39% Annualized Return And AT&T
Chris DeMuth Jr. • 175 Comments
Chris DeMuth Jr. • 175 Comments
Going Long Leap Wireless: More Than A Leap Of Faith
Helix Investment Research
Helix Investment Research
Sun, Apr. 17, 8:56 PM
- With tomorrow's deadline arriving for bidders for core assets of Yahoo (NASDAQ:YHOO), the long-shot bid of Time Inc. (NYSE:TIME) won't be among them, as the company decided fixing the business was too big a task, The Wall Street Journal reports. (It would have also faced severe leveraging trying to swallow the business.)
- With a number of bidders bowing out as expected, Verizon (NYSE:VZ) is indeed a front-runner among the few firms moving forward. Aligning somewhat with a number of other media reports (and rumors), now bowing out for sure are Alphabet (GOOG, GOOGL), Comcast (NASDAQ:CMCSA), AT&T (NYSE:T) and IAC/InteractiveCorp (NASDAQ:IAC), the Journal says.
- It appears Verizon's biggest competition may come from private equity (Bain Capital, TPG, Advent International), reinforcing the strength of Verizon's bid. It was unclear whether KKR would stay in the bidding, and the Daily Mail (OTCPK:DMTGY) may still be in, but with P-E help.
- Now read Why Verizon Is The Clear Front-Runner To Buy Yahoo »
Thu, Apr. 14, 2:28 PM
- While Verizon faces labor strife with nearly 40,000 workers off the job since yesterday, AT&T (T +0.8%) says that the CWA-represented workers in its Mobility Southwest area have ratified a new four-year deal.
- That's retroactive to Feb. 27, considering the terms were agreed to Feb. 28.
- It covers more than 9,400 Mobility employees represented by the communications union, across Arkansas, Kansas, Missouri, Oklahoma and Texas.
- Now read AT&T: A Boon For Any Retirement Portfolio »
Thu, Apr. 7, 8:17 PM
- AT&T (NYSE:T) said it added 1M Mexican 4G customers in the first quarter, building on its multibillion-dollar acquisitions of Iusacell and Nextel Mexico.
- Its 4G LTE service now goes to 45M users across 42 cities (up from 44M in 41 cities at 2015's end).
- After paying a combined $4.4B for the Mexican carriers, AT&T said it plans to spend $3B to deliver 4G to 100M Mexicans by 2018.
- Now read AT&T: Major Sell Signal Just Flashed »
Thu, Apr. 7, 2:58 PM
- Yahoo (NASDAQ:YHOO) shares have jumped into positive ground, now up 1.2%, on news that Verizon (NYSE:VZ) is proceeding with a bid for its core assets.
- Shares were down as much as 2.6% today.
- Alphabet unit Google (GOOG, GOOGL) is also weighing its own bid, Bloomberg reports, with interest also showing up from Bain Capital and TPG. Time Inc. (NYSE:TIME) is still out there as well.
- AT&T (NYSE:T) and Comcast (NASDAQ:CMCSA) are losing interest, Bloomberg also said, with Microsoft (NASDAQ:MSFT) also deciding it wouldn't bid.
- Verizon might also put in for Yahoo's Japan interests, the report said.
- Updated 3:06 p.m.: After a big spike into positive ground, Yahoo shares have gone negative again, -0.1%. Verizon is said to value the core business at less than $8B, vs. Yahoo's hopes for a $10B valuation, and has engaged three banks.
- Now read Yahoo Should Be At Least $48 A Share »
Mon, Apr. 4, 4:27 PM
- Cricket, the prepaid phone unit of AT&T (T +0.8%), is moving forward with wider distribution via deals with Best Buy and Aaron's.
- Phones will head to the shelves of more than 1,000 Best Buy stores (and its website) in the next few weeks, and be sold at near 2,000 of Aaron's lease-to-own outlets.
- That will bring Cricket distribution to more than 11,000 stores, and add its phones to a couple of chains that have some notable handset business.
- Cricket's John Dwyer said this year that the company would have a "very aggressive distribution strategy" this year, including third-party stores in addition to its own branded outlets.
