communication Services
Industry Telecom Services
Employees 179000
Country United States
📖
Full Graham Analysis

Mr. Market is currently offering Comcast Corporation at $22.43.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

At $22.43, the stock trades at a 23% premium to its Graham Number of $18.29. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..

Conclusion: This stock is better suited for Graham's Enterprising investor — one willing to devote time and skill to security selection.

Showing Key Metrics
Income Highlights
Metric Q1 2026 Q4 2025 Q4 2024
Gross Profit % 65.4% 68.1% N/A
Operating Margin % 13.1% 10.8% N/A
Net Income % 6.9% 6.7% N/A
Diluted EPS 0.60 0.60 N/A
Balance Sheet Highlights
Metric Q1 2026 Q4 2025 Q4 2024
Total Assets $260.0B $272.6B N/A
Total Debt $94.6B $98.9B N/A
Working Capital -$4.5B -$4.0B N/A
Years to Pay Debt 43.52 45.64 N/A
Cash Flow Highlights
Metric Q1 2026 Q4 2025 Q4 2024
Free Cash Flow $3.9B $4.4B N/A
Owner Earnings $9.0B $10.8B N/A
CapEx % of Net Income 137.5% 206.3% N/A
📊 Quarterly mode — Graham Fair Value & 7 Criteria require annual data. Switch to Annual for full analysis.
Quarter vs Same Quarter Last Year
YoY strips seasonality
Revenue Growth (YoY)
Prior year: $29.9B ▲ $31.5B +5.3%
Revenue growth vs same quarter last year strips seasonality. Consistent double-digit growth is a Buffett hallmark.
Gross Margin
Prior year: 71.8% ▼ 65.4% -6.4pp
Buffett: consistent gross margin above 40% signals durable pricing power and competitive moat.
Operating Margin
Prior year: 13.8% ▼ 13.1% -0.7pp
Graham: operating margin reflects true business economics before financing. Trend matters as much as level.
Net Margin
Prior year: 11.3% ▼ 6.9% -4.4pp
Net margin can be distorted by one-time items, tax timing, or interest costs — compare to operating margin for signal quality.
Quarterly Health Checks
3 Graham/Buffett criteria that are valid and reliable on quarterly data
✅ Adequate Size
Graham required scale for resilience. Quarterly revenue × 4 gives an annualised proxy.
$31.5B/qtr (≈$125.8B ann.)
vs > $1.5B annualised revenue
❌ Financial Condition
Current assets vs current liabilities — a real-time liquidity snapshot. Valid and reliable on quarterly data.
0.87x current ratio
vs ≥ 2.0x
✅ Free Cash Flow
Buffett's most important single metric. A positive FCF quarter means the business generated real cash for owners after maintaining its asset base.
$3.9B
vs Positive
Operating Cash Flow
$6.9B
Latest quarter · Buffett's cash reality check
ROIC
1.4%
Based on latest annual operating income
Return on Invested Capital — Buffett's preferred measure for asset-light businesses. ROIC > 15% consistently signals a durable competitive advantage (moat). More meaningful than P/B for software, pharma, and consumer brand companies where most value is intangible and off-balance-sheet.
Market Cap / Net Assets
0.9x
Net Assets: $88.5B
Asset Context — Telecom Services
Platform and internet businesses derive value from network effects, user data, and brand — intangibles that accounting rules don't capitalise. A low or negative Net Assets figure is expected and not a risk signal. ROIC and FCF per share are more relevant valuation anchors.
Peers & Industry Comparison
Telecom Services — Auto-detected peers
Company Price Market Cap P/E Gross Margin Net Margin Revenue
CMCSA $22.43 $80.1B 4.40 65.4% 6.9% $31.5B
T
AT&T Inc.
$22.01 $152.9B 7.2 59.4% 16.9% $126.5B
VZ
Verizon Communications Inc.
$45.37 $189.4B 11.1 58.9% 12.5% $139.1B
TMUS
T-Mobile US, Inc.
$181.67 $196.6B 19.3 63.3% 11.6% $90.5B
CHTR
Charter Communications, Inc.
$126.23 $19.8B 3.4 55.3% 9.0% $54.6B
"The management of a business is its most important single factor — more important than market position, patents, or financial structure."
— Benjamin Graham
Capital Allocation & Alignment
Insider Ownership
0.74%
Low — management has little skin in the game
Return on Equity (ROE)
2.5%
Weak — poor returns on equity
Return on Assets (ROA)
0.8%
Poor — assets are not generating adequate returns
Share Buybacks (Latest Year)
$7.2B
Management is returning capital to shareholders via buybacks
Debt Trend YoY
-4.4% YoY
Debt is declining — management is deleveraging
Leadership Team
Brian Roberts
Chairman & Co-CEO
Age 65
Pay: $11,675,337
0.537% of net income
Michael Cavanagh
Co-CEO & Director
Age 59
Pay: $11,415,529
0.525% of net income
Jason Armstrong
Chief Financial Officer
Age 48
Pay: $6,680,574
0.307% of net income
David Watson
Vice Chairman
Age 67
Pay: $9,336,534
0.429% of net income
Marci Ryvicker
Executive Vice President of Investor Relations
Top Institutional Holders
Institution % Owned Shares
Blackrock Inc. 8.84% 314,985,765
Vanguard Capital Management LLC 6.54% 233,154,772
State Street Corporation 5.13% 182,735,113
Capital World Investors 5.11% 182,141,779
Charles Schwab Investment Management, Inc. 3.41% 121,558,654
Dodge & Cox Inc. 3.17% 113,108,244
Capital Research Global Investors 2.51% 89,574,393
Geode Capital Management, LLC 2.47% 88,110,009
⚠️ Current ratio below 1 — liquidity risk
Risk Analysis
Beta (Market Risk)
0.66
Low volatility — more stable than the market
Short Interest
2.7% of float
Low short interest — market is not heavily bearish
Debt-to-Equity
1.07x
Moderate leverage
Current Ratio
0.86x
Weak liquidity — current liabilities exceed current assets
52-Week Price Range
Low: $22.38 Current: $22.43 High: $34.36
Currently at 0% of 52-week range

Comcast Corporation (CMCSA) fundamental analysis — Overall grade D based on profitability, financial health, valuation and cash flow. Graham's Fair Value: $18.29. Margin of safety: 0%. Gross profit margin: 65.4%. Operating margin: 13.1%. Net margin: 6.9%. Market cap: $80.1B. Sector: Communication Services. Industry: Telecom Services. Analysis powered by 360investing — free fundamental stock analysis based on Benjamin Graham and Warren Buffett principles.

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