By James Brehm
Is it ever a good idea to poke a sleeping grizzly? Many on Wall Street have been bearish towards Sprint, last Monday, BTIG downgraded Sprint… not once, but twice…from Buy to Sell. This is less than a month after Vetr did approximately the same thing.
Then last week, BOOM. New Sprint CEO, Marcelo Claure, bought 5 million shares on the open market. That’s over $25 million of dead presidents. Does anyone want to question this guy’s confidence?
Look at Sprint’s M2M numbers for the two most recent quarters. 494k and 681k net additions respectively. This is good growth – on par with Verizon and well ahead of Tmobile USA. And this growth came from a company whose M2M unit had no clear direction due to management departures and organizational reshuffling.
Rumor has it Marcelo wants to win, so I would not count them out.