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Shares of Comcast (CMCSA) are down 23 cents, or 0.6%, at $36.60, after the company this morning reported Q3 revenue that missed analysts’ expectations, but beat on the bottom line, and chief Brian Roberts said the company has become a broadband company, riding the rise of Internet usage even as video subscribers decline.

Revenue fell 1.6%, year over year, to $20.98 billion, missing the average $21.05 billion estimate, but profit per share of 52 cents was 3 cents better than expected.

The company’s NBC-Universal had a “tough compare,” as they say, with the year-earlier broadcast of the Rio Olympics, and the unit’s revenue plummeted almost 13%, but would have been up 6% excluding the impact of Rio.

The cable unit, however, saw revenue rise 5%, driven by a 9% rise in broadband internet revenue. While Comcast lost 125,000 video subscribers, versus a year-earlier gain of 32,000, its broadband unit picked up another 214,000 Internet users. Total video subscribers at quarter’s end, 22.39 million, is less than the number of Internet users, 25.52 million.

Hence, Roberts, appearing this morning on the CNBC channel he owns, told the channel’s Becky Quick that "we believe we’ve kind of pivoted to where broadband is the first product; we have 25 million broadband customers, 22 million video."

Added Roberts, "broadband is more profitable, it’s now a majority of the cash flow comes out of the broadband business."

Craig Moffett of the eponymous Moffett Nathanson boutique research house believes the good news isn’t fully appreciated. He has a Buy rating on Comcast stock, and a $45 price target, and this morning he writes that most analysts on the buy side probably didn’t expect the lift in average revenue per broadband sub, and the lift to margins.

Comcast’s residential broadband ARPU grew by 3.7% YoY. That was enough to keep cable margins flat even though a period when programming costs were up an above-trend 12.4% YoY. Most investors understand that broadband margins are much higher than video, and they are well aware that standalone broadband carries higher prices than bundled broadband. But are most buy side models “wired” in a way that recognizes this reflexive uplight to margins? We suspect not (given that the consensus for margins four years from now is no higher than for 2018). And we probably also didn’t know that cable capital intensity would fall by 70 bps […] The net impact of higher margins and lower capital intensity should be higher free cash flow…and a higher warranted multiple […] It could be that all the bad news is already in. It looks to us like the good news isn’t.