Author Topic: CMCSA - Comcast Corporation  (Read 6973 times)

Spekulatius

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Re: CMCSA - Comcast Corporation
« Reply #20 on: December 12, 2019, 11:57:03 AM »
This $15B ďnormalizedď FCF estimate would be after taxes and interest cost . Itís a number from a CS report.
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Jurgis

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Re: CMCSA - Comcast Corporation
« Reply #21 on: December 12, 2019, 12:18:20 PM »
15B on 300B EV is ~5% yield. Not attractive for me.

I believe the $15bn is FCF so after debt service.  It's $15bn on equity value of $190bn which is pretty appealing given the growth opportunities and stability of those cash flows.

FCF by definition is not after debt service.

Normally FCF is Cash Flow from Operations (from the Cash Flow Statement) less Capex.  That's after debt service, after taxes and after working capital.  I haven't gone back in here to confirm that the $15bn number aligns to that definition but this isn't OCF, it's FCF.

You are right. I was thinking about something else, my bad.
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Spekulatius

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Re: CMCSA - Comcast Corporation
« Reply #22 on: January 16, 2020, 05:05:13 PM »
So, CMCSA presented their Peacock streaming service today. It looks like they offer a mix of older shows, movies, live TV (news and sports) including the Olympics in either ad supported or without ads (charging $5/month more). Looks like a decent offering from a consumer perspective. I like that they cover the Olympics and my wife might appreciate the streaming news channel. Will likely subscribe to the premium service, at least for the duration of the Olympics. For us, it’s a better offering than Disney +.

As for Comcast, it’s not a make or break product like Disney + is for Disney, but rather a supplementary offering to keep both their content and cable business relevant.

https://www.cmcsa.com/static-files/0d39e63e-e9bc-4885-9345-0421ed299b37
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Jurgis

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Re: CMCSA - Comcast Corporation
« Reply #23 on: January 16, 2020, 06:22:14 PM »
Once all these guys remove their content from Netflix we gonna be back to the balkanized cable channel universe where you have to sub to 5+ services to see everything you want.  :'(

I guess the only positive is that you can sub for couple months, binge watch, then unsub, then repeat.
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cherzeca

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Re: CMCSA - Comcast Corporation
« Reply #24 on: January 16, 2020, 07:18:05 PM »
OT but I wonder if the major networks could form a sports licensing sub/joint venture and bid as a group on all of the major sporting events, and run a specialized sports sub package.  antitrust issues will be present but there is a body of antitrust law that enables joint ventures, and I could see the consumer benefitting, which is the touchstone of antitrust law.  nothing prevents amazon/netflix/google etc from competing to win sports programming, but a combined espn/universal/fox sports programming venture should be successful...that would be a dynamite streaming offering for me....

Spekulatius

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Re: CMCSA - Comcast Corporation
« Reply #25 on: January 17, 2020, 06:45:32 PM »
OT but I wonder if the major networks could form a sports licensing sub/joint venture and bid as a group on all of the major sporting events, and run a specialized sports sub package.  antitrust issues will be present but there is a body of antitrust law that enables joint ventures, and I could see the consumer benefitting, which is the touchstone of antitrust law.  nothing prevents amazon/netflix/google etc from competing to win sports programming, but a combined espn/universal/fox sports programming venture should be successful...that would be a dynamite streaming offering for me....

I donít think this would be allowed for competitive reasons. More likely, companies owning the customer relationships like the cable companies, Apple , Google, will make it easy to buy a bundle of services and/ or offer a transaction platform that makes it easy for customer to buy what they want.
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cherzeca

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Re: CMCSA - Comcast Corporation
« Reply #26 on: January 17, 2020, 07:34:41 PM »
OT but I wonder if the major networks could form a sports licensing sub/joint venture and bid as a group on all of the major sporting events, and run a specialized sports sub package.  antitrust issues will be present but there is a body of antitrust law that enables joint ventures, and I could see the consumer benefitting, which is the touchstone of antitrust law.  nothing prevents amazon/netflix/google etc from competing to win sports programming, but a combined espn/universal/fox sports programming venture should be successful...that would be a dynamite streaming offering for me....

