Nov. 19 (Bloomberg) -- Telecom Argentina SA, the nation’s second-biggest phone company, was raised to “buy” and had its 12-month share price estimate increased 30 percent at Banco Santander SA, which cited improving revenue outlook.

The price target was raised to $22.80, or 19.10 reais, from $17.50, or 16.50 reais, Banco Santander analysts Walter Chiarvesio and Gregorio Tomassi said in a report today. The previous rating was “hold,” the analysts said.

“We expect value-added services to foster average revenue per user in the coming years,” the analysts wrote. “Finally, a stronger-than-expected currency in Argentina should allow U.S. dollar average revenue per user to show a positive trend in the future.”

Santander raised its estimates for the company’s earnings before interest, taxes, depreciation and amortization by 15 percent for 2010 and by 24 percent for 2011, the analysts said.

To contact the reporter on this story: Ian C. Sayson in Manila at isayson@bloomberg.net

Last Updated: November 19, 2009 01:50 EST