FiberTower Corp. (FTWR) is a backhaul and access services provider focused primarily on the wireless carrier market.  With its extensive spectrum footprint in 24 GHz and 39 GHz bands, carrier-class fiber and microwave networks in 13 major markets and master service agreements with nine U.S. wireless carriers, FTWR is an alternative carrier for wireless backhaul.  The Company also provides backhaul and access service to government and enterprise markets.

Source: Reuters.com, SEC Filings.

Investment Highlights

Shares of FiberTower Corp. (FTWR) dropped as much as 18.00% Friday, extending two straight days of losses. The troubled telecommunications services company saw its shares plummet nearly 39% Thursday, a day after it announced the receipt of a delisting notification from the Nasdaq stock exchange.

Shares of FTWR have dropped 53.7% in the last five days; 13.6% in the last month; and 95.3% year-to-date.

Although the Company has the right to appeal the Nasdaq’s determination, it does not intend to do so. Accordingly, the Company’s common stock will be suspended at the opening of business on January 30, 2012, and Nasdaq will file a Form 25-NSE with the Securities and Exchange Commission to remove the Company’s securities from listing and registration on the Nasdaq.

Beginning January 30, 2012, the Company expects trading on the OTC Pink-Limited Information Tier, operated by OTC Markets Group, using the same stock symbol it has on the Nasdaq, FTWR.

FTWR also last week said it has engaged a corporate restructuring consultant to assist the Company with identifying and evaluating financial and strategic alternatives.

The stock lost $0.04, or 17.05%, to close at $0.18.  Over 6.40 million shares exchanged hands during the session, versus the 10-day average of 4.10 million shares.  Over the past 52 weeks, FTWR shares have traded between $0.15 and $4.10.  Market capitalization currently stands at 8.82 million and it has 46.44 million outstanding shares.

Source: http://www.fibertower.com/corp/news-press-releases.php

Financial Summary

FTWR reported service revenues of $23.4 million for the second quarter 2011, an increase of $5.0 million, or 27%, compared to $18.4 million reported in the prior year period  During the quarter, the Company recorded $3.4 million of non-recurring revenue from the collection of early termination liabilities (ETL). Revenue excluding the ETL was $20.0 million, increasing 11% compared to the second quarter of 2010. This increase was primarily driven by selling additional capacity and Ethernet services.

Operating expenses were $31.5 million in the second quarter, compared to $28.0 million in the second quarter of 2010.  Included in second quarter 2011 operating expenses is a $3.1 million impairment charge related to the write-off of excess equipment compared to a $0.9 million impairment charge in the second quarter of 2010. Excluding these charges, operating expenses increased primarily due to increases in cost of service revenues, including higher fiber service provider charges reflecting growth in Ethernet services and fiber network expansion and higher depreciation expense.

The Company posted a net loss of $11.5 million for the second quarter 2011, compared to a net loss of $13.1 million for the comparable quarter last year.

At June 30, 2011, FTWR’s consolidated cash and cash equivalents totaled $12.4 million, compared to $21.3 million at December 31, 2010.

In late September, FTWR did not have a specific financial outlook as visibility on 2011 revenue and Adjusted EBITDA remains low amid volatility.  However, CFO Thomas Scott said the Company’s liquidity at quarter-end reflects both ETL collections and its conservation of cash, and FTWR continues to believe its cash position will be sufficient to cover its estimated liquidity needs at least through June 2012.

Source: http://www.fibertower.com/corp/downloads/investors/11-08-04%20FTWR%20Q211%20Results%20Release%20Final.pdf

Technical Analysis

Source: http://stockcharts.com

FTWR is within its Bollinger Bands. This is a normal condition suggesting that it is neither overbought nor oversold relative to the recent levels.

The MACD for FTWR currently indicates a strong bearish signal for two reasons. First, the MACD is below the signal line, a 9-day moving average. Second, the MACD is below the critical level of 0, which implies that the underlying moving averages are trending lower.

Comparative Analysis

Source: Thomson Financial

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority.  We are neither licensed nor qualified to provide investment advice.

The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice.  The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities.  We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company.  An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report.  Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research.

Any individual who chooses to invest in any securities should do so with caution.  Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested.  Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.

Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934.  Subscribers are cautioned not to place undue reliance upon these forward looking statements.  These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated.  Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC.  You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.

We are committed to providing factual information on the companies that are profiled.  However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions.  We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so.  Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.

To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).

We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org.

Related Articles

1. Stock Alert for FiberTower Corp. (FTWR)
2. Stock Report for Fannie Mae (FNMA)
3. Stock Report for Lee Enterprises Inc. (LEE)

FiberTower Corp. (FTWR) is an alternative provider of facilities-based backhaul services to wireless carriers. Facilities-based providers own or lease a substantial portion of the property and equipment necessary to provide backhaul services. Backhaul is the transport of voice, video and data traffic from a wireless carrier’s mobile base station, or cell site, to its mobile switching center, or MSC, or other exchange point where the traffic is then switched onto a wireline telecommunications network. The Company provides backhaul services nationally by utilizing its wireless spectrum assets and fiber relationships to construct and operate high-coverage, high-capacity hybrid microwave and fiber networks. Its services provide wireless carriers a long-term solution for their increasing demand for backhaul capacity while giving them increased availability and reliability.  As of December 31, 2010, FTWR provided service to 6,400 billing customer locations at 3,276 deployed sites in 13 markets throughout the United States.

Source: Reuters.com, SEC Filings.

Investment Highlights

Shares of FTWR jumped 38.28% in the last five days; and inched up 0.01% in the last month.  Year-to-date, the stock is down 68.80%.

