4.5600 0.00 (0.00%)
After hours: 4:50PM EST
|Bid||4.5300 x 21500|
|Ask||4.5500 x 1100|
|Day's Range||4.4600 - 4.6800|
|52 Week Range||4.4600 - 8.0600|
|Beta (5Y Monthly)||0.21|
|PE Ratio (TTM)||N/A|
|Earnings Date||Jan 26, 2020|
|Forward Dividend & Yield||N/A (N/A)|
|Ex-Dividend Date||Dec 04, 2007|
|1y Target Est||6.16|
TECHnalysis Research President and Chief Analyst Bob O'Donnell joins On The Move to discuss the Consumer Electronics Show and the latest tech innovations going into 2020.
(Bloomberg) -- Sprint Corp. is returning to the bond market after a nearly two-year hiatus, as the high-yield market bounces back from a recent selloff.The telecom company -- one of the largest high-yield issuers -- is looking to borrow $1 billion to refinance debt, according to a statement Wednesday. The eight-year notes, which can’t be bought back, will be Sprint’s first dollar-denominated junk bond offering since February 2018, according to data compiled by Bloomberg.Sprint is coming off of a quarter in which subscriber gains exceeded analysts’ predictions, while its $26.5 billion takeover by T-Mobile US Inc. remains in limbo. The acquisition could be somewhat of a lifeline for Sprint, as it’s unclear whether the company can fund itself in the long-run without help from its parent SoftBank Group Corp. or T-Mobile, according to Bloomberg Intelligence analyst Stephen Flynn.It’s also been a great environment to refinance debt for riskier companies in the high-yield and leveraged loan markets. Initial pricing discussions were in the range of 7%, people familiar with the matter said. Investors had placed orders of more than $3 billion by about 1pm in New York, three times the size of the offering. JPMorgan Chase & Co., lead bank on the deal, didn’t immediately respond to a request for comment.There’s been more than $33 billion of junk bonds sold so far this month, already the busiest January in more than a decade. Most of the issuance has been for refinancing as average yields -- while higher this week amid a temporary weakening -- are still historically low.JPMorgan Chase, Goldman Sachs Group Inc., Barclays Plc, Citigroup Inc., Credit Agricole SA and Mizuho Financial Group Inc. are managing the bond sale, according to a person with knowledge of the matter. The notes are expected to price Thursday, the person said, asking not to be identified as the details are private.(Updates with information about deal orders in fourth paragraph)\--With assistance from Gowri Gurumurthy.To contact the reporter on this story: Olivia Raimonde in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Nikolaj Gammeltoft at email@example.com, Molly Smith, Natalie HarrisonFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Moody's Investors Service (Moody's) assigned a B1 rating to Sprint Corporation's (Sprint) new $1 billion senior unsecured junior guaranteed notes due 2028 (Notes). All of Sprint's credit ratings are on review for upgrade.
Sprint Corporation (NYSE: S) today announced that it has commenced an offering of $1.0 billion aggregate principal amount of guaranteed notes in a private transaction that is exempt from the registration requirements of the Securities Act of 1933, as amended (the "Act"), subject to market and other conditions. The notes will be guaranteed on a senior basis by Sprint Communications Inc., which guarantee will in turn be guaranteed on a senior subordinated basis by each of the company's wholly-owned subsidiaries that guarantees its existing credit agreement.
Lower Lifeline program revenues with year-over-year decline in equipment sales and wireless service revenues affect Sprint's (S) third-quarter fiscal 2019 performance.
Sprint’s per-share loss was smaller than Wall Street analysts expected, but the results showed challenges continue for the embattled telecommunications company.
Sprint (S) delivered earnings and revenue surprises of 40.00% and -1.35%, respectively, for the quarter ended December 2019. Do the numbers hold clues to what lies ahead for the stock?
Shares of Sprint Corp. are up 0.2% in premarket trading after the wireless company posted a slimmer loss than expected for its fiscal third quarter but fell short on revenue and saw its postpaid phone churn rate climb. Sprint recorded a net loss of $120 million, or 3 cents a share, compared with a loss of $141 million, or 3 cents a share, in the year-prior period. Analysts surveyed by FactSet were expecting a 4-cent loss per share. The company posted net operating revenue of $8.08 billion, down from $8.6 billion a year earlier. Sprint's revenue came in below the $8.18 billion that analysts had been predicting. The company saw its postpaid phone churn rate rise to 2.06% from 1.84% in the prior December quarter. "As we await a decision in the state attorneys general lawsuit, I continue to believe the merger with T-Mobile is the best way to deliver the benefits of competition to American consumers," Chief Executive Michel Combes said in a release. Sprint shares have fallen 24% over the past three months, as T-Mobile shares have been near flat and as the S&P 500 has added 9%.
