Can Sprint `Sprint' Ahead?

Your next video will start in

Recommended Videos

  • Info

  • Comments


July 29 (Bloomberg) -- Wells Fargo Securities Analyst Jennifer Fritzsche, Strategist Jim Ramelli and Bloomberg's Jon Erlichman discuss earnings for Sprint with Trish Regan on Bloomberg Television's "Street Smart." (Source: Bloomberg)

All right, earlier this month the japanese mobile provider close the deal on sprint.

Get ready for buyers remorse.

Here are a few of challenges they could be facing as the going to earnings.

Sprint has had on even profit since 2000 seven.

Rival t-mobile is earning market share with competitive pricing plans and now the iphone.

Plus, sprint could lose subscribers once the net -- once the next tell -- nextel sector is shut down.

All right, walter through what we should be watching for.

-- walked us through what we should be watching for.

When it comes to the wireless wars, sprint has to do a lot of running.

At&t and verizon have two thirds of the market.

The number of subscribers that sprint has is basically half of the other two players out there.

They have lost the scriber's for a few reasons.

Not having the iphone -- which they do now have -- but also the lack of iterations with nextel, which now has left.

With softbank's massive cash infusion, they are going to tinker with the pricing, trout to get -- try to get additional subscribers.

Matthew yoshi's son has some magical marketing ideas to breathe some life into sprint.

What do you think?

Does he have any of those march -- those magical marketing ideas up his sleeve?

Britain has had challenges recently.

-- sprint has had challenges recently.

Their margins have been unnaturally depressed because they have been carrying two networks.

They finally turned the lights off on the nextel network.

If this is all about scale, then this is actually really interesting, but that they have 15 million more customers than t-mobile, yet margins that are fit in percentage went below t- mobile.

Does this merger makes sense?

I do.

I think it makes a lot of sense.

I think that this would have played out anyway, but with this investment, it should play out quicker than most people thought.

Ok, jim, you are watching the options market.

What are you seeing?

Do you have a take away here?

My glass is half empty here.

I am looking at a stock that has sold off seven of the past eight quarters.

Down seven percent.

That is where the market is saying it is going to go.

I see lots of buyers of the on the money puts.

I cannot so say -- i cannot say whether those are hedgers or speculators, but you can say that someone is concerns.

They have a really good risk versus reward set up and they have a break even just below where the stock is right now.

All right.

The whole gang.

Good ideas from everyone.

This text has been automatically generated. It may not be 100% accurate.


BTV Channel Finder


ZIP is required for U.S. locations

Bloomberg Television in   change