Comcast's Spin-Off to Boost Broadband and Streaming Growth: Goldman Sachs

Goldman Sachs analyst Michael Ng maintained a Buy rating on Comcast Corp (NASDAQ:CMCSA) with a price target of $50.

On November 20, 2024, Comcast announced plans to spin off select cable networks and digital assets into a new publicly traded entity called SpinCo.

The proposed spin-off aims to streamline Comcast’s operations and enhance growth by separating its cable networks and complementary digital assets from its broader media and streaming divisions.

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SpinCo assets generated approximately $7 billion in trailing twelve-month (TTM) revenue ending September 30, 2024, with an estimated EBITDA between $2 billion and $3 billion, the analyst said.

About 75% of SpinCo’s portfolio will focus on news and sports, while the remaining 25% covers general entertainment.

Comcast expects SpinCo to maintain a traditional cable network EBITDA margin ...

Full story available on Benzinga.com