Consider CenturyLink, Because the Broadband Era Has Just Begun

The shares of telecom/broadband play CenturyLink CTL, formerly known as CenturyTel, first discussed here on November 4, 2010 at a price of $43.05, retreated about 10% to $41.50 during the winter, but the pull-back looks like a healthy correction. Here's why: Look for CenturyLink's 2011 revenue to rise about 5% on acquisition-based growth, with data services growth offsetting lower land-line and universal service revenue. Louisiana-based CenturyLink is a rural telephone carrier that operates in small/mid-sized cities in 23 states. Its acquisition of Embarq increased its telephone access lines to about 7.3 million and 2.4 million DSL/broadband subscribers. Further, if an announced deal to buy Qwest Communications (Q) is approved by mid-2011, as expected, the deal would add 8.9 million access lines and 2.9 million DSL customers. Continue reading the article.