Investors look at postpaid subscribers, or people who pay a recurring monthly bill, because they tend to stay with carriers longer and are more profitable than prepaid phone customers. The company said it lost 115,000 postpaid phone subscribers during the quarter ended Dec 31. Analysts were expecting a net loss of 160,000 subscribers, according to research firm FactSet.
Sprint said it's optimistic about completing the remaining regulatory steps in its long-delayed $26 billion merger with T-Mobile U.S. after it posted a narrower-than-expected third quarter loss.
Sprint (S) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Sprint (NYSE: S) and Direct Energy Renewable Services announced today that all of Sprint's more than 800 Virginia locations will now be served with 100% Renewable energy. This agreement includes Sprint's retail locations, cell phone towers, and Sprint's east coast corporate office in Reston, Virginia. These facilities will use more than 88,000 MWh per year. For Sprint, the effort is part of the recent corporate commitment to be carbon neutral across all of their operations by 2025.
(Bloomberg Opinion) -- Traders who make a living betting on mergers still won’t touch T-Mobile US Inc. and Sprint Corp.’s deal with a 10-foot pole. The wireless carriers may have been able to butter up two federal regulatory authorities by using the wonders of a 5G-powered America to distract from their deal’s likely competitive harm. Even so, merger-arbitrage traders live in a world of mathematical probabilities informed by laws and legal precedents, and on that basis, it’s hard to imagine that the judge presiding over a case brought by a group of state attorneys general opposing the deal will rule in the companies’ favor. Lawyers for both sides each delivered closing arguments Wednesday, with a decision from U.S. District Judge Victor Marrero expected to come some time in February. Analysts largely view the odds as a toss-up, if not slightly tipped in T-Mobile and Sprint’s favor. But the equity market paints a meaningfully different picture: The per-share value of T-Mobile's offer is 67% higher than where Sprint's shares are trading, by far the biggest spread of any pending U.S. deal. The wide gap implies that traders see an extremely low likelihood that the transaction gets done, and Sprint options activity is sending the same signal.Of course, this also means that if the companies do win in court, some traders popping antacids right now stand to make a substantial return. But for the most part, arbitrageurs have chosen to stay away. “This is one of those seminal situations in merger arb history,” said Roy Behren, a portfolio manager for the Merger Fund at Westchester Capital Management, which oversees $4 billion of assets. He found T-Mobile and Sprint’s arguments persuasive — that together the companies will be able to build out a nationwide 5G service faster, and that Sprint doesn't have the capital or scale it needs to compete. But the potential downside is painfully large, and so it’s simply too hard to make a bet on what will happen. “We like the case, but that doesn’t mean we want to risk shareholders’ money on something where we don’t have a huge conviction,” Behren said in a phone interview. The case may come down to Dish Network Corp. and its assigned role in ensuring the U.S. wireless market remains competitive. Makan Delrahim, the head antitrust enforcer at the Department of Justice, is placing incredible faith in Dish that it can fill the hole Sprint leaves behind and become a formidable new competitor to T-Mobile, AT&T Inc. and Verizon Communications Inc., even though it will most likely take years for Dish to live up to those expectations.T-Mobile has relied heavily on the argument that its brand as the customer-first “Un-carrier” means it can be trusted not to raise prices in the meantime, Blair Levin, an analyst for New Street Research, wrote in a report this week. The idea is that with Sprint, it will be able to spread out its network costs across a larger subscriber base and thus keep plan rates low. But as the state attorneys general have noted, AT&T and Verizon have greater scale and higher prices. Judges look at facts and precedent. Just as there was a compelling case to make against AT&T acquiring Time Warner last year in what amounted to a massive vertical consolidation of market power, it was hard to articulate this with facts and not just speculation about what might happen, because of the lack of precedent. The judge in that matter said early on, “I guess I have to get a crystal ball,” which judges do not like to do, and sure enough, he opted to stick with the facts as they were. The Justice Department and Federal Communications Commission have already given their blessing, which carries weight and could mean Judge Marrero will, too. But then if they could look in a crystal ball and see the consequence of doing so, they may not like what they see. Even the stock market knows that the deal shouldn’t go through.To contact the author of this story: Tara Lachapelle at firstname.lastname@example.orgTo contact the editor responsible for this story: Beth Williams at email@example.comThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Tara Lachapelle is a Bloomberg Opinion columnist covering the business of entertainment and telecommunications, as well as broader deals. She previously wrote an M&A column for Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Investors appear to be under the impression T-Mobile Us Inc (NASDAQ: TMUS )'s proposed acquisition of Sprint Corp (NYSE: S ) will fail, as Sprint's stock is trading at a notable discount, The Wall Street ...
