Comcast rises as Atlantic upgrades on 'de-risked' broadband expectations
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Comcast (NASDAQ:CMCSA) shares rose more than 1% in premarket trading on Tuesday as investment firm Atlantic Equities upgraded the media and telecommunications giant, citing recent underperformance in its stock.
Analyst Hamilton Faber raised his rating on Comcast (CMCSA) shares to overweight from neutral, while raising the per-share price target to $44 from $36, noting that the stock has underperformed the S&P 500 by 30% over the past two years on weakening broadband fundamentals, resulting in growth investors leaving the stock.
However, it looks as if broadband expectations have been "de-risked" and there may be potential upside later this year, assuming a rebound in the housing market. 
"Furthermore, in the event of a recession later this year, Comcast is well positioned as a defensive name," Faber wrote in an investor note.
In addition, Faber said any potential acquisition of Warner Bros. Discovery (WBD) by Comcast (CMCSA) - something that has been rumored about - and a subsequent spin-off of the resulting content business could be worth an additional $8 per share. 
Nintendo (OTCPK:NTDOY) and Illumination's (CMCSA) The Super Mario Bros. Movie continued to be a strong-hold at the box office in its second weekend, grossing $92M in receipts and becoming the top movie of 2023.
Analysts are largely bullish on Comcast (CMCSA). It has a BUY rating from Seeking Alpha authors, while Wall Street analysts rate it a BUY. Conversely, Seeking Alpha's quant system, which consistently beats the market, rates CMCSA a HOLD.