Comcast's Q3 should please investors

Cable entity Comcast (NASDAQ: CMCSA) had a kicking third quarter. A look through the press release shows a string of double-digit growth rates. Can't complain about that in a distressed economic period. Revenues, operating cash flow, and free cash flow really shined. Adjusted earnings per share increased 33% to $0.24.

According to this article, the bottom line beat expectations by two pennies. However, that article also contained a bit of a bearish take on Comcast's quarter from an analyst. I don't know, I thought Comcast did a decent job considering the recession. There's no question that the business will be affected by the slowdown and the bad housing market. I concede that. But, given that management is maintaining its outlook for revenue and operating cash flow growth, I just don't feel bearish on the stock from a longer-term perspective. And let's think about this. If digital content distribution is destined to be the wave of the future, won't Comcast be a major player in that wave? I would think it would be. Don't get me wrong, it has competition to contend with. You've got Verizon (NYSE: VZ) and its FiOS product, DISH Network (NASDAQ: DISH) and its satellite offerings, etc. Comcast and its Internet/phone services have had great success in terms of resonating with subscribers. The company is doing well, in my opinion, of building valuable brand equity for itself.

And keep in mind that content providers such as Disney (NYSE: DIS), Time Warner (NYSE: TWX), Viacom (NYSE: VIA), and Sony (NYSE: SNE) will always find it to their advantage to work with Comcast on hatching new distribution avenues for content, a fact that will provide further growth opportunities for the cable company. As an example, Comcast, with partners Lions Gate Entertainment (NYSE: LGF) and Sony, is involved with the Fearnet horror channel. Yes, I would definitely say that Comcast is going to increase its reputation as a player in Hollywood. And that should be good for the stock.

Disclosure: I own Disney; positions can change at any time.