Verizon Pulls an Asset from Comcast and Time Warner

In a bid to meet rising demand for internet bandwidth, Verizon Wireless (NYSE:VZ) agreed to purchase wireless spectrum from SpectrumCo LLC, a joint venture between cable operators Comcast (NASDAQ:CMCSA), Time Warner Cable (NYSE:TWC), and closely held Bright House Networks.

The sale proceeds of $3.6 billion will be split between the three JV partners in the ratio of their holdings – Comcast (NASDAQ:CMCSA), holding 63.6% gets $2.3 billion, Time Warner (NYSE:TWC) with 31.2% receives $1.1 billion, and Bright House gets $189 million for its 5.3%.

Verizon Wireless is also a joint venture – Verizon Communications Inc and Vodafone Group Plc (NASDAQ:VOD) are the partners.

Here’s how these stocks are trading on the news:

Verizon Communications Inc. (NYSE:VZ): VZ shares recently traded at $37.75, down $0.02, or 0.05%. They have traded in a 52-week range of $32.28 to $38.95. Volume today was 6,339,153 shares versus a 3-month average volume of 15,817,000 shares. The company’s trailing P/E is 15.18, while trailing earnings are $2.49 per share.

Comcast Corporation (NASDAQ:CMCSA): CMCSA shares recently traded at $23.46, up $0.89, or 3.94%. They have traded in a 52-week range of $19.19 to $27.16. Volume today was 13,043,210 shares versus a 3-month average volume of 19,488,300 shares. The company’s trailing P/E is 16.88, while trailing earnings are $1.39 per share.

Vodafone Group plc (NASDAQ:VOD): VOD shares recently traded at $26.81, down $0.39, or 1.43%. They have traded in a 52-week range of $24.31 to $29.75. Volume today was 3,479,383 shares versus a 3-month average volume of 8,863,800 shares. The company’s trailing P/E is 12.47, while trailing earnings are $2.15 per share.

Time Warner Cable Inc. (NYSE:TWC): TWC shares recently traded at $62.97, up $2.05, or 3.37%. They have traded in a 52-week range of $57.15 to $80.86. Volume today was 1,604,004 shares versus a 3-month average volume of 2,783,760 shares. The company’s trailing P/E is 14.54, while trailing earnings are $4.33 per share.

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