Comcast's Split Won't Stop the Bleed — Cable's 5G Ex Problem 📉

Comcast (CMCSA) is preparing to separate its cable and broadband business from NBCUniversal through a tax-free spinoff expected to take about a year, according to announcements on June 30 and July 1, 2026. The deal will create two independent publicly traded companies: one focused on connectivity and technology, the other on media and entertainment including NBC, Peacock and the Universal theme parks. Current shareholders will receive stock in the new media company, with no cash changing hands.

The corporate reshuffle comes as Comcast shares trade around $23.73, near a 52-week low. The stock has fallen close to 30% over the past year, while cable peer Charter Communications is down about 33% in 2026. Comcast last reported about $7.9 billion in adjusted earnings from its connectivity unit in the most recent quarter, a decline of more than 4% year over year. The company carries a 4x multiple with a dividend yield of 5.38% and EPS of $5.

The wider communication services sector has risen roughly 1.4% over the past six months, but that gain has been concentrated in AI-linked giants Alphabet and Meta rather than telecom and cable names. Fixed wireless home internet services from Verizon and T-Mobile have continued to draw customers away from cable broadband, putting Comcast on the losing side of that subscriber shift.

Spinning off NBCUniversal and Sky does not by itself reverse the customer losses in Comcast's core connectivity business, and analysts note that structural changes do not address the underlying trend of cord-cutting and wireless substitution. Earnings and subscriber figures from the separated units will determine whether the split alters investor perception of the remaining connectivity company.