CHICAGO, June 27, 2012 /PRNewswire/ -- Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Deutsche Telekom (OTC:DTEGY), Verizon Communications Inc. (NYSE:VZ), Vodafone Group Plc (Nasadq:VOD), AT&T Inc. (NYSE:T) and MetroPCS Communications,Inc. (NYSE:PCS).
Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513
Here are highlights from Tuesday's Analyst Blog:
Verizon, T-Mobile to Swap Spectrums
Spectrum purchase has become a wireless game changer. The carriers are in need of additional airwaves to expand their high-speed services and support 4G LTE mobile broadband services. As a result, the wireless industry is intent on tapping unused spectrums to expand their capacity in 2012.
The U.S. wireless leader Verizon Wireless plans to swap radio spectrum from the fifth largest wireless service provider T-Mobile USA, a unit of Deutsche Telekom (OTC:DTEGY). Verizon Wireless is a joint venture of Verizon Communications Inc. (NYSE:VZ) and Vodafone Group Plc (Nasadq:VOD).
Per the deal terms, T-Mobile will gain access to spectrum covering 60 million Americans in exchange for spectrum covering 20 million Americans and an undisclosed cash amount.
The deal would be beneficial to both companies, enabling them to expand the roll out of 4G LTE networks and improve their coverage. Notably, the transaction would boost the T-Mobile spectrum position in 15 out of the 25 markets, Philadelphia, Washington, Detroit and Seattle in particular. It would make T-Mobile a strong competitor against larger rivals such as AT&T Inc. (NYSE:T).
The proposed deal is awaiting the Federal Communications Commission's approval, which is expected in late summer. The sale of airwave licenses will also depend upon the regulatory approval of the three pending spectrum deals. These pending deals, announced last year, are facing stiff opposition, in particular from T-Mobile, MetroPCS Communications,Inc. (NYSE:PCS) and 10 other public interest groups. They argued that the purchase would lead to the concentration of spectrums in the hands of Verizon, which is already the largest U.S. mobile service provider with the maximum number of licenses.
The deal would also allow the cross selling of each other's products and services, and raise concerns among some politicians and consumer advocacy groups. In order to gain regulatory approval, Verizon is aggressively looking for the sale of its 700 MHz A and B spectrum licenses.
Since the company's spectrum deals are interrelated with each other, we will be carefully watching how it all unravels for Verizon. As a result, we are maintaining our long-term Neutral recommendation on Verizon. Currently, the stock retains the Zacks #2 (Buy) Rank for the short term (1–3 months).
Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leon Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=5518.
Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
SOURCE Zacks Investment Research, Inc.