Early in August, the  San Francisco, Calif.-based wireless backhaul services provider announced its results for the second quarter ended June 30, 2011, which, according to CEO Kurt Van Wagenen, reflected solid adjusted EBITDA performance despite a revenue decrease from the previous quarter.

Service revenues for the second quarter 2011 increased by $5.0 million, or 27%, to $23.4 million, compared to $18.4 million for the second quarter of 2010.  During the quarter, the Company recorded $3.4 million of non-recurring revenue from the collection of early termination liabilities (ETL).  Revenue excluding the ETL was $20.0 million, increasing 11% compared to the second quarter of 2010. This increase was primarily driven by selling additional capacity and Ethernet services.

In addition to the previously announced Clearwire service terminations, the Company is experiencing an increased level of TDM churn as carriers migrate to Ethernet, primarily from AT&T in the second quarter.  During the second quarter, FTWR received service terminations from Clearwire and AT&T representing approximately $951 thousand in monthly recurring revenue and $8.3 million in early termination liabilities.  The Company collected $3.3 million of ETL revenue from these customers of which $1.9 million came from Clearwire disconnections related to approximately $434 thousand in monthly recurring revenue.  During the quarter ending June 30, 2011, the Company received service terminations from AT&T representing approximately $517 thousand of monthly recurring revenue, which was partially offset by new growth, and collected $1.4 million of ETL revenue.  FTWR had $5.6 million of uncollected ETL revenue due from AT&T at June 30, 2011.

Operating expenses were $31.5 million in the second quarter, compared to $28.0 million in the second quarter of 2010.  Included in second quarter 2011 operating expenses is a $3.1 million impairment charge related to the write-off of excess equipment compared to a $0.9 million impairment charge in the second quarter of 2010.  Excluding these charges, operating expenses increased primarily due to increases in cost of service revenues, including higher fiber service provider charges reflecting growth in Ethernet services and fiber network expansion and higher depreciation expense.

FTWR posted a net loss of $11.5 million for the second quarter 2011 was , compared to a net loss of $13.1 million for the comparable quarter last year.

Second-quarter 2011 adjusted EBITDA net of ETL was $1.2 million, improving $2.2 million, compared to a negative $1.0 million in the second quarter of 2010.  Adjusted EBITDA is defined as net income (loss) from operations before interest, taxes, depreciation and amortization, impairment and restructuring charges, severance related to reduction in force, stock-based compensation, gain on early extinguishment of debt, debt exchange expenses and other income (expense).  The reconciliation of adjusted EBITDA, which is a non-GAAP financial measure, to net loss is provided at the end of this release.

During the second quarter of 2011, cash consumption was $2.0 million, compared to $5.3 million in the second quarter of 2010.  Outstanding debt, including accretion, at June 30, 2011, was $168.5 million comprised of $133.1 million in the 9.0% Senior Secured Notes due 2016 and $35.4 million in the 9.0% Convertible Senior Secured Notes due 2012.

Capital expenditures for the second quarter of 2011 totaled $3.9 million, compared to $6.5 million in the second quarter of 2010.  Based on the projects completed in the second quarter and the pipeline of new business, the Company is tightening its expected 2011 capital program range to $15-$17 million from $13-$17 million.

Consolidated cash and cash equivalents at June 30, 2011, were $12.4 million, compared to $21.3 million at December 31, 2010.

Thomas Scott, chief financial officer of FTWR, commented in the release: “We continued to execute our capital plan in the quarter, booking short payback, high-return projects as we work with our customers to rebuild revenue in light of churn.  Given the volatility we are experiencing, our visibility on 2011 revenue and Adjusted EBITDA remains low, preventing us from providing a specific financial outlook.  However, our liquidity at quarter-end reflects both ETL collections and our conservation of cash, and we continue to believe our cash position will be sufficient to cover our estimated liquidity needs at least through June 2012.”

Source:

http://www.fibertower.com/corp/downloads/investors/11-08-04%20FTWR%20Q211%20Results%20Release%20Final.pdf

Technical Analysis

Source: http://stockcharts.com

FTWR is above the upper Bollinger Band, implying that it is currently extended from its recent trend. Be aware, however, that a cross outside of the Bollinger Bands can sometimes be a signal of trend strength and not, necessarily, trend reversal.

FTWR’s MACD is currently indicating a weak bullish signal. Although the MACD is trending above the signal line, the indicator is still below 0, which suggests that the underlying moving averages are bearish.

Comparative Analysis

Source: Thomson Financial

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority.  We are neither licensed nor qualified to provide investment advice.

The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice.  The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities.  We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company.  An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report.  Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research.

Any individual who chooses to invest in any securities should do so with caution.  Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested.  Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.

Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934.  Subscribers are cautioned not to place undue reliance upon these forward looking statements.  These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated.  Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC.  You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.

We are committed to providing factual information on the companies that are profiled.  However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions.  We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so.  Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.

To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).

We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org.

Related Articles

1. Stock Report for FiberTower Corp. (FTWR)
2. Stock Alert for Clearwire Corp. (CLWR)
3. Stock Alert for Sprint Nextel Corp. (S)

Sprint Nextel Corp. (S) offers a comprehensive range of wireless and wireline communications services bringing the freedom of mobility to consumers, businesses and government users. It served more than 52 million customers at the end of the second quarter of 2011 and is widely recognized for developing, engineering and deploying innovative technologies, including the first wireless 4G service from a national carrier in the United States; offering industry-leading mobile data services, leading prepaid brands including Virgin Mobile USA, Boost Mobile, and Assurance Wireless; instant national and international push-to-talk capabilities; and a global Tier 1 Internet backbone. The Company operates two reportable segments: Wireless and Wireline.

