On Friday, December 23rd, Comcast Corporation lost hope when King County Superior Court Judge Timothy Bradshaw denied dismissal against a case alleging that Comcast charged thousands of customers for service calls related to its own equipment or network problems.
Ferguson made a statement on Friday afternoon, saying “The court correctly rejected Comcast’s attempt to evade responsibility for deceiving its customers. Washington consumers deserve their day in court.” The trial is currently scheduled for July 31st, 2017. Analysts at top brokerage, GSI Markets are surprised at lack of fluctuations in the corporation’s stock following the judge’s decision.
Despite the lawsuit, Comcast has shown consistent growth in the third quarter of 2016 with high speed internet customers growing at the highest rate in three years.
"I'm pleased to report that our businesses generated double-digit revenue and operating cash flow growth for the third quarter of 2016,” said Brian L. Roberts, Chairman and CEO, “The Rio Olympics were the most profitable and successful games in our history, and demonstrated our ability to deliver an unparalleled entertainment experience through NBCUniversal together with Comcast Cable and the X1 platform. I'm proud of our consistent execution and excited about the opportunities ahead for Comcast NBCUniversal."
In the third quarter of 2016, revenue grew 14.2% to $21.3 billion, compared with $18.7 billion in the same period of 2015. This is a 7.4% growth year-over-year.
Operating income for the period totalled $4.4 billion, an 11% growth from the $4 billion in the third quarter of 2015. Operating income has seen a 5% year-over-year growth.
Earnings per share (EPS) increased 15% since the third quarter of 2015, at $0.92 versus $0.80. Year-over-year growth for EPS has risen 6.9%.
Free cash flow for the quarter fell 48.5%, from $2.7 billion in the third quarter of 2015, to $1.4 billion in the third quarter of 2016.
Third quarter table communication revenue expanded 6.9% to $12.6 billion from $11.8 billion in the same period last year.
During the third quarter of 2016, Comcast paid dividends totalling $663 million and repurchased 20.8 million of its common shares for $1.4 billion.
The Stock Market
As of 10:00 GMT on January 4th, Comcast Corporation stock (NASDAQ: CMCSA) is trading at 69.05 USD per share. The highest weekly close was 68.89 USD.
Traders at GSI Markets have been trading Comcast stock despite the corporation’s lawsuit, as their stock was barely affected after the decision on Friday. Speak to an expert at GSI Markets about trading Comcast stock during this period.
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