U.S. telecoms to ring up solid Q2 gains - analysts
Thursday July 9, 7:54 pm Eastern Time
biz.yahoo.com
Excerpts:
NEW YORK, July 9 (Reuters) - U.S. telecommunications companies will meet or slightly exceed Wall Street's second quarter earnings forecasts as the Baby Bells benefit from the continued demand for additional phone lines and long distance carriers reap gains from the explosion in data traffic.
''I'm not really expecting any major surprises from anyone. It's pretty much going to be a 'business as usual' quarter,'' said Anthony Ferrugia, a telecommunications analyst with A.G. Edwards.
WorldCom Inc. (WCOM - news), which delivered one of the strongest performances in the first quarter, will again be a bright spot for the quarter ended June 30, analysts said.
The Jackson, Miss.-based company has a strong presence in the industry's fastest growing market such as data, Internet and international and the strongest mix of business among the major carriers, analysts said.
WorldCom's merger partner, MCI Communications Corp. (MCIC - news), may show improvements in its core revenue growth but investments to break into the local telephone market will continue to drag down earnings, analysts said. |
