Oppenheimer Reaffirms 'Outperform' Rating on Windstream (WIN)

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Windstream (NYSE: WIN)‘s stock had its “outperform” rating reiterated by equities research analysts at Oppenheimer (NYSE: OPY) in a research note issued to investors on Friday.

The analysts wrote, “WIN reported a weak quarter, as EPS of $0.13 was 1 cent below our est. ($0.03 below consensus). We are lowering our ests. to slightly below guidance given accelerating wholesale declines and uncertainty around USF/ICC reforms. WIN will continue to have difficult quarters as it tries to find its post-PAET feet. Positively, the company’s dividend is safe at a ~70% payout ratio despite our lowered forecast, and the stock has dividend yield support at a very attractive 10% level. Positively, the company’s stock has declined enough (20% below CTL and the market this year) whereby it is now trading in line with CTL on an EBITDA and FCF yield for the first time.”

WIN has been the subject of a number of other recent research reports. Analysts at Nomura (NYSE: NMR) reiterated a “neutral” rating on shares of Windstream in a research note to investors on Friday. Separately, analysts at Citigroup (NYSE: C) downgraded shares of Windstream from a “buy” rating to a “neutral” rating in a research note to investors on Friday. They now have a $15.00 price target on the stock, up previously from $11.00. Finally, analysts at Zacks reiterated a “neutral” rating on shares of Windstream in a research note to investors on Thursday, March 29th. They now have a $12.00 price target on the stock.

Windstream traded down 1.49% on Friday, hitting $9.94. Windstream has a 1-year low of $9.42 and a 1-year high of $13.57. The company has a market cap of $5.830 billion and a price-to-earnings ratio of 30.67.

Windstream last released its earnings data on Thursday, May 10th. The company reported $0.13 earnings per share for the quarter, missing the analysts’ consensus estimate of $0.14 by $0.01. Windstream’s revenue was up 51.0% compared to the same quarter last year. Analysts expect that Windstream will post $0.14 EPS next quarter.

Windstream Corporation (Windstream) is a telecommunications company that provides phone, high-speed Internet and digital television services.

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