S&P has a buy rating on Sprint with $6 as target. It looks like Sprint is moving upward for several good reasons:
1) Sprint sales expected to increase during holiday season.
2) Sprint subscribers are increasing by 1.2 million because of recent completion of acquisitions.
3) Sprint is subject to be bought by DT or Comcast or others. This could easily move S price by about $2 to $3 per share if not more.
4) Sprint is trading at a fraction of its book value.
5) Sprint few days ago paid its revolving credit line/debt.
6) Sprint is cash flow positive and generating very strong cash.
7) Sprint is cutting cost and reducing work force by the end of this quarter. This implies that Sprint will generate more cash.
8) Sprint is launching 4G service in 20 major US cities and will add 4G service to about 120 million people next year.
9) Sprint is launching new 4G/3G products this holiday season and next year.
10)Credit Suisse has a target price of $6 on Sprint and also said that S can go to $9. So expect $6 to $9 per share for S in the coming weeks or months.
All of the above implies that Sprint is heading in the right direction. Sprint is truly a turn around story. I would not be surprised to see Sprint double or triple from here coming next year.
I think Sprint is heading much much higher for the reasons I mentioned before. The consolidation period is almost complete and a new attack will be launched to pass the $4 barrier and head toward $5. Read my original post and decide for yourself. If you believe in what I mentioned go ahead and buy the letter S. Otherwise stay away aqnd look somewhere else for a better investment. Sprint is boosting its subscriber base big time.
Stocks are all about expectation. If you expect S to tank then sell and leave and save yourself the time of posting. If you expect S to move higher from here then buy hold. Once you achieve your target you can sell. I expect S to go higher from here this is why I am holding it for now.
This is not new information. Please find the date and the related part of the S&P report. There is not link for this since it is provided by S&P to "select" customers by the brokers or it "may" be bought from S&P.
Stock Report | November 28,
2009 | NYS Symbol: S | S is in the S&P 500
Sprint Nextel Corp
S&P Recommendation BUY H H H H H Price
$3.75 (as of Nov 27, 2009)
12-Mo. Target Price
The current S&P rating for Sprint is a
"4 Star BUY."
They reiterated their rating the day earnings
No link available. If you Knuckle Heads had
something besides you super cheap brokerage,
you would be able to access the S&P's yourself.
My advice, spend a couple bucks more per trade
and get access to several "analist" reports such
as S&P, Thompson, etc, etc.