We recently compiled a list of the 12 Best Long Term Low Risk Stocks to Buy Right Now. In this article, we are going to take a look at where Comcast Corporation (NASDAQ:CMCSA) stands against the other long term low risk stocks.
As the DeepSeek craze ignites a sell-off in the tech sector, investors are weighing the implications of the downturn in the long term. This is because the technology sector, particularly the Magnificent Seven group of stocks, has been a significant driver of market gains in the past few years. However, Bank of America strategists caution that these tech giants may face challenges ahead, dubbing them the “Lagnificent 7” due to potential underperformance. Factors such as diminishing US exceptionalism, vast fiscal spending, high immigration, and the AI investment bubble are cited as contributing to this anticipated slowdown. The bank has advised investors to explore undervalued opportunities in sectors like Japanese and European banks, commodities, high-yield bonds, international stocks, and cyclical sectors, given expected rebounds in global manufacturing activity.
Read more about these developments by accessing 10 Best AI Data Center Stocks and 10 Buzzing AI Stocks According to Goldman Sachs.
There are also several long term and low risk equities trading on the US stock market that could provide investors with the hedge they need against volatile tech stocks. According to a report by news agency Reuters, looking ahead, investors are cautiously optimistic about 2025, anticipating gains fueled by a solid economy, moderating interest rates, and pro-growth policies from the incoming administration. The S&P 500 has experienced significant growth over the past two years, and corporate profits are projected to rise by over 10% in 2025. However, risks such as persistent inflation, potential policy shifts, and elevated stock valuations warrant careful consideration. Strategies may include diversifying portfolios, focusing on undervalued sectors, and closely monitoring economic indicators to navigate the evolving landscape.
Read more about these developments by accessing 30 Most Important AI Stocks According to BlackRock and Beyond the Tech Giants: 35 Non-Tech AI Opportunities.
For this article, we selected stocks that have solid businesses with recurring revenue streams, reliable dividend payouts, and burgeoning growth pipelines. These stocks are also popular among hedge funds. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A couple watching their favorite show on TV, enjoying the entertainment network service.
Comcast Corporation (NASDAQ:CMCSA)
Number of Hedge Fund Holders: 72
Comcast Corporation (NASDAQ:CMCSA) operates as a media and technology company worldwide. In the fourth quarter of 2024, Comcast reported revenues of $31.9 billion, a 2% increase from the same period last year. Adjusted earnings per share (EPS) rose by 11% to $0.96. The studio division contributed to a 7% revenue increase to $3.27 billion and an 85% surge in adjusted earnings to $569 million. In response to broadband subscriber losses, Comcast is focusing on its mobile business, aiming to bundle mobile and broadband services to attract and retain customers. Comcast has also announced plans to spin off its media and entertainment assets into a separate company, allowing the remaining entity to concentrate on core growth areas such as residential broadband, wireless, business services, and streaming.
Overall CMCSA ranks 11th on our list of the best long term low risk stocks to buy right now. While we acknowledge the potential of CMCSA as an investment, our conviction lies in the belief that some stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a stock that is more promising than CMCSA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
