Goldman Sachs Adds NTT to Recommended Buy List (NTT)

| About: Nippon Telegraph (NTT)

FISCO news service of Japan reported that Goldman Sachs (NYSE:GS) has added Nippon Telegraph & Telephone (NYSE:NTT) to its recommended buy list. GS has a "buy" rating on NTT with a 645,000 yen ($5,547) price target. This equates to a $27.74 target for its ADRs when adjusting for the listing ratio. NTT gained 3.51% on Friday, closing at 561,000 yen ($4,824) or the equivalent of $24.12 for its ADRs versus a Thursday ADR close of the same price, $24.12.

Goldman's target share price for NTT represents a potential 15% upside.

The underlying reason for endorsing NTT is based on its commanding strength in fiber-to-the-home (known as FTTH).

NTT seems like a rather safe investment given its market leadership in fixed-line and wireless phones, plus its leading market position in FTTH. Also, it shouldn't be hurt by a stronger yen -- in fact, investors in its ADRs would benefit from a stronger yen.

Nippon Telegraph & Telephone (NTT) 1-year chart:

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Tagged: , Telecom Services - Foreign, Japan
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