I donít think this would be allowed for competitive reasons. More likely, companies owning the customer relationships like the cable companies, Apple , Google, will make it easy to buy a bundle of services and/ or offer a transaction platform that makes it easy for customer to buy what they want.

I get the competitive question but you have to realize that streaming (whether through internet or on a cable) is a massive industry that will only get much bigger.  I would expect partnerships to develop that "should" be permitted under antitrust laws.  it doesnt make sense for a consumer to have to scroll though 30 channels to find the sporting event he/she wants to watch.  both the consumer and the licensor will benefit from consolidation imo

dwy000

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Re: CMCSA - Comcast Corporation
« Reply #27 on: January 17, 2020, 09:05:02 PM »
OT but I wonder if the major networks could form a sports licensing sub/joint venture and bid as a group on all of the major sporting events, and run a specialized sports sub package.  antitrust issues will be present but there is a body of antitrust law that enables joint ventures, and I could see the consumer benefitting, which is the touchstone of antitrust law.  nothing prevents amazon/netflix/google etc from competing to win sports programming, but a combined espn/universal/fox sports programming venture should be successful...that would be a dynamite streaming offering for me....

I donít think this would be allowed for competitive reasons. More likely, companies owning the customer relationships like the cable companies, Apple , Google, will make it easy to buy a bundle of services and/ or offer a transaction platform that makes it easy for customer to buy what they want.

I get the competitive question but you have to realize that streaming (whether through internet or on a cable) is a massive industry that will only get much bigger.  I would expect partnerships to develop that "should" be permitted under antitrust laws.  it doesnt make sense for a consumer to have to scroll though 30 channels to find the sporting event he/she wants to watch.  both the consumer and the licensor will benefit from consolidation imo

Streaming will get bigger but streaming is just a distribution method.  Content is the thing that differentiates all the options, be it cable, networks, OTT or anything else.  It doesn't make a lot of sense to combine and share content because you lose all the differentiation of having something your competitors don't.  On the other side, if you're NBA, MLB, NFL, etc. you want to have as many different distribution platforms (streamers, cable, networks, OTA, etc) compete with each other to maximize the amount you get for the content you create.

One of the reasons I like Comcast so much is that they are years ahead of the game. Its like they saw this coming long before the first OTT platform went live.  Their X1 platform and their strategy is to become agnostic to distribution methodology and be the aggregation platform (riding on the backbone of their broadband).  At some point they will offer package pricing and you basically have the equivalent of cable but instead of 300 channels you have 50 different OTT content providers.  Netflix, Prime, AppleTV, Disney+ etc will all be the networks and cable channel equivalents.  And Comcast will not only get the broadband service but also take a cut from every content provider.

Munger_Disciple

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Re: CMCSA - Comcast Corporation
« Reply #28 on: February 13, 2020, 10:01:46 AM »
https://www.sec.gov/Archives/edgar/data/1166691/000119312520034732/d877213dsc13g.htm

Comcast took a 19.1% stake in Peloton. I don't get the point of this. Seems like they are "diworsifying" with Peloton, Sky, Peacock etc. and diluting the value of the crown jewel, i.e., Comcast Cable. I would rather they spin off the media crap and buyback a ton of Cable stock back.

BG2008

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Re: CMCSA - Comcast Corporation
« Reply #29 on: February 13, 2020, 10:45:38 AM »
https://www.sec.gov/Archives/edgar/data/1166691/000119312520034732/d877213dsc13g.htm

Comcast took a 19.1% stake in Peloton. I don't get the point of this. Seems like they are "diworsifying" with Peloton, Sky, Peacock etc. and diluting the value of the crown jewel, i.e., Comcast Cable. I would rather they spin off the media crap and buyback a ton of Cable stock back.

I think it is mostly from a $325mm Series E round.  That $325mm is now worth much more.  Not a bad payday.  Not sure if Comcast took more lately. 

NEW YORK--(BUSINESS WIRE)--Peloton, the technology company revolutionizing the fitness industry through its indoor cycling bike and studio content, announced that it has closed a $325 million series E financing round. The round was led by Wellington Management, Fidelity Investments, Kleiner Perkins, and True Ventures. Other significant investors in this round included Comcast NBCUniversal, GGV Capital, Balyasny, and QuestMark