UBS Lowers Price Target on Comcast (NASDAQ: CMCSA) Amid Broadband, Restructuring, and Streaming Challenges

• UBS lowered its price target for Comcast (NASDAQ: CMCSA) to $27.00 from $32.00, while maintaining a Neutral rating.
• The firm cited expectations for higher broadband subscriber losses, softer theme-park performance, and lower near-term revenue and EBITDA assumptions.
• Comcast is also moving forward with a major restructuring plan to spin off NBCUniversal and Sky into a separate publicly traded company.

UBS lowered its price target on Comcast (NASDAQ: CMCSA) to $27.00 from $32.00, while keeping a Neutral rating on the stock. According to Investing.com, Comcast was trading near $24.69 when the report was published, below UBS’s revised target. UBS said it expects Comcast’s third-quarter results to reflect higher year-over-year broadband subscriber losses and softer theme-park performance, while projecting total company revenue and EBITDA to decline 2.2% and 3.1%, respectively, in the third quarter.

The cautious outlook comes as Comcast faces pressure in both connectivity and media. Reuters reported that Comcast’s NBCUniversal and Paramount Skydance are considering strategic options for their European streaming joint venture, SkyShowtime, including a potential shutdown. SkyShowtime launched in 2022 and is available in 22 European markets, including Spain, Portugal, Denmark, and Sweden. 

Comcast is also pursuing a major corporate separation. The company announced plans to separate into two independent publicly traded companies through a tax-free spin-off of NBCUniversal and Sky. After the transaction, Comcast shareholders are expected to own shares in both Comcast and NBCUniversal. Comcast said the separation is intended to create two focused companies: one centered on connectivity, broadband, wireless, and technology platforms, and another centered on media, entertainment, streaming, theme parks, and Sky. 

While the restructuring could give each business more strategic flexibility, it also introduces execution risk and investor uncertainty. Comcast has said the transaction remains subject to customary conditions, including final board approval, tax opinions, regulatory approvals, and financing arrangements.

Recent market data shows Comcast shares trading around the mid-$24 range, with a market capitalization near $87.65 billion. The stock’s 52-week range is approximately $21.28 to $32.86, according to Google Finance.