Share Statistics (30-Aug-11)

Source: Reuters.com, SEC Filings.

Investment Highlights

Shares of S have lost 0.28% in the last five days; 15.37% in the last month; and 8.21% year-to-date.

Shares of the mobile carrier traded as much as 3.72% higher Tuesday on strong volume of nearly 50 million shares.  Wells Fargo analyst Jennifer Fritzsche yesterday reiterated an Outperform rating on shares of Sprint.

Following checks at Sprint stores, Fritzsche believes the Company has held up fairly well in the third quarter , with stability relative to larger carriers, Verizon Communications (NYSE: VZ) and AT&T (NYSE: T), improving.

Barron’s Tech Trader Daily blog reported that the analyst acknowledges that the focus of investors is on the Company’s October 7th investor and analyst briefing, when it is expected the Company will address questions regarding how it will build out its 4G wireless network.

S recently announced its CEO, Dan Hesse, will deliver the keynote address on November 3, during its 11th annual Open Solutions Conference. The Company said developers will learn about its open enablement strategy, creating applications for 4G and 3D, enterprise machine-to-machine (M2M) solutions, go-to-market strategies, approaches to make developers more profitable, and current Sprint tools and capabilities across devices, networks and platforms throughout the three-day conference.

S shares have been moving within a range of $2.98 – $6.45 over the past 52-weeks.  The stock is currently trading below its 50-day moving average of $4.18 and below its 200-day moving average of $4.78. Market capitalization currently stands at $10.76 billion and it has 2.99 billion outstanding shares.

Source:

http://newsroom.sprint.com/news/

http://blogs.barrons.com

Financial Summary

Sprint reported second quarter consolidated net operating revenues of $8.3 billion, which represented a 4% increase from the comparable quarter last year and remained relatively flat as compared to the first quarter of 2011. The quarterly year-over-year improvement was primarily due to higher postpaid ARPU (average revenue per user), growth in the number of net prepaid subscribers and higher wireless equipment revenues, partially offset by net losses of postpaid subscribers and lower wireline revenues.

The Company posted an operating income of $79 million and adjusted OIBDA (operating income/(loss) before depreciation and amortization) of $1.3 billion. Additionally, the Company reported a net loss of $847 million and a diluted loss per share of ($0.28) for the quarter, which includes $588 million in equity losses of unconsolidated investments and other ($.20 per share net of tax, which includes the effect of increased valuation allowance of $209 million) and a $52 million charge ($.02 per share, which includes approximately $19 million of related increase in valuation allowance) to tax expense related to recently enacted state law changes in the state of Michigan.

Capital expenditures, excluding capitalized interest of $102 million, were $640 million in the quarter, compared to $437 million in the second quarter of 2010 and $555 million in the first quarter of 2011. Wireless capital expenditures were $546 million in the second quarter of 2011, compared to $319 million in the second quarter of 2010 and $449 million in the first quarter of 2011. During the quarter, the Company invested primarily in data capacity as a result of increased data usage to maintain a competitive position in data service and overall network quality. Wireline capital expenditures were $35 million in the second quarter of 2011, compared to $49 million in the second quarter of 2010 and $53 million in the first quarter of 2011.

Sprint generated $267 million of free cash flow in the quarter. As of June 30, 2011, the Company’s total liquidity was $5.2 billion, which consists of $4.3 billion in cash, cash equivalents and short-term investments and $900 million of borrowing capacity available under its revolving bank credit facility. The Company’s next scheduled debt maturities of $2.3 billion are due in March 2012.

Source: http://newsroom.sprint.com/article_display.cfm?article_id=1990

Technical Analysis

Source: http://stockcharts.com

S is within its Bollinger Bands. This is a normal condition suggesting that it is neither overbought nor oversold relative to the recent levels.

S’s MACD is currently indicating a weak bullish signal. Although the MACD is trending above the signal line, the indicator is still below 0, which suggests that the underlying moving averages are bearish.

Comparative Analysis

Source: Thomson Financial

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority.  We are neither licensed nor qualified to provide investment advice.

The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice.  The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities.  We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company.  An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report.  Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research.

Any individual who chooses to invest in any securities should do so with caution.  Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested.  Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.

Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934.  Subscribers are cautioned not to place undue reliance upon these forward looking statements.  These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated.  Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC.  You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.

We are committed to providing factual information on the companies that are profiled.  However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions.  We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so.  Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.

To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).

We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org.

Related Articles

1. Stock Alert for Clearwire Corp. (CLWR)
2. Stock Alert for FiberTower Corp. (FTWR)
3. Stock Alert for Agria Corp. (GRO)

TiVo Inc.  (TIVO) is a developer and provider of software, hardware,and services that enable a comprehensive entertainment experience by unifying disparate content sources including live television, Internet video, and Video on Demand services offered by major pay television providers in a single, easy, intuitive user experience. Today, these capabilities are made available mainly through digital video recorders (DVRs) on the Premiere DVR platform, which was launched in 2010 and includes a new high definition user interface. In the future, the Company expects its new platform and high definition user interface will also be enabled on other devices without DVR functionality (non-DVRs) such as non-DVR set-top boxes, Internet-connected TVs, and tablets, among others. TIVO also provides innovative advertising solutions for the media industry, including a unique platform for interactive advertising and audience measurement services.  As of January 31, 2011, the Company generated revenues from three sources: consumer service, developing technology for television service providers and media services.

Source: Reuters.com, SEC Filings.

Investment Highlights

Shares of TIVO gained 20.39% in the last week, though the stock dropped 21.51% in the last 30 days. Shares have lost 62.72% year-to-date.

