Goldman Sachs Suggests Buying Calls on Comcast Corporation (CMCSA)

Goldman Sachs is out with a research note this morning, where it suggests that traders buy calls on Comcast Corporation CMCSA ahead of the June Cable Show. Comcast is Goldman Sachs Telecom & Cable analyst, Jason Armstrong's, top Cable/Satellite pick heading into 1Q earnings, given: (1) above consensus PSU (primary service unit, or voice + broadband + video subscribers) and accelerating ARPU (average revenue per user) growth, (2) release of NBCU pro formas, and (3) increased shareholder returns. He sees 30% upside to his 12-month price target of $31 on Buy-rated shares. Goldman Sachs suggests buying the June $25.00 calls for $0.62. Comcast Corporation is a provider of video, high-speed Internet and phone services to residential and business customers in the United States. As of December 31, 2010, the company's cable systems served approximately 22.8 million video customers, 17 million high-speed Internet customers and 8.6 million phone customers, and passed over 51 million homes and businesses in 39 states and the District of Columbia.