Thursday, October 13, 2011

Investopedia: Can Sprint Nextel Unlock Value?

By most reasonable standards and projections, Sprint Nextel (NYSE:S) is too cheap. But aside from a bounce out of late 2008, this has been a terrible stock to own for many years, and the glory days when Sprint stock carried a "6" or "7" handle seem long ago indeed. When terrible stock performance and apparent value are paired together, it's often a sign that Wall Street has minimal confidence in management. Although Sprint Nextel management has earned the doubt of any benefit, the company may nonetheless not be getting nearly enough credit for what it may be able to do.


A Bizarre Analyst Meeting
Sprint Nextel recently hosted an analyst meeting, and while these are normally intended to add clarity to a story and allow management to explain its vision, it seems like most investors walked away with a lot of lingering doubts.

It certainly did not help matters that the meeting got testy when analysts really ratcheted up the questions in response to Sprint's announcement that it would be launching its own 4G network, leaving Clearwire (Nasdaq:CLWR) out of it, stopping the sale of Clearwire-compatible devices by the end of 2012.



Read more at this link:
http://stocks.investopedia.com/stock-analysis/2011/Can-Sprint-Nextel-Unlock-Value-S-VZ-T-AAPL-CMCSA-CHL-DCM1013.aspx

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