The Alviso, Calif.-based DVR maker late Wednesday announced its financial results for the second quarter ended July 31, 2011, with revenue topping analysts’ expectations.  The report sent TIVO shares jumping as high as 18% in Thursday’s trading.

TIVO posted net revenue of $61.1 million, up 19% from $51.5 million in the comparable quarter last year.  That compares to analysts’ expectations of $48.31 million, according to a poll by Thomson Reuters I/B/E/S.

Service and technology revenues came in at $49.6 million, topping TIVO’s own guidance of $46 million to $48 million and up 18% compared to $42.1 million for the same period last year and $38.8 million in the fiscal first quarter 2012.

TIVO posted a net loss $19 million, or $(0.17) per share, compared with a loss of $14.3 million, or $(0.13) a share, in the same period a year ago. Analysts were looking for a loss of $(0.21) a share, on average.

TIVO ended the second quarter with approximately $628 million in cash and short-term investments, up significantly from the prior quarter due to the receipt of the first DISH Network settlement payment of $300 million.

Tom Rogers, president and CEO of TIVO, commented in the release: “On the heels of our historic settlement with DISH Network, in the second quarter we delivered better than anticipated revenue, Adjusted EBITDA and net income, exceeding our guidance.  Further, the deals we have signed over the past years as a source of growth are now delivering a substantial number of subscribers, and we believe this trend should accelerate with more deployments later this year.  Finally, we added yet another distribution relationship in the U.S., this time with Grande Communications.  This agreement leverages our R&D investment from existing distribution relationships, highlighting our ability to provide a quick and cost effective advanced television solution for operators globally.”

Early this month, TIVO said its board of directors has authorized the repurchase of up to $100 million of its outstanding common shares over a period of two years. The share repurchase program will be funded through the Company’s existing cash.

For the third quarter of fiscal 2012, the Company expects service and technology revenues in the range of $49 million to $51 million.  The Company said it anticipates net loss in the range of $27 million to $29 million, and an adjusted EBITDA loss to be in the range of $17 million to $19 million.   This guidance includes ongoing licensing revenue from the DISH Network settlement.

Source:

http://pr.tivo.com/easyir/customrel.do?easyirid=CA934452BA6418EF&version=live&prid=791108&releasejsp=custom_150

http://www.reuters.com/article/2011/08/24/tivo-idUSN1E77N1RX20110824?feedType=RSS&feedName=technology-media-telco-SP&rpc=43

Technical Analysis

Source: http://stockcharts.com

TIVO is presently near its upper Bollinger Band. This suggests that it is at a high level relative to recent action.

TIVO’s MACD is currently indicating a weak bullish signal. Although the MACD is trending above the signal line, the indicator is still below 0, which suggests that the underlying moving averages are bearish.

Comparative Analysis

Source: Thomson Financial

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority.  We are neither licensed nor qualified to provide investment advice.

The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice.  The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities.  We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company.  An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report.  Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research.

Any individual who chooses to invest in any securities should do so with caution.  Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested.  Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.

Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934.  Subscribers are cautioned not to place undue reliance upon these forward looking statements.  These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated.  Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC.  You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.

We are committed to providing factual information on the companies that are profiled.  However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions.  We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so.  Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.

To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).

We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org.

Related Articles

1. Stock Alert for FiberTower Corp. (FTWR)
2. Stock Alert for Level 3 Communications Inc. (LVLT)
3. Stock Alert for Clearwire Corp. (CLWR)

Clearwire Corp. (CLWR), through its operating subsidiaries, is a provider of mobile broadband services. Its 4G network currently provides coverage in areas of the United States where more than 130 million people live. The Company’s open all-IP network, combined with significant spectrum holdings, provides an unprecedented combination of speed and mobility to deliver next generation broadband access. CLWR markets its 4G service through its own brand called CLEAR as well as through its wholesale relationships with companies such as Sprint, Comcast, Time Warner Cable, Locus Telecommunications, Cbeyond, Mitel and Best Buy.  At the end of the second quarter 2011, the Company operated networks in the United States covering areas where approximately 135 million people reside, including approximately 132 million people in 4G markets.  In the second quarter 2011, the Company expanded its domestic 4G service areas to cover an additional 7 million people.

Source: Reuters.com, SEC Filings.

Recent News

Shares of CLWR have spiked over 58% during the past five days.  The stock, however, lost 4.3% in the last month, and is down 53% year-to-date.

The stock traded as much as 48% higher on Friday, while volume swelled to a 17.4 million shares.

CLWR traded higher on Friday on speculation of a buyout deal. Sprint Nextel Corp. (NYSE: S) is negotiating with cable companies about a possible investment that may lead to an acquisition of CLWR, according to a Bloomberg report, citing three people familiar with the talks.

Sprint and Comcast, which are already investors in Clearwire along with Time Warner Cable Inc. (TWC) and Bright House Networks LLC, are discussing ways to provide funding to the money-losing Kirkland, Washington-based company so it can build out its high-speed wireless network, the Bloomberg report said.

CLWR this month announced its plan to add “LTE Advanced-ready” technology to its 4G network. The announcement follows the successful completion of 4G technology trials that achieved download speeds exceeding 120 Mbps and demonstrated the potential of the Company’s unmatched spectrum advantage.

The initial implementation of the Company’s LTE network would target densely populated, urban areas of its existing 4G markets where current 4G usage demands are high. The robust all-IP infrastructure already deployed in these markets can be leveraged to serve the company’s LTE needs, delivering significant capital cost savings compared to a similar overlay by other carriers of an existing 3G architecture.

