As part of his coverage launch for the U.S. service provider space, Canccord's Greg Miller is...

|By:, SA News Editor

As part of his coverage launch for the U.S. service provider space, Canccord's Greg Miller is starting telco giants AT&T (T) and Verizon (VZ) at Hold (I, II). Miller likes AT&T's steady margins and subscriber growth, and also its huge dividend. However, he expects limited EPS growth, and thinks the collapse of the T-Mobile deal will compel AT&T to sell its rural access lines. As for Verizon, Miller thinks healthy wireless trends are offset by margin pressure and a steep valuation.