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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Spekulatius who wrote (25730)	1/17/2007 4:20:04 PM
From: Spekulatius	Read Replies (1) \| Respond to of 78673

Adding some S today on weakness. S has been producing crappy numbers ever since they merged with Nextel. Hopwever Cingular has recovered after a similar offense, why not Sprint? S trades at 5.7x EV/EBITDA (based on the reduced estimates for 2007), so i do not need any growth to justify the current valuation. FCF yield should be about 8% based on current shareprice of 17$. Sprint has a nice network to build data and internet services on which should support longer term growth at some point. Either the company will righten itself or get taken out by private equity or a strategic buyer (Comcast is a possibility IMO).