CHICAGO, Sept. 7, 2011 /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: AT&T Inc. (NYSE: T), Sprint Nextel Corp. (NYSE: S), MetroPCS Communications Inc. (NYSE: PCS), Leap Wireless International Inc. (Nasdaq: LEAP) and Limited Brands Inc. (NYSE: LTD).
(Logo: http://photos.prnewswire.com/prnh/20101027/ZIRLOGO)
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:
CWA Backs AT&T/T-Mobile Merger
There has been yet another twist in the AT&T Inc. (NYSE: T) and T-Mobile merger story. Recently, the Communications Workers of America (CWA) protested against the Department of Justice (DOJ) after the latter blocked the proposed merger. Earlier in March, AT&T was keen to bring T-Mobile under its fold in a deal that would to be the largest in the wireless industry since 2004.
The workers union, representing more than 700,000 employees in the industry, favors the merger as it would create more than 96,000 jobs. Post merger, AT&T would expand its 4G Long-Term Evolution technology to cover almost 97% of the U.S. population. This implies that 55 million more Americans, mostly in rural and smaller communities, will come under its coverage. Additionally, the deal, which is still under review by the Federal Communications Commission, will aid in acquiring more radio spectrums.
The CWA also disapproves all the claims made by Sprint Nextel Corp. (NYSE: S), which is currently the third-largest U.S. wireless carrier in the industry. Sprint was the first to oppose the deal citing higher prices, job losses, less innovation and unfair competition.
The CWA has hinted that this is a case of sour grapes for Sprint, after its failure to successfully bid for T-Mobile. The union sees the deal as instrumental in job creation that would augur well for the unemployment scenario and revive the U.S. economy. The CWA therefore, asserts that the U.S. government should support the transaction instead of blocking it.
Nevertheless, the DOJ's suit is being favored by other prepaid wireless players such as MetroPCS Communications Inc. (NYSE: PCS) and Leap Wireless International Inc. (Nasdaq: LEAP), small wireless carriers, tower companies, handset and infrastructure equipment vendors, and wireless ecosystem suppliers for business reasons.
While we await the final decision on this much hyped merger, we prefer to maintain our long-term Neutral recommendation on AT&T. The company retains the Zacks # 3 (Hold) Rank for the short term.
Limited Brands Sales Up
Limited Brands Inc. (NYSE: LTD), a specialty retailer of women's intimate and other apparel, beauty and personal care products recently posted healthy sales results for the four-week period ended August 27, 2011 on the heels of healthy sales at its Victoria's Secret Stores and Bath & Body Works.
The owner of Victoria's Secret Direct and La Senza chains sustained its growth momentum. Limited Brands' comparable-store sales for August 2011 rose 11% compared with a 6% increase in July 2011 and a 10% rise in August 2010.
Comparable-store sales for August increased 16% at Victoria's Secret Stores & Victoria's Secret Beauty, 4% at Victoria's Secret Direct, 8% at Bath & Body Works & The White Barn Candle Co. but dropped 8% at La Senza.
Limited Brands said that net sales for August rose 11.4% to $702.4 million from $630.3 million posted in the same month last year.
For the thirty-week period ended August 27, 2011, comparable-store sales surged 11%, whereas net sales jumped 11.9% to $5,378 million from $4,804 million reported in the prior-year period.
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
About Zacks
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.
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
[email protected]
http://www.zacks.com
SOURCE Zacks Investment Research, Inc.
Share this article