Frontier Communications Corp. (FTR) Upgraded to Hold at Zacks Investment Research
Frontier Communications Corp. (NASDAQ:FTR) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research report issued on Friday.
According to Zacks, “Frontier Communications is nicely positioned to gain from continued growth of high-speed data and voice network. Frontier Communications is also leaving no stone unturned to derive benefits from the growing Business Service Segment, especially, the SMB segment. Also, as a part of its marketing initiatives, Frontier launched its first retail outlet in southern California which will enhance their presence in the region. However, Frontier Communications remains significantly challenged by slow economic recovery in its service territories and competes with the loss of legacy fixed telephony business to wireless and other offerings. The company expects to continue experiencing decline in wireless backhaul revenues due to customer migration to Ethernet solutions at lower price points.”
Several other research analysts have also recently weighed in on the stock. Citigroup Inc. decreased their price objective on shares of Frontier Communications Corp. from $4.00 to $3.50 and set a “sell” rating for the company in a report on Friday, September 16th. Macquarie started coverage on shares of Frontier Communications Corp. in a report on Monday, July 11th. They set an “underperform” rating and a $4.65 price objective for the company. Wells Fargo & Co. reissued an “outperform” rating and set a $8.75 price objective on shares of Frontier Communications Corp. in a report on Monday, September 19th. Bank of America Corp. set a $8.00 price objective on shares of Frontier Communications Corp. and gave the company a “buy” rating in a report on Monday. Finally, Morgan Stanley cut shares of Frontier Communications Corp. from an “overweight” rating to an “equal weight” rating and decreased their price objective for the company from $6.00 to $5.40 in a report on Monday, July 18th. One equities research analyst has rated the stock with a sell rating, four have assigned a hold rating and nine have issued a buy rating to the company’s stock. The stock currently has an average rating of “Buy” and an average price target of $5.79.
Frontier Communications Corp. (NASDAQ:FTR) opened at 4.00 on Friday. The firm has a 50-day moving average of $4.36 and a 200 day moving average of $4.94. Frontier Communications Corp. has a one year low of $3.81 and a one year high of $5.85. The company’s market capitalization is $4.69 billion.
Frontier Communications Corp. (NASDAQ:FTR) last released its quarterly earnings data on Monday, August 1st. The company reported ($0.07) earnings per share for the quarter, missing the consensus estimate of ($0.03) by $0.04. Frontier Communications Corp. had a negative net margin of 4.85% and a positive return on equity of 2.52%. The company had revenue of $2.61 billion for the quarter, compared to analysts’ expectations of $2.75 billion. During the same period in the previous year, the firm earned $0.03 earnings per share. The firm’s revenue for the quarter was up 90.6% on a year-over-year basis. On average, equities analysts forecast that Frontier Communications Corp. will post ($0.08) EPS for the current fiscal year.
The company also recently declared a quarterly dividend, which was paid on Friday, September 30th. Shareholders of record on Thursday, September 15th were given a $0.105 dividend. The ex-dividend date of this dividend was Tuesday, September 13th. This represents a $0.42 dividend on an annualized basis and a dividend yield of 10.53%. Frontier Communications Corp.’s payout ratio is currently -85.71%.
Several institutional investors have recently modified their holdings of FTR. Geode Capital Management LLC raised its position in shares of Frontier Communications Corp. by 3.2% in the first quarter. Geode Capital Management LLC now owns 10,176,364 shares of the company’s stock worth $56,777,000 after buying an additional 316,788 shares in the last quarter. Pictet Asset Management Ltd. raised its position in shares of Frontier Communications Corp. by 6.6% in the first quarter. Pictet Asset Management Ltd. now owns 633,265 shares of the company’s stock worth $3,426,000 after buying an additional 39,000 shares in the last quarter. State Street Corp raised its position in shares of Frontier Communications Corp. by 1.2% in the first quarter. State Street Corp now owns 46,635,440 shares of the company’s stock worth $260,696,000 after buying an additional 548,405 shares in the last quarter. OMERS ADMINISTRATION Corp bought a new position in shares of Frontier Communications Corp. during the first quarter worth $658,000. Finally, Aviva PLC raised its position in shares of Frontier Communications Corp. by 1.3% in the first quarter. Aviva PLC now owns 588,314 shares of the company’s stock worth $3,289,000 after buying an additional 7,616 shares in the last quarter. Hedge funds and other institutional investors own 65.93% of the company’s stock.
Frontier Communications Corp. Company Profile
Frontier Communications Corporation (Frontier) offers a range of voice, data, and video services and products. The Company offers a portfolio of communications services for residential and business customers in each of its markets. The Company’s product portfolio includes Internet access, broadband-enabled services, video services and voice services.
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