Level 3 needs to get out of this merger with CTL. It is killing the LVLT stock value!!
Should never have hitched their wagon to Century Link!!
Downside risk pretty much eliminated now I would guess, thoughts? This is so frustrating trying to find trade ideas. I've subscribed to some email newsletters which helps me with new stock ideas. awe*some*stocks is the one i like best.
A 32 forward P/E multiple for a company with little to no revenue growth, insane competition & tons of debt...You must be crazy!
Why is this board so Quit
LVLT should kill merger with CTL if allegations of CTL fraudulent sales are true. They would have no problem walking away with no penalty if they took it to court. It will take years for CTL to recover if true and the dividend will probably be cut significantly.
Yahoo Finance Insights
LVLT reached a new All Time High at 63.44
Yahoo Finance Insights
LVLT reached a new All Time High at 62.81
Things seem to be getting overextended for LVLT. have you guys heard of awesome.stocks. i started receiving their allerts and so far i am happy.
My scenario for what happens after the merger :
We end up with CTL shares + cash . What to do with that cash ???( I'll answer that later) CTL + LVLT merger creates issues integrating not only the networks, but the back room operations too. The combined company struggles to show any improvement, and then out of nowhere , the DIVIDEND gets cut, maybe 50%, to preserve capital and meet debt service (BIG debt service!) The price tumbles to <$20, so with a ~~$1 div we have a 5% yield, about on par with T & VZ. AFTER the price tumble is the time to use the cash they paid you to add more CTL shares Company after 2-4 years goes into a slow growth mode with perhaps some small div increases. The company MUST retain LVLT CFO Sunit Patel to re-jigger all the debt as he did to improve LVLT finances. IF Sunit is NOT with the new company, I would sell my shares.
Where is the nightmare? I bot Global Crossing debt at 2 cents on the dollar, got my shares in LVLT and am sitting on a huge capital gain. Taxes are the only worry. In this kind of share, TIMING is just as important as judgment. Of course, LVLT has given us some bad moments, but for me well worth it.
This nightmare investment is almost over for me.
CTL and LVLT are tied to the hip by the arbitrage game. No surprise in this as it's the way the game is played. It will be this way up until the deal is sealed, the bride/groom kiss and all parties walk down the aisle on their way out the door.
X axis : Stocks Price Correlation Coefficient Y axis : Quantity of stocks Sep-2016 1,000 Day Parameter 4,338 NYSE Stocks Price Analysis This stock mode of correlation coefficient is 0.9 In other words, the correlation coefficient of the other stocks
$LVLT A break of 58.90 could move it up to 68.80 in short term. Technical strong buy at stoxline.
If we are to go off the P/E which is 30.67, then you could argue that a pull back on LVLT next day or so could occur before rallying up. Ive been struggling with this stock lately. Some of my other trades have been from aw-esomeSTOCKS which are working out pretty well.
i think good earnings from CTL and LVLT and we pop over 60
LVLT Beat by .25 cents slightly lower on revs See what happens tomorrow
Clawing @ $60 !
any one know when deal shouldd close? guesses on price at close?