Dr. John Saw, CLWR’s chief technology officer, said the Company’s extensive trial has clearly shown that its ‘LTE Advanced-ready’ network design, which leverages its deep spectrum with wide channels, can achieve far greater speeds and capacity than any other network that exists today.

Source: http://corporate.clearwire.com/releasedetail.cfm?ReleaseID=596508

Financial Summary

CLWR reported second quarter 2011 revenue of $322.6 million. Consolidated pro forma revenue for the second quarter 2011 was $293.7 million, a 151% increase over second quarter 2010 revenue of $117.0 million. In the second quarter 2011, retail revenue and other revenue was $191.1 million and retail average revenue per user (ARPU) was a record $47.59. Pro forma wholesale revenue was $102.6 million in the second quarter 2011, or $6.18 in pro forma wholesale ARPU.

Consolidated pro forma revenue and pro forma wholesale revenue exclude approximately $16.1 million of revenue related to wholesale services provided by CLWR to Sprint in the first quarter 2011, and approximately $12.8 million of a $28.2 million settlement amount from Sprint which relates to wholesale services provided prior to 2011.

Retail cost per gross addition (CPGA) was $313 in the second quarter 2011 compared to $443 in the second quarter 2010 and $295 in the first quarter 2011. Retail churn was 3.9% in the second quarter 2011, up from 3.2% in the second quarter 2010 and 3.3% in the first quarter 2011. Wholesale churn was 1.3% in the second quarter 2011, an improvement from second quarter 2010 wholesale churn of 3.0% and consistent with first quarter 2011 churn of 1.3%.

Pro forma adjusted EBITDA in the second quarter 2011 was a loss of $108.5 million, representing a sequential improvement of $85.7 million when compared to first quarter 2011 pro forma adjusted EBITDA loss of $194.2 million. In the second quarter 2011, actual adjusted EBITDA was a loss of $79.6 million, representing sequential improvement of $130.7 million when compared to first quarter 2011 actual adjusted EBITDA loss of $210.3 million.

The second quarter 2011 reported net loss from continuing operations attributable to CLWR was $160.5 million, or $0.65 per basic share, and the second quarter 2011 pro forma net loss from continuing operations attributable to CLWR was $167.0 million, or $0.68 per basic share. Including the effects of discontinued operations, the second quarter 2011 reported net loss attributable to CLWR was $168.7 million, or $0.68 per basic share, and the second quarter 2011 pro forma net loss attributable to CLWR was $175.3 million, or $0.71 per basic share.

Source: http://corporate.clearwire.com/releasedetail.cfm?ReleaseID=596507

Technical Analysis

Source: http://stockcharts.com

CLWR is presently near its upper Bollinger Band. This suggests that it is at a high level relative to recent action.

CLWR’s MACD is currently indicating a weak bullish signal. Although the MACD is trending above the signal line, the indicator is still below 0, which suggests that the underlying moving averages are bearish.

Comparative Analysis

Source: Thomson Financial

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority.  We are neither licensed nor qualified to provide investment advice.

The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice.  The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities.  We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company.  An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report.  Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research.

Any individual who chooses to invest in any securities should do so with caution.  Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested.  Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.

Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934.  Subscribers are cautioned not to place undue reliance upon these forward looking statements.  These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated.  Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC.  You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.

We are committed to providing factual information on the companies that are profiled.  However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions.  We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so.  Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.

To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).

We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org.

Related Articles

1. Nasdaq Stock Leader; Clearwire spikes into Solid Gains
2. Stock Alert for FiberTower Corp. (FTWR)
3. Stock Alert for Sprint Nextel Corp. (S)

Source: Reuters.com, SEC Filings.

Recent News

Shares of LVLT dropped 2.74% to $2.17 on Wednesday after the provider posted a net loss of $181 million, or $0.11 cents a share, for the second quarter of 2011.  That compares to a net loss of $169 million, or $0.02 a share, in the same quarter last year.  The second quarter net loss included a $0.02 per share charge of $23 million on the extinguishment of debt and $14 million in costs associated with its deal to acquire Global Crossing.  LVLT announced in April a definitive agreement to acquire Global Crossing Ltd. in a tax-free, stock-for-stock transaction.

LVLT reported consolidated adjusted EBITDA of $226 million in the second quarter of 2011, up from $225 million in the first quarter of 2011 and up from $209 million in the comparable quarter last year.  This year’s second-quarter figure included $8 million in costs associated with the Global Crossing transaction.

For the quarter, consolidated revenue was $932 million, which compares to consolidated revenue of $929 million in the previous quarter and $908 million in the second quarter of last year.

Sunit Patel, executive VP and CFO of LVLT, said the Company saw Core Network Services revenue increase 1.7% sequentially on a constant currency basis, demonstrating continued improvement in LVLT’s overall rate of Core Network Services growth.  According to him, the Company saw particular strength from wireless, content, financial services and government customers during the quarter, with gross margin improving almost 2% to $566 million on sequential basis.

Looking forward, LVLT continues to expect sequential revenue growth in Core Network Services revenue for the rest of 2011 and low double-digit consolidated adjusted EBITDA growth this year as compared to 2010.  Capital expenditures are expected to be about 12% of Communications revenue for the full year 2011, and Free Cash Flow is expected to be roughly breakeven for the last three quarters of 2011 in aggregate. CFO Patel said these expectations do not include any effect from the pending Global Crossing acquisition, which the Company continues to expect to close before the end of the year.

