UPDATE: Deutsche Bank Raises PT on Time Warner Cable to $92 (TWC)

Deutsche Bank is out with its report on Time Warner Cable TWC, raising its PT from $88 to $92. In a note to clients, Deutsche Bank writes, "We see improving cable sector trends (subs better, SMB scaling, stable margins, dramatically improving user interface and on-demand content, pricing power in broadband, telecom share gains, bullish transition to IP video, moderating capital intensity), while over-the-top cord cutting fears should moderate. We believe TWC shares are cheap (10.3x ‘11E FCF, 8.5x ‘12E) and it is returning capital aggressively. Our DCF target is raised $4 to $92 due to higher estimates, and is based on a 7.8% WACC (10.6% cost of equity, 7% pre-tax cost of debt) and 0% growth (matching sector)." Deutsche Bank maintains Buy on TWC. Shares of TWC closed Wednesday at $72.37.