Comcast Corporation (CMCSA) Stock Valuation — PE Analysis
Telecommunications Services · NASDAQ
Current Price
$24.50
PE Ratio (TTM)
4.7x
Intrinsic Value
$43.99
+44.3% margin of safety
COMPETITIVE MOAT
↑Broadband Network Dominance
Comcast's extensive and entrenched high-speed internet infrastructure creates a significant barrier to entry for new competitors in many markets. This network effect is difficult and costly to replicate.
↑Bundled Service Ecosystem
The integration of internet, TV, and mobile services offers customers convenience and potential cost savings through bundling. This sticky ecosystem discourages customers from switching providers.
↑Content and IP Ownership
Ownership of valuable content libraries and intellectual property, particularly through NBCUniversal, provides a competitive advantage. This content drives viewership and advertising revenue.
INVESTMENT RISKS
↓Increasing Competition
Newer technologies and competitors, including wireless broadband and streaming services, are challenging Comcast's traditional business models. This erodes market share and pricing power.
↓Regulatory Scrutiny
The telecommunications industry faces ongoing regulatory oversight regarding pricing, net neutrality, and market consolidation. Changes in regulations can impact profitability and strategic flexibility.
↓Capital Intensive Investments
Significant ongoing investments are required to maintain and upgrade its network infrastructure and expand into new areas like theme parks. These large capital expenditures can strain financial resources.
Base case
CMCSA base case PE valuation
A base case PE valuation for CMCSA estimates a fair value of about $43.99 per share, against a current price of $24.5. The model assumes 5.4% annual earnings growth, a 5x target PE multiple, and a 10% discount rate.
Intrinsic Value
$43.99
Margin of safety
+44.3%
Expected annual return
+12.4%
Base case assumptions: 5.4% annual earnings growth, 5x target PE, 10% discount rate, 5 year projection. Data as of 2026-06-12.
This base case uses default assumptions and is not financial advice. The fair value changes significantly when the target PE or earnings growth rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the CMCSA PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for Comcast Corporation respond.
Open PE Calculator for CMCSACompany Overview
Comcast Corporation functions as a global media and technology conglomerate. Its diverse operations are segmented across Cable Communications, Media, Studios, Theme Parks, and Sky. The Cable Communications division delivers internet, television, phone, and mobile services to residential and business clients under its Xfinity brand, alongside offering advertising solutions. Its Media segment encompasses NBCUniversal's television and streaming platforms, including its national, regional, and international cable channels, the NBC and Telemundo broadcast networks, and the Peacock streaming service. The Studios segment is responsible for NBCUniversal's film and television production and distribution activities. Through its Theme Parks division, Comcast manages Universal Studios resorts located in Orlando, Florida; Hollywood, California; Osaka, Japan; and Beijing, China. The Sky segment provides direct-to-consumer services such as video, internet, voice, and mobile phone offerings, while its content arm includes entertainment networks, the Sky News channel, and Sky Sports networks. Additionally, Comcast owns the Philadelphia Flyers hockey team and the Wells Fargo Center arena in Philadelphia, Pennsylvania. Founded in 1963, Comcast Corporation is headquartered in Philadelphia, Pennsylvania.
Financial Metrics — CMCSA PE Stock Valuation Data
PE Ratio (TTM)
4.7x
PEG Ratio
0.19
Earnings Yield
21.21%
ROE (TTM)
19.8%
Revenue/Share (TTM)
$34.64
Dividend Yield
5.39%
Debt/Equity
1.07x
Frequently Asked Questions
What is the PE ratio of CMCSA?
The trailing twelve-month PE ratio of CMCSA reflects how much investors pay per dollar of Comcast Corporation's earnings. This metric is most useful when compared to Telecommunications Services peers and the company's own historical range.
Is CMCSA overvalued based on PE ratio?
CMCSA's PE of 4.7x combined with a PEG ratio of 0.19 provides a growth-adjusted perspective. A PEG below 1.0 suggests CMCSA may be undervalued relative to its earnings growth rate. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical Telecommunications Services, a DCF analysis may be more appropriate.
How do I value CMCSA stock using PE ratio?
To value Comcast Corporation using PE: (1) Compare the current PE (4.7x) against the Telecommunications Services median to assess relative pricing, (2) check the PEG ratio (0.19) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
What is the PEG ratio of CMCSA?
CMCSA's PEG ratio is 0.19, calculated by dividing the PE ratio (4.7x) by the expected earnings growth rate. A PEG below 1.0 is traditionally considered a sign of undervaluation — the market may not be fully pricing in the growth potential. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for CMCSA stock valuation?
PE ratio gives a quick relative read — how CMCSA is priced versus Telecommunications Services peers. DCF provides an absolute value based on projected free cash flows. For CMCSA, with a strong ROE of 19.8%, both methods are worth using — PE for a market-relative check, DCF to stress-test whether fundamentals justify the price. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
Learn More
- See CMCSA DCF Valuation → — Intrinsic value via Discounted Cash Flow analysis
- PE Methodology — Step-by-step guide to PE ratio stock valuation
- DCF Methodology — Guide to discounted cash flow analysis
- PE Ratio — Understanding the price-to-earnings ratio
- Intrinsic Value — How to evaluate stock fair value
Related PE Valuations
All Communication Services valuationsP/E and DCF value CMCSA with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-06-12. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.