LVLT shares traded as much as 2.7% higher yesterday on volume of 8.54 million shares.  The stock has been moving within a range of $0.83 – $2.67 over the past 52-weeks.  It is currently trading below its 50-day moving average of $2.32 and below its 200-day moving average of $1.73. Market capitalization currently stands at $3.73 billion and it has 1.70 billion outstanding shares.

Technical Analysis

Source: http://stockcharts.com

LVLT is trading below its 20-day moving average. However, this moving average is trending higher which suggests that there has been buying interest in this stock.

LVLT is within its Bollinger Bands. This is a normal condition suggesting that it is neither overbought nor oversold relative to the recent levels.

The MACD for LVLT currently indicates a strong bearish signal for two reasons. First, the MACD is below the signal line, a 9day moving average. Second, the MACD is below the critical level of 0, which implies that the underlying moving averages are trending lower.

Comparative Analysis

Source: Thomson Financial

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority.  We are neither licensed nor qualified to provide investment advice.

The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice.  The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities.  We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company.  An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report.  Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research.

Any individual who chooses to invest in any securities should do so with caution.  Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested.  Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.

Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934.  Subscribers are cautioned not to place undue reliance upon these forward looking statements.  These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated.  Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC.  You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.

We are committed to providing factual information on the companies that are profiled.  However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions.  We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so.  Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.

To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).

We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org.

Related Articles

1. Stock Alert for eOn Communications Corp. (EONC)
2. Stock Alert for FiberTower Corp. (FTWR)
3. Stock Alert for Clearwire Corp. (CLWR)

Clearwire Corp. (CLWR), through its operating subsidiaries, is a provider of mobile broadband services, with its fourth generation (4G) network currently available in areas of the United States.  The Company’s open all-IP network, combined with significant spectrum holdings, provides an unprecedented combination of speed and mobility to deliver next generation broadband access. CLWR markets its service through its own brand called CLEAR as well as through its wholesale relationships with Sprint, Comcast, Time Warner Cable, Locus Telecommunications, Cbeyond, Mitel and Best Buy. CLWR is headquartered in Kirkland, Washington.

Source: Reuters.com, SEC Filings.

Recent News

Shares of CLWR traded as much as 6.28% higher on Tuesday after the wireless service provider was raised to Outperform from Neutral at Credit Suisse, with the analyst citing its network sharing negotiations with Sprint Nextel Corp. (NYSE: S) that may “create significant value for both praties.”

Analyst Jonathan Chaplin believes that Sprint, which is presently CLWR’s biggest partner, should remain committed to CLWR because it will need more wireless network capacity than it can support on its own spectrum, and because CLWR provides more value than other potential partners, as reported by AP.

CLWR-rival LightSquared was previously reported to have entered a network deal with Sprint. However, analysts remained optimistic about CLWR’s partnership with Sprint as LightSquared got hit with GPS interference issues.

Shares of CLWR have been moving within a range of $3.35 – $8.82 over the past 52-weeks.  The stock is currently trading below its 50-day moving average of $4.11 and below its 200-day moving average of $5.07. Market capitalization currently stands at $979.89 million and it has 246.20 million outstanding shares.

Financial Summary

CLWR reported actual revenue of $242.0 million for the first quarter of 2011.  Consolidated pro forma revenue for the quarter was $258.1 million, a 142% increase over first quarter 2010 actual revenue of $106.7 million. Retail revenue and other revenue was $181.1 million in the first quarter 2011, retail average revenue per user (ARPU) was a record $46.32, and pro forma wholesale revenue was $77.0 million, or $6.37 in pro forma wholesale ARPU in the first quarter 2011.

The Company’s consolidated pro forma revenue and pro forma wholesale revenue includes approximately $16.1 million payable by Sprint to CLWR for wholesale services provided in the first quarter of 2011 under the amendment to the 4G MVNO Agreement with Sprint that was announced on April 18, 2011.  This additional wholesale revenue, which the Company expects to recognize in the second quarter, is not included in its GAAP first-quarter results because the 4G Amendment was signed after March 31, 2011.

The Company posted an actual net loss $227.0 million, or $(0.93) per basic share, and pro forma net loss of $223.0 million, or $(0.91) per basic share, for the first quarter 2011.  The Company cited the impact of non-cash write-offs totaling $202.2 million.

Technical Analysis

Source: http://stockcharts.com

CLWR is within its Bollinger Bands. This is a normal condition suggesting that it is neither overbought nor oversold relative to the recent price action.

CLWR’s MACD is currently indicating a weak bullish signal. Although the MACD is trending above the signal line, the indicator is still below 0, which suggests that the underlying moving averages are bearish.

Comparative Analysis

Source: Thomson Financial

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority.  We are neither licensed nor qualified to provide investment advice.

The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice.  The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities.  We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company.  An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report.  Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research.

Any individual who chooses to invest in any securities should do so with caution.  Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested.  Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.

Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934.  Subscribers are cautioned not to place undue reliance upon these forward looking statements.  These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated.  Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC.  You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.

We are committed to providing factual information on the companies that are profiled.  However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions.  We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so.  Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.

To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).

We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org.

Related Articles

1. Stock Alert for Clearwire Corp. (CLWR)
2. Stock Alert for Clearwire Corp. (CLWR)
3. Stock Alert for Clearwire Corp. (CLWR)

Sprint Nextel (S) offers a comprehensive range of wireless and wireline communications services bringing the freedom of mobility to consumers, businesses and government users. It served more than 51 million customers at the end of first quarter 2011 and is widely recognized for developing, engineering and deploying innovative technologies, including the first wireless 4G service from a national carrier in the United States; offering industry-leading mobile data services, leading prepaid brands including Virgin Mobile USA, Boost Mobile, and Assurance WirelessSM; instant national and international push-to-talk capabilities; and a global Tier 1 Internet backbone. The Company operates two reportable segments: Wireless and Wireline.

