The following list includes ratings changes and financial information for wireless companies announced this week by investment-banking and financial-services firms.
- Carrier
- Credit Suisse First Boston lowered its EBITDA and EPS estimates on Sprint Nextel Corp. for the first quarter, but full-year 2007 EPS estimates increase to 85 cents from 82 cents due to lower amortization expense than expected.
- Lehman Brothers raised its price target on AT&T to $47 from $43, saying the company’s shares could experience expansion in the next few years.
Handset and infrastructure vendors - RBC Capital Markets raised its estimates on Palm Inc. and increased its price target to $18 from $15 after the company reported third-quarter results that beat consensus estimates. The firm raised its 2007 EPS estimate on the company to 69 cents from 67 cents and raised its 2008 estimate to 82 cents from 80 cents. Credit Suisse First Boston bumped its price target on Palm to $16 from $14 and raised its estimates to EPS of 67 cents on revenues of $1.57 billion from 60 cents on $1.56 billion for 2007 and to 81 cents on $1.8 billion from 74 cents on $1.67 billion for 2008.
Other - Avondale Partners raised its price target on Novatel Wireless Inc. after the company pre-announced positive first-quarter results. Its new price target is $18, up from $15.
- Credit Suisse First Boston lowered its estimates on RF Micro Devices after the company lowered its guidance for the coming quarter. CSFB lowered its 2008 EPS estimate on the company to 28 cents from 48 cents and dropped its price target to $8.50 from $9.
- RBC Capital Markets lowered its estimates on Openwave Systems following a large third-quarter shortfall and the resignation of the company’s chief executive officer. The company’s new estimates are a loss of 31 cents for 2007 rather than a loss of 1 cent, and a loss of 19 cents for 2008, rather than a profit of 19 cents.