More on Stifel's downgrades of AT&T (T -1.9%) and Verizon (VZ -2.4%): While expecting the...

|By:, SA News Editor
More on Stifel's downgrades of AT&T (T -1.9%) and Verizon (VZ -2.4%): While expecting the carriers will continue to "dominate the U.S. telecom sector," analyst Christopher King expects margins to get hit by iPhone 5 sales, which should carry higher subsidies than sales of rival devices. King also suggests AT&T and Verizon "could be used as a near-term source of funds ... as the QE3/risk-on trade becomes more prevalent." (VZ CFO comments)