CIBC World Lowers Sprint PCS to 'Hold'
CIBC World downgraded Sprint PCS (PCS ) and Nextel (NXTL ) to hold from buy, and downgraded AT&T Wireless (AWE ) and Nextel Partners (NXTP ) to buy from strong buy.
Analyst Cannon Carr says he's adopting a cautious stance on wireless stocks. He says absent consolidation and meaningful data growth, he believes the next 12 to 18 months will be challenging for the group given unstable fundamentals. He cut AT&T Wirelesss' 's $16 target to $11, and cut Nextel Partner's $17 target to $11. While he keeps his buy rating on Triton PCS (TPC ), Carr lowered the $19 target to $13.