Don't let it get away!
Help yourself with the Fool's FREE and easy new watchlist service today.
Investing decisions are made from a mosaic of data, yet synthesizing what matters can be tough. Enter the Fool poll. We show you the Big Headlines, you tell us what's factoring into your investing decisions and help your fellow Fools in the process.
As analysts lose faith in Sprint Nextel (NYSE: S ) , Fools are buying in. A quick look at the scorecard data in Motley Fool CAPS shows 15 new ratings of the stock following the carrier's uninspiring second-quarter earnings report on Thursday. So far, every single call is for the stock to outperform.
Call it a leap of faith. Shares of Sprint fell 17% after the carrier reported a $0.28-per-share loss, well below the $0.12 consensus that analysts had been calling for, Barron's reports. Revenue rose 4%, but Sprint's subscriber count dropped again -- this time by 101,000.
Could it be Apple's (Nasdaq: AAPL ) iPhone at work? Sprint is the only carrier among the Big Three to not have the device on its network. Both AT&T (NYSE: T ) and Verizon (NYSE: VZ ) reported strong Q2 earnings thanks in part to a wave of iPhone activations. Further gains could follow if reports prove true that the Mac maker plans to release its fifth-generation handset this fall.
Wall Street doesn't hold out as much hope for Sprint -- over the short term, anyway. A survey of analyst ratings by Barron's writer Tiernan Ray found that analysts at Wells Fargo, Citigroup, and RW Baird & Co. revised their subscriber targets downward. All three had expected net gains for the year. They now expect net losses, presumably at the hands of iPhone-wielding peers.
Do you agree with the analysts, or are you a buyer at these levels? Please vote in the poll below, and then leave a comment to tell us your thoughts about Sprint's business. You can also add Sprint Nextel to your watchlist for up-to-date analysis on the stock as soon as it's published.