Sprint Corp. Rating Increased to Outperform at Macquarie (S)
Sprint Corp. (NYSE:S) was upgraded by investment analysts at Macquarie from a “neutral” rating to an “outperform” rating in a note issued to investors on Wednesday, TheFlyOnTheWall.com reports. The firm currently has a $7.50 price target on the stock, up from their previous price target of $7.00. Macquarie’s price target would indicate a potential upside of 19.05% from the company’s current price.
The analysts wrote, “In our opinion, recent weakness in Sprint shares due to concerns over a weak Q3 and Q4 and potential 2014 EBITDA guidedown have created an entry point in what we believe is the most compelling 3-5 year story in large cap US telecom. Given the limited liquidity in S shares post tender, we are prepared to be a few months early in order to not miss what could be a rapid 20-30% next year. Larger investors should take advantage of any increased volatility and liquidity around the Q3 print to aggressively build positions ahead of what we think will be improving newsflow and postpaid sub trends over the next few qtrs. At the end of the day, we believe that spectrum quantity wins and in Son-San‟s vision and track record of execution. Now that the market has a more realistic view of the timing and costs of Network Vision as well as the sub and EBITDA ramp for S, we think the stock has been significantly de-risked since the closing of the SoftBank deal.”
Other equities research analysts have also recently issued reports about the stock. Analysts at Credit Suisse initiated coverage on shares of Sprint Corp. in a research note to investors on Tuesday, September 17th. They set an “underperform” rating and a $5.50 price target on the stock. Separately, analysts at Evercore Partners initiated coverage on shares of Sprint Corp. in a research note to investors on Monday, September 9th. They set an “equal weight” rating on the stock. Finally, analysts at Zacks reiterated a “neutral” rating on shares of Sprint Corp. in a research note to investors on Friday, August 23rd. They now have a $7.25 price target on the stock. Three research analysts have rated the stock with a sell rating, nineteen have assigned a hold rating, seven have assigned a buy rating and one has issued a strong buy rating to the company’s stock. The company has an average rating of “Hold” and an average price target of $6.99.
Sprint Corp. (NYSE:S) traded up 4.48% during mid-day trading on Wednesday, hitting $6.30. 23,866,004 shares of the company’s stock traded hands. Sprint Corp. has a 52-week low of $5.61 and a 52-week high of $7.26. The stock has a 50-day moving average of $6.36 and a 200-day moving average of $6.45. The company’s market cap is $24.743 billion. Sprint Corp. also was the recipient of some unusual options trading activity on Monday. Traders bought 20,894 put options on the company. This represents an increase of approximately 1,332% compared to the typical daily volume of 1,459 put options.
Sprint Corp. (NYSE:S) last released its earnings data on Tuesday, July 30th. The company reported ($0.53) earnings per share for the quarter, missing the analysts’ consensus estimate of ($0.28) by $0.25. The company had revenue of $8.88 billion for the quarter, compared to the consensus estimate of $8.73 billion. During the same quarter last year, the company posted ($0.46) earnings per share. Sprint Corp.’s revenue was up .4% compared to the same quarter last year. On average, analysts predict that Sprint Corp. will post $-1.17 earnings per share for the current fiscal year.
Sprint Nextel Corporation (NYSE:S), is a holding company, with its operations primarily conducted by its subsidiaries.
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.