Technical Analysis

Source: http://stockcharts.com

S is within its Bollinger Bands. This is a normal condition suggesting that it is neither overbought nor oversold relative to the recent price action.

Comparative Analysis

Source: Thomson Financial

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority.  We are neither licensed nor qualified to provide investment advice.

The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice.  The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities.  We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company.  An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report.  Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research.

Any individual who chooses to invest in any securities should do so with caution.  Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested.  Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.

Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934.  Subscribers are cautioned not to place undue reliance upon these forward looking statements.  These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated.  Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC.  You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.

We are committed to providing factual information on the companies that are profiled.  However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions.  We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so.  Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.

To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).

We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org

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LVLT was incorporated in 1941 and is headquartered in Broomfield, Colorado.

Source: Reuters.com, SEC Filings.

Investment Highlights

Shares of LVLT added $0.03 to close Monday’s session at $2.15, a 1.42% increase from Friday’s closing.  Over 43 million shares have traded hands during the session, versus the 10-day average volume of 37.62 million. The stock has been moving within a range of $0.83 – $2.46 over the past 52-weeks.  It is currently trading above its 50-day moving average of $1.99 and above its 200-day moving average of $1.45. Market capitalization currently stands at $3.66 billion and it has 1.70 billion outstanding shares.

The Colorado-based communications services provider last week announced that it has received five awards in ATLANTIC-ACM’s 2011 North America Business Services Study, recognizing LVLT’s leadership in delivering voice and data services that meet the needs of enterprise customers.

According to Fedor Smith, president of ATLANTIC-ACM, LVLT has clearly been identified as a leader in enterprise network services among a broad collective of enterprise customers and peers. “The variety of categories for which Level 3 was recognized demonstrates their customers’ appreciation of Level 3’s ability to offer enterprises a comprehensive and first-rate service experience,” he said.

Q1 Results

LVLT reported consolidated revenue of $929 million for the first quarter 2011, a 2.1% increase from the prior year quarter.

The Company’s net loss for the quarter was $205 million, or $0.12 per share, which included charges totaling $0.03 per share, for income tax expense of $27 million, primarily related to deferred tax liabilities attributable to certain indefinite-lived intangible assets, and a loss of $20 million on the extinguishment of debt. That was narrower than the net loss of $238 million, or $0.14 per share, it booked in the same period a year earlier, which included a loss on the extinguishment of debt of $54 million, or $0.03 per share.

Consolidated Adjusted EBITDA was $225 million in the first quarter 2011, compared to $226 million in the fourth quarter 2010 and $200 million in the first quarter 2010.

“We see many opportunities across our customer base to continue growing our business throughout the year, LVLT CEO James Q. Crowe commented in the release.  ”Our customers require more and more bandwidth to support the continued adoption of video over the Internet, the continued growth in wireless broadband, and the rising demand for bandwidth in the enterprise market. Our mix of network assets, our service capabilities and our focus on customer service excellence are making Level 3 a top choice for wholesale and enterprise customers in the U.S. and Europe.”

As of March 31, 2011, LVLT had cash and cash equivalents of approximately $1,079 million, or $616 million on a pro forma basis after the partial redemption of the Company’s 9.25% Senior Notes due 2014 that was completed after the close of the first quarter 2011.

Outlook

LVLT expects the sequential growth in Core Network Services Revenue to strengthen in the second quarter.  For the full year 2011, the Company generally expects stronger sequential revenue growth compared to 2010. It expects low double-digit percentage growth in Consolidated Adjusted EBITDA this year, given the Company’s high incremental margins.

For this year, the Company expects GAAP interest expense of about $625 million and net cash interest expense of about $555 million. It expects capital expenditures to be approximately 12% of Communications revenue. Free Cash Flow is expected to be roughly breakeven for the remainder of 2011 in aggregate.

On April 11, 2011, LVLT announced that it had entered into a definitive agreement to acquire Global Crossing Ltd. in a tax-free, stock-for-stock transaction. Under the terms and subject to conditions of the agreement, Global Crossing shareholders will receive 16 shares of LVLT common stock for each share of Global Crossing common stock or preferred stock that is owned at closing.  According to Sunit Patel, LVLT executive vice president and CFO, the Company expects to incur some integration planning- and transaction-related costs between signing and closing, and will separately disclose those in its quarterly results.

Visit LVLT at www.level3.com

Source: Reuters.com, SEC Filings.

Analyst Consensus

This is the consensus forecast among 14 polled investment analysts. Against the Level 3 Communications Inc company.

The eight analysts offering 12-month price targets for LVLT have a median target of 2.00, with a high estimate of 3.00 and a low estimate of 1.00. The median estimate represents a -5.66% decrease from the last price of 2.12.

Source: markets.ft.com

Consensus Estimates Analysis

Source: http://www.reuters.com/finance/stocks/financialHighlights?symbol=LVLT.O

Technical Analysis

Source: http://stockcharts.com

On Wednesday last week, LVLT closed below its 20-day moving average. This is generally considered to be an indication of a bearish trend.

LVLT has been relatively stable recently. This is evidenced by the width of its Bollinger Bands, which are tighter than normal. Additionally, LVLT is within its Bollinger Bands. This is a normal condition suggesting that it is neither overbought nor oversold relative to the recent price action.

LVLT’s MACD is indicating a weak bearish signal. Although the indicator is above the critical level of 0, which implies that the underlying moving averages are bullish, the MACD has crossed below its 9-day moving average or signal line. This suggests that positive momentum has begun to slow.

