Sprint Nextel Earnings: Here’s Why the Stock is Rising Now

Sprint Nextel Corp. (NYSE:S) had a loss and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 3.66%.

Sprint Nextel Corp. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased to $-0.53 in the quarter versus EPS of $-0.46 in the year-earlier quarter.

Revenue: Rose 0.38% to $8.88 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Sprint Nextel Corp. reported adjusted EPS loss of $0.53 per share. By that measure, the company missed the mean analyst estimate of $-0.30. It beat the average revenue estimate of $8.69 billion.

Quoting Management: “This is a historic time for Sprint. We recently shut down the Nextel platform and completed the Clearwire, SoftBank and U.S. Cellular transactions. In the second quarter, we achieved record levels in Sprint platform postpaid subscribers, service revenue and postpaid ARPU, and increased our 4G LTE footprint,” said Dan Hesse, Sprint CEO. “Sprint pioneered unlimited voice, text and data in 2008, and we recently introduced the first lifetime guarantee, solidifying our commitment to the simplicity and peace of mind that unlimited brings.”

Key Stats (on next page)…

Revenue increased 0.96% from $8.79 billion in the previous quarter. EPS decreased to $-0.53 in the quarter versus EPS of $-0.21 in the previous quarter.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)