Larry,
The telco sector has some pretty "ambitious" valuations, but I think if one were to look for a company that is doing what it needs to grow rapidly, have respectable revenue growth, and have actual profit (!), Frontier would be among the few leaders. Level 3, for example, has achieved it's market cap based entirely on the future and on their management's proven ability to grow such a business. Frontier can be ahead of them if they wish to be. As is so often the case, it comes down to perception.
I don't expect Frontier stock to "go through the roof", barring a buyout scenario, however I also feel the stock is very attractively priced in the low 30's.
Regards,
Dave |
