5 Best Communication Services Stocks To Invest In

2. Comcast Corporation (NASDAQ:CMCSA)

Number of Hedge Fund Holders: 73

Comcast Corporation (NASDAQ:CMCSA) is an American media and technology company that operates through Cable Communications, Media, Studios, Theme Parks, and Sky segments. It is one of the best communication stocks to consider. On November 17, Comcast Corporation (NASDAQ:CMCSA) announced a $3 million investment to expand its broadband network in Charlottesville, Chesterfield, Fredericksburg, Reston, Sterling, and Woodbridge in the State of Virginia. Comcast’s network can deliver speeds up to 1.2 Gbps for small and mid-sized businesses and up to 100 Gbps for larger corporations.

On January 5, Truist analyst Greg Miller upgraded Comcast Corporation (NASDAQ:CMCSA) to Buy from Hold with a price target of $50, up from $34. While investors in 2022 recognized that broadband flow share trends fundamentally changed, efforts to “stem the erosion are proving successful and should once again cause the stocks to trade at traditional premiums to telecom stocks,” the analyst wrote in a research note.

According to Insider Monkey’s data, Comcast Corporation (NASDAQ:CMCSA) was part of 73 hedge fund portfolios at the end of September 2022, compared to 75 in the prior quarter. Jean-Marie Eveillard’s First Eagle Investment Management is the leading position holder in the company, with 31.6 million shares worth over $928 million. 

ClearBridge Investments made the following comment about Comcast Corporation (NASDAQ:CMCSA) in its Q3 2022 investor letter:

“The Strategy was not completely insulated to macro headwinds and some companies saw tough comparisons after strong pull forwards in demand during the COVID-19 pandemic. Media companies including Comcast Corporation (NASDAQ:CMCSA) were hurt by both factors in the quarter.

After extremely strong broadband growth during the early days of the pandemic, Comcast is now experiencing slowing to negative growth in its broadband business due to new competition and less consumer moving activity along with headwinds on the programming side, where advertising budgets have been more stressed.”