16 Most Undervalued Tech Stocks To Buy Now

8. Comcast Corporation (NASDAQ:CMCSA)

Short % of Shares Outstanding: 1.44%

Number of Hedge Fund Holders: 61

Forward Price to Earnings Ratio as of August 28: 9.60

Comcast Corporation (NASDAQ:CMCSA) is one of the biggest media and internet providers in the United States. It provides internet and TV services to homes and businesses, Media and Streaming services, Theme Parks, and Advertising Services.

Despite a competitive market, due to price-conscious customers, the company has maintained a market-leading position by securing over 32 million broadband customers. Management has remained focused on its broadband and park segments throughout several past quarters.

As a result, Comcast Corporation (NASDAQ:CMCSA) was able to grow its residential connectivity revenue by 6% and domestic broadband revenue by 3% year-over-year. Moreover, the company added 322,000 wireless lines and reached a 12% penetration rate in the domestic broadband market.

Management believes the right balance between rate and volume is a key priority amidst a challenging market condition. Therefore it is pertinent to maintain a healthy average revenue per user (APRU). During the second quarter of 2024, the company was able to maintain its APRU growth rate at 3.6%, well between its historic average of 3%-4%.

Its historic growth trajectory advocates robust fundamentals. Over the past 10 years, Comcast Corporation (NASDAQ:CMCSA) has grown its top line by 6% and bottom line by 7%. Moreover, it has grown its levered free cash flow by 16% during the same time.

CMCSA is an undervalued tech stock to buy now. It is trading at only 10 times its forward earnings, a 29% discount to its sector. On the other hand, analysts expect its earnings to grow by 5.5% during the year to reach $4.2.

It is also popular among hedge funds and was held by 61 hedge funds during Q2 2024, with total stakes worth $3.7 billion. First Eagle Investment Management is the top shareholder of the company, with a position worth $1.25 billion.