UPDATE: Goldman Sachs Reiterates Alcatel-Lucent at Sell; Removes from Conviction Sell List
Goldman Sachs reiterated Alcatel-Lucent (NYSE: ALU) at Sell but removed shares from its Conviction List following recovery in shares.
Goldman Sachs commented, "Since adding Alcatel to the Conviction Sell List on October 5, 2012, the shares are +48.2% vs. the FTSE World Europe +5.2%(-2.0% and +15.1% over the last 12 months, ALU +57.7% since October 5, 2012 and +2.5% over past 12 months). In our view outperformance has been driven by upside to capex intentions of US Telcos, granular disclosure on ALU's patent portfolio and the announcement of a planned significant change in Alcatel's capital structure, mitigating tail risk. We remove ALUA.PA and ALU from the Conviction List but they remain Sell given the group's Q4 industry positioning and returns."
Alcatel-Lucent closed at $1.64 on Friday.
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