- Now read AT&T: I'm Not Expecting $32 »
Mon, Apr. 4, 7:32 AM
- March monthly performance was: +6.31%
- 52-week performance vs. the S&P 500 is: -1%
- $0.07 in dividends were paid in March
- Top 10 Holdings as of 12/31/2015: General Mills Inc (GIS): 3.41%, Coca-Cola Co (KO): 2.73%, Campbell Soup Co (CPB): 2.68%, AT&T Inc (T): 2.57%, Heineken NV (OTCQX:HINKF): 2.37%, The Kraft Heinz Co (KHC): 1.98%, Eli Lilly and Co (LLY): 1.9%, Exelon Corp (EXC): 1.88%, Walgreens Boots Alliance Inc (WBA): 1.87%, PPL Corp (PPL): 1.82%
Mon, Apr. 4, 7:23 AM
- March monthly performance was: +6.82%
- 52-week performance vs. the S&P 500 is: 0%
- $0.18 in dividends were paid in March
- Top 10 Holdings as of 2/29/2016: Exxon Mobil Corporation (XOM): 3.58%, AT&T Inc (T): 3.52%, Microsoft Corp (MSFT): 2.95%, Verizon Communications Inc (VZ): 2.84%, Apple Inc (AAPL): 2.7%, Johnson & Johnson (JNJ): 2.34%, General Electric Co (GE): 2.28%, Chevron Corp (CVX): 2.12%, Procter & Gamble Co (PG): 2.03%, Wal-Mart Stores Inc (WMT): 1.92%
Fri, Apr. 1, 7:12 PM
- Verizon (NYSE:VZ) and AT&T (NYSE:T) have done very well in the face of several challenging months in the mobile market -- which is why MoffettNathanson is downgrading both stocks.
- The firm reduced its rating on Verizon to Neutral from a previous Buy, and on AT&T to Sell from Neutral.
- "In the early part of the year, Verizon and AT&T rose sharply even as the market sold off," analysts said, and the past six months have seem "an almost pitch-perfect backdrop" for telecoms with a strong dollar, falling rates and falling risk appetites.
- Over the past six months, Verizon has appreciated 25.7% and AT&T has gained 20%; over the same period, the S&P 500 is up 7.8%.
- But device sales are slowing overall, and changes to equipment installment plans and leasing are resulting in stabilizing ARPUs, making the higher ratings unsupportable, the firm says.
- Verizon looks more promising than AT&T as its subscriber base has held up without aggressive price cutting, and mobile video strategy is going well, while at AT&T, "real growth metrics are much weaker than they appear on the surface."
- Now read Buy AT&T On Any Fed-Fueled Funk »
Thu, Mar. 31, 10:34 AM
- Fullscreen -- the YouTube video network owned by Otter Media, the JV between AT&T (NYSE:T) and Chernin Group -- is launching its straight-to-consumer service April 26.
- The service will offer a mix of scripted original series (many featuring YouTube stars), talk shows, and reruns of older shows.
- Its selling point is price; at $4.99/month, it's about half the price of Netflix, so the question will be whether its programming is a competitive draw. It's launching with about 800 hours of content and won't have traditional advertising.
- Now read AT&T: I'm Not Expecting $32 »
Tue, Mar. 29, 5:33 PM
- High-speed Internet customers of U-verse (NYSE:T) are getting increased data allotments along with the chance to take an unlimited-data package.
- A post on the company's consumer blog points to new data buckets for various speed tiers: Customers at speeds of 768 Kbps-6 Mbps will now get 300 GB of data per month (up from 250 GB); those at 12 Mbps-75 Mbps get 600 GB (also up from 250 GB); and those with 100 Mbps and up get 1 TB of data.
- In addition, on May 23 the company will offer unlimited data for $30 more per month above the usual amount. Customers who have TV service along with Internet and who pay for services on one bill will get the unlimited data at no extra charge.
Fri, Mar. 25, 9:07 PM
Thu, Mar. 24, 6:49 PM
- Amid chatter that AT&T (NYSE:T) and Verizon (NYSE:VZ) have throttled Netflix video quality down, Netflix itself has admitted for the first time that it's the one doing the limiting.