A group of U.S. states suing to block T-Mobile US Inc from merging with Sprint Corp on Wednesday told a federal judge that the deal would raise prices for consumers, while the phone companies pushed back and emphasized they would compete aggressively to push prices down. T-Mobile and Sprint contend that the merger would enable the combined company to compete more effectively with dominant carriers Verizon Communications Inc and AT&T Inc. U.S. District Court Judge Victor Marrero, who will decide the fate of the merger, heard closing arguments in the case on Wednesday.
(Bloomberg) -- Sprint Corp. bondholders have long bet that the wireless company’s acquisition by T-Mobile US Inc. will be allowed to go through, but by at least one measure, they’re growing more worried about the deal’s potential to get done.The cost to protect Sprint’s debt against default for five years has nearly doubled since September to around 333 basis points, according to ICE Data Services. Credit traders have been digesting court testimony from a takeover challenge brought by Democratic attorneys general. The attorneys, who hail from 13 states and the District of Columbia, say the merger could lead to higher prices and poorer service for consumers. Closing arguments in the case are scheduled for Wednesday.A victory for Sprint could be a boon to bondholders, potentially sending risk premiums on the debt tumbling as much as 200 basis points, Bloomberg Intelligence analyst Stephen Flynn wrote in a note. But if the deal falls apart, the consequences for Sprint could be dire. Flynn said in a separate note Tuesday that Sprint could face ratings downgrades and require a liquidity injection from backer SoftBank Group Corp. To some investors, the debt still looks too risky to buy.“What we try to look at is, ‘Are we being compensated for the risks?’” said John McClain, a portfolio manager at Diamond Hill Capital Management, which doesn’t own Sprint debt. “With Sprint, you absolutely are not.”A spokeswoman for Sprint declined to comment.Analysts are split on the potential outcome of the case. Cowen & Co. analyst Paul Gallant put the odds of a ruling favoring the states at 60% in a note earlier this month, while LightShed Partners’ Walt Piecyk sees a higher likelihood of a decision tipped toward the companies. The spread between T-Mobile’s offer price for Sprint and the trading price rose to around $3.29 a share on Tuesday from a low of 53 cents in May 2018. The higher the gap, the more uncertain the market is of a deal happening.Either outcome would have broad implications for the $1.3 trillion U.S. junk-bond market. With more than $35 billion of long-term debt outstanding, Sprint is the second-largest issuer of speculative-grade notes, according to data compiled by Bloomberg. T-Mobile is seeking a split debt structure for the combined company, with about 55% of the obligations carrying investment-grade ratings.Sprint, which carries single B range ratings from the three major credit ratings companies, has seen its debt surge since it agreed to combine with higher-rated T-Mobile. Its 7.785% bonds due in 2023 change hands for more than 108 cents on the dollar, up from a low of around 60 cents in early 2016.If the deal fails to close, Sprint will be left to contend with some $25 billion of debt that matures in the next five years, according to Bloomberg Intelligence. Flynn said in a note that SoftBank may need to invest $3 billion to $5 billion to help the wireless company deal with its upcoming maturities.“If it doesn’t go through, Sprint is on its own,” said Dave Novosel, a senior bond analyst at Gimme Credit. “At some point over the next year or two years, Sprint is going to need to consider coming to market to refinance some of that debt, which could pressure the market on the whole.\--With assistance from Scott Moritz.To contact the reporter on this story: Olivia Raimonde in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Natalie Harrison at email@example.com, Claire BostonFor more articles like this, please visit us at bloomberg.com©2020 Bloomberg L.P.
The transition is likely to take place in Spring 2020 ahead of HBO Max's official debut in May, supplementing AT&T's (T) broader original content and marketing focus on the streaming service.
