Nomura Securities Maintains a 'Buy' on AT&T (T); Taking NextWave Wireless for $600 Million
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Price: $36.75 +0.03%
Rating Summary:
5 Buy, 26 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 13
Rating Summary:
5 Buy, 26 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 13
Trade T Now!
Nomura Securities maintains a 'Buy' on AT&T (NYSE: T) price target of $38.00.
Analyst, Mike McCormack, said, "AT&T announced the acquisition of NextWave Wireless for $600mn, adding 12.1MHz of usable A&B block WCS spectrum and several AWS licenses. The WCS spectrum covers approximately 128m POPs. We estimate this represents a price of $0.39/MHz-POP, assuming zero value for the C&D blocks that will likely not be used for mobile. While not announced in the press release, AT&T has also filed with the FCC to acquire WCS spectrum from Comcast and Horizon as well. AT&T is the most logical buyer for the large market 700 MHz B block spectrum that Verizon (NYSE: VZ) will auction should the SpectrumCo transaction be approved. In our view, this makes the spectrum most valuable to AT&T. Of the 11 Verizon markets, we believe two would trigger FCC scrutiny of low frequency spectrum concentration."
For an analyst ratings summary and ratings history on AT&T click here. For more ratings news on AT&T click here.
Shares of AT&T closed at $37.54 yesterday, with a 52 week range of $27.29-$38.28.
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Analyst, Mike McCormack, said, "AT&T announced the acquisition of NextWave Wireless for $600mn, adding 12.1MHz of usable A&B block WCS spectrum and several AWS licenses. The WCS spectrum covers approximately 128m POPs. We estimate this represents a price of $0.39/MHz-POP, assuming zero value for the C&D blocks that will likely not be used for mobile. While not announced in the press release, AT&T has also filed with the FCC to acquire WCS spectrum from Comcast and Horizon as well. AT&T is the most logical buyer for the large market 700 MHz B block spectrum that Verizon (NYSE: VZ) will auction should the SpectrumCo transaction be approved. In our view, this makes the spectrum most valuable to AT&T. Of the 11 Verizon markets, we believe two would trigger FCC scrutiny of low frequency spectrum concentration."
For an analyst ratings summary and ratings history on AT&T click here. For more ratings news on AT&T click here.
Shares of AT&T closed at $37.54 yesterday, with a 52 week range of $27.29-$38.28.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
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