2nd quarter earnings were announced on 7/30. Sprint lost $.53 per share when estimates were for a loss of $.30 per share. Maybe it was guidance, maybe it was more certainty, but something unusual happened. On 7/29 S closed at $5.74 per share. On 7/30 (when earnings were announced) S closed at $6.16 per share. On 8/9 S closed at $7.25 per share, on 10/10 S closed at $5.97 per share. Currently, at 1:40 on 10/25, S is bid at $6.47 per share.
If 3rd quarter estimates beat the average estimate of a loss of $.21, who knows what might happen. Also, if guidance is positive and more future certainty is provided, and I believe it will be, S could trade much higher. (regardless of the amount of the 3rd quarter loss) All in all, it will be interesting to see what happens after 3rd quarter earnings are announced at 7 AM on 10/30. After all, as some of you know and as I have said many times:
It seems probable that SoftBank buying shares (after the second quarter earnings report) did increase the price of S. From 7/20 to 8/9 S rose from $5.74 to $7.25. Unfortunately, for shareholders, this did not sustain the price of S. This time around, I would like to see excellent guidance, subscriber growth beating estimates, and for Sprint to lose less per share than what is estimated. And, I wouldn't mind SoftBank buying a few more shares !!
You have options on the brain probably because that's all you can trade. We are now getting into earnings mode, just like 2q, and most expect bad earnings which may well drive pps down. Just like 2q, the issue will be how the street responds, does it focus on bad earnings or merger benefits and outlook. You posted 2q earnings were better than expected.
Like your friend BB indicated, they were actually worse. But the street bought the outlook and merger benefits and moved the pps up on earnings day despite the bad earnings, not because they were better than expected as you posted,. but because of vision, outlook and potential merger benefits. And like my prediction said, when the street showed that it bought the outlook by moving the pps up on earnings day, the stock has meandered upward since then with the pps today higher than it was the day before earnings day. Correct prediction.
Now despite all your short posts, flow posts, share count and other nonsense, the real info will be provided on earnings day by how the street takes the pps. That will set the trend for the next quarter. Will the street take pps down because of poor earnings and subs or buy the vision, outlook and merger benefits like it did on 2q earnings day. We shall see. But all your posting topic nonsense means nothing in the scheme of how the street will actually react on earnings day. . And I am sorry your cash election, no dilution impact and pps will not go below 7 predictions did not hold up. The pps movements from merger have been fully expected and reasonable since merger irrespective of short interest and share count and short term will shall see how the streets decides to trend the pps. Long term, the scenario remains very bullish for the reasons already posted, none of which have changed.
Hesse commented publicly a number of times that 3rd AND 4th Qtr earnings would not be good. The analysts and investors already know that low expectations are expected...Son knows it will take time... Nothing new here...