3 Telecom Stocks Seeing Action: Verizon’s Quarterly Report Card, Son Hints at Sprint Price Cuts, and T-Mobile’s Jump Competition
Verizon Wireless (NYSE:VZ): The results are in: second quarter earnings per share have clocked in at 73 cents, enough to slide by projections by 1 cent. Revenue of $29.79 billion missed by $0.04 billion. The company recorded 941,000 retail postpaid net additions, up 6 percent from the year before, bringing the total to 94.3 million subscribers. The company formally announced the Edge monthly installment and early upgrade plan, and noted that iPhones made up 51 percent of the quarter’s smartphone sales, or 3.9 million units.
Sprint (NYSE:S): Softbank CEO Masayoshi San has hinted that more price cuts could be in Sprint’s future after the new unlimited wireless plan did not deliver the aggressive price cuts that some analysts had expected, The New York Times said. “We will be aggressive in technology, price packages, services on every front,” Son said to the Times on Wednesday. “At the same time, we will improve the network to be the world’s best.” Observers are confident that Son will impose numerous changes at Sprint, which has struggled with subscriber defections for years.
T-Mobile US (NYSE:TMUS): The two largest networks in the country — Verizon and AT&T (NYSE:T) — have revealed their variations on T-Mobile’s game-changing Jump plan. AT&T’s Next and Verizon’s Edge (released Thursday morning with the quarterly figures) will allow users to upgrade their phones more often than every two years, in direct response to T-Mobile’s original idea. Now the question becomes will Jump still be the selling point that T-Mobile needs it to be?
Don’t Miss: Verizon Slides on Unimpressive Earnings.