Would Comcast buy Verizon? Citi analyst thinks it should

Should Comcast buy Verizon - Connected Real Estate Magazine
Citi Analyst believes Verizon should be acquired by Comcast.

The idea that Comcast Corp. should purchase Verizon Communications was voiced by Citigroup analyst Jason Bazinet on Wednesday, July 26—and, according to him, it could be worth $215 billion.

Comcast and Verizon have not confirmed or denied anything about this idea, and there has been no mention of any discussions between the major carrier and the cable company.

Bazinet wrote in a research note that the cable company could pay a 20 percent premium for Verizon, and with a market value around $179 billion dollars, Verizon is worth $215 billion. Verizon’s shares are down by 17 percent and it has become smaller than Comcast, market-value wise, according to Bazinet.

“It’s a call Comcast should make…and Verizon should take,” wrote Bazinet.

Comcast and Verizon have history, as Comcast plans to use Verizon spectrum to fuel its Xfinity Mobile network, as a result of its deal with the carrier as a mobile virtual network operator (MVNO). Comcast, and their partner Charter Communications, have been working to find another source of spectrum, since they can only re-sell Verizon’s for so long. If these two companies were to purchase Verizon, they would have the spectrum at their disposal.

Nothing is set in stone, but a Verizon-Dish Networks partnership has been popular pairing among analysts in the industry.

Verizon CEO Lowell McAdam teased a potential merger with another major company, which might include Disney, Comcast or CBS, according to a report from Bloomberg back in April.

If you enjoyed this article consider reading this here.

Please follow and like us:
Share this article:

Leave a Comment

Your email address will not be published. Required fields are marked *