(Bloomberg) -- States suing to block T-Mobile US Inc.’s proposed acquisition of Sprint Corp. urged the federal judge overseeing the landmark antitrust trial not to defer to the Trump administration’s approval of the $26.5 billion deal.Lawyers for New York and California, which are leading the lawsuit for the states, said in a filing late Wednesday in Manhattan that the deal’s approval by the Justice Department and the Federal Communications Commission doesn’t carry any special weight and should be ignored by the judge.“The federal government approved the merger with what appears to be only a cursory examination of the approval conditions,” the states said, and the decision was “inconsistent” with its past opposition to consolidation in the wireless market.The government had asked in a Dec. 20 filing that its approvals be given deference. The response comes as T-Mobile and the states are preparing for closing arguments in the lawsuit next week before U.S. District Judge Victor Marrero. The closings will follow two weeks of testimony in December in which the states tried to show that the combination of the third- and fourth-largest wireless carriers would lead to higher prices.The Justice Department’s antitrust division and the FCC signed off on the merger after the companies agreed to sell assets to Dish Network Corp. to set up a new wireless competitor. That remedy is central to T-Mobile’s argument to Marrero.Read MoreT-Mobile’s Sprint Deal Looks Iffy to Traders as Skepticism GrowsTexts Show DOJ Effort to Enlist Senators in T-Mobile DealDish Would Compete With Giants ‘From Day One,’ Ergen SaysSprint Judge Questions Claim That Deal Would Hurt CustomersDuring the trial, the states showed that the head of the antitrust division, Makan Delrahim, took unusual steps to get the deal done, exchanging text messages with Dish Chairman Charlie Ergen. At one point during negotiations, Delrahim suggested Ergen ask his “Senator friends” to contact FCC Chairman Ajit Pai about the deal.Delrahim has been a harsh critic of approving mergers with conditions that impose rules on how companies conduct business. Yet he approved the Sprint deal with just those kind of conditions, the states said in their filing.“DOJ’s antitrust chief previously stated that he does not ‘think [he’s] smart enough’ to design remedies ‘that distort competitive incentives just enough to undo the damage done by a merger, for years to come,’” the states said. “It is unclear what has changed.”Wall Street is increasingly skeptical of the companies’ chances of prevailing. The spread between T-Mobile’s offer price for Sprint and the trading price, an indication of the deal’s risk, swelled to an all-time high Thursday of $3.17 at 2:27 p.m. in New York. Cowen & Co. analyst Paul Gallant sees a 60% chance the judge will rule in favor of the states.Read More: U.S. Sides With T-Mobile in Fight Against States Over SprintIn separate filings Wednesday night, the states and T-Mobile outlined their evidence.The states say the deal would give T-Mobile the power to raise prices by eliminating competition between the two companies and leaving just three major carriers -- AT&T Inc., Verizon Communications Inc. and T-Mobile. The enlarged company would have a national market share of 34% by revenue, making the deal “presumptively illegal” under antitrust law, they said. And Dish -- a satellite-TV provider with no experience in the wireless market -- won’t be a real competitor, they said.T-Mobile and Sprint countered that the tie-up would actually lead to more competition. By combining the two networks, T-Mobile will have more capacity and lower costs, which in turn will lead to lower prices for consumers. Without the deal, Sprint won’t be unable to upgrade its network infrastructure to remain competitive, they said.“There is no realistic way, aside from the merger, to break the ‘vicious cycle’ of poor network quality leading to subscriber losses and reduced network investment, leading to even worse network quality,” the carrier said. “Sprint is increasing prices, and without the merger it will continue to do so and will retreat from nationwide service.”The case is New York v. Deutsche Telekom, 19-cv-5434, U.S. District Court, Southern District of New York (Manhattan).(Updates with court filings starting in eighth paragraph)To contact the reporters on this story: Erik Larson in New York at firstname.lastname@example.org;David McLaughlin in Washington at email@example.comTo contact the editors responsible for this story: David Glovin at firstname.lastname@example.org, Peter Jeffrey, Anthony LinFor more articles like this, please visit us at bloomberg.com©2020 Bloomberg L.P.
Sprint (S) teams up with Telstra to deploy virtualized IoT platform, Curiosity, in a bid to fortify connectivity management with enhanced resiliency, performance and security across Australia.