Comparative Analysis

Source: Thomson Financial

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority.  We are neither licensed nor qualified to provide investment advice.

The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice.  The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities.  We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company.  An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report.  Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research.

Any individual who chooses to invest in any securities should do so with caution.  Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested.  Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.

Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934.  Subscribers are cautioned not to place undue reliance upon these forward looking statements.  These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated.  Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC.  You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.

We are committed to providing factual information on the companies that are profiled.  However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions.  We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so.  Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.

To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).

We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org.

Related Articles

1. Stock Alert for Level 3 Communications Inc. (LVLT)
2. Stock Alert for Level 3 Communications Inc. (LVLT)
3. Stock Alert for Level 3 Communications Inc. (LVLT)

Source: Reuters.com, SEC Filings.

Investment Highlights

EGHT climbed to $3.80 on Tuesday, a fresh 52-week high, before settling at $3.77, up $0.62, or 19.68%, as markets closed.  About 3.64 million shares have traded hands during the session, versus the 10-day average volume of 1 million shares. The stock is currently trading above its 50-day and 200-day moving averages of $3.09 and $2.76, respectively. Market capitalization currently stands at $234.16 million and it has 62.11 million outstanding shares.

EGHT offers integrated voice, video and mobile unified communications solutions for small to medium-sized business and distributed enterprise customers. These solutions leverage existing broadband Internet connections and cellular networks to deliver advanced features and high definition  voice service at a fraction of the cost of legacy alternatives.

EGHT began marketing its services under the 8×8 brand in May 2009 after initially marketing its services under the Packet8 brand. As of March 31, 2011, the Company had more than 24,000 business customers who use its services as their primary business telephone system, including IP dial tone, long distance and all of the business class features typically associated with a traditional phone system or PBX. Each business customer subscribes to a number of various lines and services.

During the fourth quarter of fiscal 2011, EGHT reported a 24.4% year-over-year increase in revenue from business customers and the addition of a record number of new business customers through its inside sales force. It added 3,009 gross new business customers in the fiscal fourth quarter of 2011 and ended the period with 24,385 business customers in service, compared to gross business customer additions of 2,875 in the same period last year and 2,798 in the prior quarter.

Late last month, the Company announced that it has upgraded its partnership with World Telecom Group (WTG) to offer 8×8 cloud-based VoIP and Unified Communications (UC) services to businesses nationwide through its network of agent partners. As an 8×8 master agent partner, WTG offers their agent and reseller partners an opportunity to expand their portfolios with EGHT’s award-winning, cloud-based VoIP, video, contact center and managed hosting solutions, including the 8×8 Virtual Office and Virtual Office Pro services.

“This is a very exciting time in the IP communications industry, as awareness and adoption of cloud offerings like 8×8′s SaaS PBX are on the rise and we are seeing an overall level of enthusiasm we have not witnessed for many years,” commented Don Trimble, vice president of channel sales at EGHT.

Visit EGHT at www.8×8.com

Financial Summary

Fourth Quarter of Fiscal 2011

Total revenue for the fourth quarter of fiscal 2011 was a record $18.2 million, up 14.6% from $15.9 million for the same period of fiscal 2010 and up 2.3% sequentially from $17.8 million in the previous quarter.

Operating income increased 128.7% to $2.0 million in the fourth fiscal quarter from $889,000 in the prior year period. Net income for the fourth quarter of fiscal 2011 was a record $2 million, or $0.03 per diluted share, an 80.4% increase over net income of $1.1 million, or $0.02 per diluted share, in the fourth quarter of fiscal 2010.

At March 31, 2010, the Company’s cash, cash equivalents and investments totaled $18.4 million, as compared to $18.1 million on March 31, 2010, and $20.5 million on December 31, 2010.  Capital expenditures were $166,000 in the fourth quarter of fiscal 2011, compared to $123,000 in the year-ago period and $811,000 in the prior quarter. In addition, during the fourth quarter of fiscal 2011, the Company repurchased about 1.37 million shares for a total of $3.78 million.

Full Year Fiscal 2011

For the fiscal year ending March 31, 2011, total revenue was a record $70.2 million, up 10.7% from $63.4 million for fiscal 2010.

Gross margin as a percentage of sales in fiscal 2011 was 67.8%, up from 67.1% in fiscal 2010. Service gross margin in fiscal 2011 was 77.7%, up from 76.8% in fiscal 2010. Research and development expense was $4.8 million in fiscal 2011, down 4.6% from $5.0 million in fiscal 2010. Selling, general, and administrative expense, which includes customer service, was up 8.8% to $36.5 million in fiscal 2011 from $33.5 million in the year prior.

Operating income increased 57.1% to $6.2 million in fiscal 2011 from $4.0 million in fiscal 2010. Net income in fiscal 2011 was $6.5 million, or $0.10 per diluted share, a 67.4% increase over net income of $3.9 million, or $0.06 per diluted share, in fiscal 2010.

Source: www.8×8.com

Technical Analysis

Source: http://stockcharts.com

EGHT is trading above its 20-day moving average. This is considered to be the sign of a bullish trend. There is added weight to this indication because the moving average is rising and suggests that there has been buying interest in this stock.

EGHT’s recent volatility has been greater than normal. This is evidenced by the increased distance between the upper and lower Bollinger Bands. These bands measure volatility using standard deviation and a large width is due to high volatility.

The MACD for EGHT currently indicates a strong bullish signal for two reasons. First, the MACD is above the signal line, a 9-day moving average. Second, the MACD is above 0 which implies that the underlying moving averages are trending higher.

Comparative Analysis

Source: Thomson Financial

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