UPDATE: JP Morgan Downgrades Sprint Nextel to Neutral on Valuation, Revenue Deceleration

JP Morgan downgraded Sprint Nextel

from Overweight to Neutral and maintained a $6.00 price target. JP Morgan commented, "We are downgrading Sprint from Overweight to Neutral given the recent run in the stock, expectations for rising Capex, and increasingly complicated merger scenarios. While we continue to believe that Sprint has the assets and now financial backing to succeed in the wireless space, 2013 looks like a year of heavy capital investment and uncertain subscriber momentum. With more downside than upside risk for the next 3-6 months we prefer to back away at this level and may look to come back later in the year." Sprint Nextel closed at $5.92 on Friday.