- Netflix (NASDAQ:NFLX) says it restricts video quality on those two and on most carriers worldwide, in order to protect its customers from busting through their data caps -- which could be expensive, and discourage viewing more Netflix.
- The company is capping streams at 600 kbps -- well within speed capacities of most wireless networks -- in part because a two-hour movie in HD can consumer an entire month's data allowance. The company says it's working on its own "mobile data saver" to let consumers optimize Netflix against their available bandwidth.
- Netflix doesn't throttle videos at T-Mobile (NASDAQ:TMUS) and Sprint (NYSE:S), due to "more consumer-friendly policies" on data overages (i.e., lower speed rather than expensive charges). It was a comment from T-Mobile chief John Legere about lower-quality video at Verizon and AT&T that launched the discussion; and T-Mobile's "Binge On" offering exempts video from customers' data caps, but reduces its quality to 480p (promised "DVD or better" quality).
Mon, Mar. 21, 7:04 PM
- A heated carriage dispute between Univision and AT&T (NYSE:T) over U-verse distribution earlier this month still doesn't have a resolution, but today the companies agreed to the latest in what have become a series of 24-hour extensions.
- The newest is set to expire at 5 p.m. tomorrow, following an extension that lasted the weekend but (like the others) lapsed without a new deal.
- Univision's stations and networks went dark on U-verse March 4, but the companies agreed to a truce to bring the March 9 Democratic presidential debate to Spanish-language customers. Since then, the channels (including Univision, UniMas and Galavision) have stayed on the air while the two negotiate.
- That truce followed charges by Univision that AT&T was "redlining our audience," a charge of discrimination against Hispanic Americans that AT&T characterized as "despicable allegations."
Tue, Mar. 15, 12:21 PM
- The FCC's new Internet privacy plan, calling for broad consumer consent for data collection, is "credit negative" for broadband providers.
- Those companies could be "severely handicapped" in competition with advertising giants like Facebook and Google, which are notably left out of agency Chairman Tom Wheeler's proposal.
- The FCC plan calls for consumer consent on data collection and more disclosure of what's collected, along with more work to protect information and report data breaches when they happen. Meanwhile, Google, Facebook, Twitter and other sites would continue collecting data from visitors without consent.
- "We believe this to be a long-term risk to the current TV advertising business model, as well as all broadband providers whom also have ad sales exposure," Moody's said.
- Related tickers: T, VZ, CMCSA, CHTR, TWC, CVC
Sun, Mar. 13, 7:00 AM
- At least three major U.S. companies are seeking to complete deals in Cuba as President Obama prepares an historic trip to Havana on March 20-22.
- Obama is likely to unveil further measures to chip away at decades-old restrictions on trade and travel, but the longstanding U.S. economic embargo still strictly limits efforts by American companies to do business with the communist-ruled state.
- AT&T (NYSE:T) is looking to complete a mobile communications agreement with local telecoms monopoly Etecsa, while Starwood (NYSE:HOT) and Marriott (NASDAQ:MAR) are seeking authorization to operate hotels on the island.
Fri, Mar. 11, 5:27 PM
- AT&T (NYSE:T) is facing a $100M lawsuit from small programmer Herring Networks, which claims AT&T has backed out on a carriage deal.
- Herring, the owner of the One America News Network and A Wealth of Entertainment, says AT&T promised to carry the channels in return for Herring supporting AT&T's buyout of DirecTV.
- Herring also says when it made a 2014 U-verse carriage deal, AT&T led Herring to believe that U-verse would get investment and expansion, and instead it looks like AT&T will "wind down" the IPTV service in favor of satellite. Herring's networks aren't on DirecTV.
- AT&T responds that the lawsuit is "baseless ... simply a ploy by Herring to negotiate a slanted deal."
AT&T, Inc. provides telecommunication services and products, including wireless communications, local exchange services, long-distance services, data/broadband and Internet services, video services, telecommunications equipment, managed networking and wholesale services. It operates business... More
Industry: Telecom Services - Domestic
Country: United States
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