Comcast: Cable Delivery
While we have Netflix (NFLX) and mobile telephony, cable to the home and business is not going away. Cable still delivers voice, Internet and entertainment connectivity. The big four players in this segment are Time Warner Cable (TWC), Cablevision (CVC), Verizon (VZ) and Comcast (CMCSA - Get Report).
Cablevision was one of my " 11 Worst-Run Companies of 2011," and I do not see any reprieve for the company anytime soon.Time Warner Cable has two problems: First is that the company has too much debt for my liking. Second is that Time Warner Cable has a poor relationship with its content providers leaving many subscribers without access to their favorite channels. Verizon is a solid company with an excellent dividend that benefits from its relationship with Apple. However, its foray into fiber optics with its FIOS business is limited. That leaves us with Comcast. Comcast delivers voice, Internet and cable to its customers as well as operates many of its own cable and broadcast networks including many that acquired through its joint venture with NBC Universal. The company will generate 20% or more earnings growth in 2011 and 2012 and is buying back at least $1 billion of stock every year. I expect the stock to rise at least 10% in the coming year, which is more than I can say for the competitors that I mentioned before. Comcast, one of Goldman Sachs' Consumer Stock Best Buys for 2012, shows up on a recent list of 10 Stocks of Top-Performing Funds in 2012. Follow @stockpickr