UPDATE: Nomura Downgrades Sprint Nextel to Neutral on Lack of Upside

Loading...
Loading...
In a report published Friday, Nomura analyst Mike McCormack downgraded the rating on
Sprint Nextel CorporationS
from Buy to Neutral, but reiterated the $7.50 price target. In the report, Nomura noted, “We are downgrading Sprint to Neutral but maintaining our estimates and $7.50 target price. We believe there is little incremental upside for Sprint shares on either a standalone basis or a pro forma basis for the Softbank and Clearwire transactions. The company has done a good job executing on Network Vision to date, but we believe cost savings are largely accounted for in our estimates. We also believe Sprint shares are already discounting a bidding war between Softbank and DISH, limiting the upside of raised bids versus our target price. Should Sprint's Board of Directors reject DISH's offer, we see downside risk to the shares.” Sprint Nextel Corporation closed on Thursday at $7.34.
date
ticker
name
Price Target
Upside/Downside
Recommendation
Firm
Posted In: Analyst ColorDowngradesAnalyst RatingsMike McCormackNomura
We simplify the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...