UPDATE: BMC Initiates Time Warner Cable at Hold

BMC is out with its report today on Time Warner Cable (NYSE: TWC), initiating TWC at Hold with a $93 PT.

In a note to clients, BMC writes, "To us Time Warner Cable is a strong operator with a good management team. The company benefits from economies of scale and has levels of service penetration and ARPU on par with the industry leaders. The stock has performed like a champ, up 86% since the end of 2009, as management has sought to maximize shareholder value with an aggressive capital return strategy. However, we believe TWC will find it increasingly difficult to generate upside to current FCF yields limiting further upside to the shares from capital returns."

Shares of TWC closed Friday at $79.24, down 0.94% from Thursday's close.