Over they years I have expanded my universe from media to telecom as the two industries have converged. Technology advancement has triggered the convergence as broadband wireline and wireless networks have changed the business of content creation and distribution. Telecom stocks performed better than the S&P 500 in 2008 although breadth was poor. SNL Kagan’s […]
AT&T was downgraded to neutral form buy by Goldman Sachs today offsetting the good news from Friday when the company increased its annual dividend by 2.5%. Yes, that is a token amount but it is still a message about the strength of the company’s financial position and the resiliency of its cash flow relative to […]
On Friday, December 5th, I purchased AT&T for Northlake clients and in my personal accounts. The following commentary appeared on RealMoney.com on December 3rd when AT&T was about $2 higher than the purchase price. When the shares pulled back after the the company announced job cuts, a buying opportunity was created. I slightly prefer AT&T […]
AT&T reported very solid 1Q08 results. Almost every key metric matched analyst estimates with the exception of wireline line loss which continues to accelerate. Guidance was restated and the numbers suggest that the company will have little trouble meeting 2008 estimates for EPS, revenue, free cash flow, and subscriber growth. Most importantly, there was no […]
Verizon (VZ) reported a pretty solid quarter and made constructive — if not detailed — comments about 2008. The market is focusing on some slight misses in key metrics, but I think that has more to do with the suddenly negative sentiment toward the telcos than with the quarter. EPS, adjusted for one-time items, of […]
While there were a couple of issues with AT&T’s 2Q07 earnings report, overall I think the results were good with underlying trends supporting the investment thesis that has led the shares to gain by 33% since last fall. I think further gains lie ahead. AT&T reported EPS of 70 cents, up 21% vs. a year […]
Verizon 1Q07 earnings were right on target with EPS of 54 cents and revenues of $22.6 billion right in line with the consensus estimates. Key subscriber metrics also closely matched analyst estimates. With the numbers all very close to expectations, I don’t expect a big reaction in the shares. Additionally, analyst estimates for the balance […]
AT&T (T) rose almost 1% yesterday, possibly in response to Wednesday’s afternoon’s press release indicating that the company’s U-Verse TV offering was beginning to gain some customers. U-Verse is T’s multichannel TV product designed to fill out is product bundle that already contains wireless and wireline telephony and high speed internet. U-Verse is based on […]
Verizon (VZ) reported solid 4Q06 results, closely matching analyst estimates is most key areas. VZ is a huge company with lots of closely followed metrics so there are always some pluses and minuses but in general I see little change to the story as a result of the earnings report and management commentary about 2007. […]
In what will likely be its final quarter as a public company, BellSouth (BLS) reported solid quarterly earnings beating estimates on the back Cingular and revenue and margin upside in its wireline business. The results support a continued bullish outlook for AT&T (T) over the next six months as the merger closes and synergies favorably […]
Office
20 N 3rd Street
Bayfield, WI 54814
Mail
PO Box 1165
Bayfield, WI 54814
tim@northlakecapital.com
847-226-9713
