Goldman Sachs Removes Level 3 Communications (LVLT) from Conviction Buy List
- AT&T (T) Agrees to Acquire Time Warner (TWX) for More than $80 Billion - WSJ
- Top 10 News for 10/17 - 10/21: Merger Rumors Abound; CEOs Depart; Tesla Kicks Autopilot Up A Notch
- Wall Street ends little changed; Microsoft hits record
- AT&T (T) in Advanced Talks to Acquire Time Warner (TWX) - DJ
- Rockwell Automation (ROK) Said to Attract Takeover Interest from Schneider Electric - Source
Get instant alerts when news breaks on your stocks. Claim your 2-week free trial to StreetInsider Premium here.
Goldman Sachs downgraded Level 3 Communications (NYSE: LVLT) from Conviction Buy to Buy with a price target of $55.00 (from $64.00). Analyst Brett Feldman noted softer revenue outlook.
"While we lower out 12m target price by 14% to $55 on a mix of a lower target multiple and growth expectations, we maintain our Buy with 19% potential upside. Further, we expect LVLT to provide an update on capital allocation plans by year end. While it has stated M&A is a higher priority, we believe the recent pullback in the stock price increases the relative appeal for buybacks and could see an authorization announced by year end. Highlighting its financial flexibility, we estimate LVLT could in theory repurchase +60% of its stock over 5 years at target leverage," said Feldman.
Shares of Level 3 Communications closed at $45.23 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Imperial Capital Raises Price Target on Proofpoint (PFPT) Following Strong 3Q Results
- Rodman & Renshaw Starts Abraxas Petroleum (AXAS) at Buy
- Maxim Integrated (MXIM) PT Bumped to $45 at Jefferies Following In-Line Results on Note 7 Impact
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS View, Downgrades
Related EntitiesGoldman Sachs Conviction Buy List, Goldman Sachs, Raising Prices
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!