Nomura reaffirmed their buy rating on shares of Time Warner Cable (NYSE:TWC) in a report issued on Monday, Analyst Ratings.Net reports. They currently have a $125.00 target price on the stock, up from their previous target price of $100.00.
“Results in 2Q13 continue to reflect the revamped strategy undertaken since the beginning of the year: better profitability at the cost of customer gross additions. We believe the better-than-expected Adj. EBITDA performance is encouraging, but an improvement in subscriber metrics and revenue will take until 2014 to prove out. We are raising our target price to $125 based on our DCF analysis, equivalent to 7x 2014E EBITDA. While shares have been influenced by the consolidation theme, we remain positive on the shares due to steady EBITDA growth and consistent shareholder returns. We expect buybacks and dividends will represent 10% of TWC’s market cap in 2013 and 2014, with the potential for more. Expensive M&A could derail this thesis, though we believe the management team will remain financially disciplined.,” Nomura’s analyst wrote.
Nomura has also taken action a number of other consumer discretionary stocks recently. The firm reiterated its neutral rating on shares of DISH Network Corp.. They have a $41.00 price target on that stock, up previously from $31.00. Also, Nomura reiterated its neutral rating on shares of Charter Communications Inc.. They have a $120.00 price target on that stock, up previously from $95.00.
Shares of Time Warner Cable (NYSE:TWC) traded down 0.72% during mid-day trading on Monday, hitting $108.08. 312,118 shares of the company’s stock traded hands. Time Warner Cable has a 1-year low of $84.57 and a 1-year high of $120.93. The stock has a 50-day moving average of $114.0 and a 200-day moving average of $99.36. The company has a market cap of $30.887 billion and a price-to-earnings ratio of 14.91.
The company also recently declared a quarterly dividend, which is scheduled for Monday, September 16th. Investors of record on Friday, August 30th will be given a dividend of $0.65 per share. This represents a $2.60 dividend on an annualized basis and a yield of 2.39%. The ex-dividend date of this dividend is Wednesday, August 28th.
Several other analysts have also recently commented on the stock. Analysts at Argus raised their price target on shares of Time Warner Cable from $115.00 to $130.00 in a research note to investors on Tuesday, August 6th. They now have a buy rating on the stock. Separately, analysts at Wunderlich reiterated a hold rating on shares of Time Warner Cable in a research note to investors on Monday, August 5th. Finally, analysts at Hudson Square Research raised their price target on shares of Time Warner Cable from $114.00 to $134.00 in a research note to investors on Friday, August 2nd. They now have a buy rating on the stock.
Fifteen research analysts have rated the stock with a hold rating and sixteen have issued a buy rating to the company’s stock. The stock presently has an average rating of Buy and a consensus target price of $110.60.
Time Warner Cable Inc (NYSE:TWC) is a provider of video, high-speed data and voice services in the United States with systems located in five geographic areas: New York State, the Carolinas, Ohio, Southern California and Texas.
Get Analysts' Upgrades and Downgrades via Email - Stay on top of analysts' coverage with Analyst Ratings Network's FREE daily email newsletter that provides a concise list of analysts' upgrades and downgrades. Click here to register now.