The Dividend Daily

Cable TV and Internet provider Comcast Corporation (CMCSA) saw its rating and price target downgraded on Monday by analysts at Kaufman Bros.

The analyst cut its rating on CMCSA to “Hold” from a previous “Buy,” and lowered its price target on the stock to $17 from $18. Comcast shares had closed at $14.50 on Friday.

Kaufman cited uncertainly about the company’s bid to buy entertainment giant NBC Universal for the downgrade, “creating what looks like a value trap.”

Comcast shares rose 18 cents, or +1.2%, in premarket trading Monday.

The Bottom Line
We have avoided shares of CMCSA since our early June coverage began last year, when the stock was trading at $21.94. The company has a dividend yield of 1.86%, based on Friday’s closing stock price of $14.50. The stock has technical support in the $13 price area. If the shares can firm up, we see overhead resistance around the $16.50-$18.00 price level. We would remain on the sidelines for now

Comcast Corporation (CMCSA) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.2 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.