THis is a correction. Nobody asked WTF when it rocked up from 75 to 100+. 100+ stock price was driven by Alltel and DObson valuation. It is unlikely that USM will be acquired anytime soon so that valuation did not stick. They have solid financials and continue to deliver so the stock will continue to appreciate in my opinion but it will not be back to 100+ anytime soon on business results alone.
I'm with you--WTF? I really stared at the numbers released yesterday. They look pretty good. Revenues up more than expenses. ARPU up, data rpu up big. Roaming revenue up quite a bit. Net adds weren't the greatest, churn had a slight uptick. Nothing in it deserves this ass kicking.
Maybe somebody knows something about the efforts to get the financial house in order--like maybe it ain't happnin?
Based on what Dobson and RCC went for--this price is a screamin buy--unless there are some soon to be announced shenanigans going on--then all bets are off.
I think it was in response to the Leap Wireless drop yesterday. As USM is not a big 3, perhaps there was a simpathy reaction to the Leap drop. Or maybe there was a drop due to the reactions in subprime that are leading people to believe the buyout streak in over. But overall, I agree with the side by side review of this company being a buy versus the Alltel, Dobson, Rural Wireless buyouts.
I don't understand the stock reaction myself. Insider selling? Volume is up 4-5x normal. The reaction looks completely irrational based on the results and the guidance given at the call this week. OVERSOLD