The cable and film giant has been on a quest to keep and attract subscribers with a diversified offering of services and high-speed Internet.
So if you buy shares now you not only get a foothold in meda, you get a pretty good dividend. But you have to buy by Monday, which is when the company finalizes who gets the checks.
Comcast will make a cash payment of 27.5 cents per share on April 27 to shareholders of record as of April 6 after many quarters of paying 25 cents. With shares at around $60, Comcast's dividend yield is 1.83%, a little below what is paid out by the average stock in the S&P 500.
Comcast shares are up 6.3% for the year to date and 7.3% for the past 52 weeks, so it must be doing something right to withstand those who prefer watching television through Internet-based streaming services such as Netflix (NFLX) - Get Netflix Inc. Report . It doesn't hurt that Comcast's film division's successful movies include Straight Outta Compton and Jurassic World.
Comcast is now projected to grow earnings at an annual rate of 9% in the next five years, almost twice the S&P 500 index. It has a consensus buy rating and its average analyst 12-month target is $69, suggesting 15% gains from current levels. Comcast is also aggressively buying back shares. Buy now.
This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.