Citi set a Street-low price target of $1 for Windstream

Windstream -12%, Uniti -5.6% as Citi pulls Sell switch

Jul. 18, 2018 9:17 AM•Jason Aycock

Windstream Holdings (NASDAQ:WIN) is 12.1% lower premarket, and Uniti Group (NASDAQ:UNIT) down 5.6%, as Citi cuts them to Sell seeing too much risk in Windstream's performance.

That's a "substantial risk" to both stocks, with Uniti so dependent on Windstream results, the firm says. Even if Windstream prevails in its lawsuit against Aurelius over claims of default, it won't paper over larger issues that need to be addressed. (h/t Bloomberg)

Citi set a Street-low price target of $1 for Windstream; it closed yesterday at $4.22 and is at $3.71 premarket. The Street-low price target on Uniti is trimmed to $15; it closed at $21.77 yesterday and is at $20.55 premarket.

A tentative trial date for Aurelius' default claim is set for Monday

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11 replies (most recent on top)

This was a long time coming and glad it finally caught up with WS. This is what happens when you refuse to pay for or to keep talented people in your ranks. Then proceed to make those that are talented feel unwanted even though they are carrying the dead weight on your team. This is what happens when nepotism is rampant in your company and most leads and managers have no clue in their respective departments. All these factors equate to a bad experience for the customer and they WILL leave as they are doing. Karma WS Karma.

Its sad how much the stock is falling the last couple of years. People talk and employee moral is low. Upper management knows the deal but cannot and will not address the sinking ship being failed planning. Yet the big boss got a 20% raise.

I feel sorry for the Citi analyst who recommended the downgrade to a $1. (.25 cents pre split)

TLON is going to lock him up in Windstream prison.

Who would even be a real contender to buyout WS? Frontier is performing like crap. CenturyLink is doing ok... but, they are still struggling with layoffs and level 3 acquisition (not to mention they are still way down from 1 year ago).

Verizon bought XO - but, I think they realize that was a mistake now and would be unlikely. ATT? But, they seem to be going in a different direction (toward media / wireless / Fiber)

UNE circuits are going to be a loss in a couple years because of the recent FCC ruling... so even if that business unit is good now - will anyone want it? No one wants copper ILEC in rural america... no real money there. And SD-WAN... Who doesn't offer SD-WAN? Lol

There’s rumblings but nothing I believe. TDS or someone? Doubt it.

Any talk going on about a buyout/takeover by another Telecom?

Even under a CH 11 there will still be jobs. Probably just get rid of a bunch of the VPs. Company way too top heavy. Might even be a good thing to wipe out all the debt. Bankruptcy can be good look at the president.

In the past 30 days Windstream has lost ONE HUNDRED AND FORTY FOUR MILLION DOLLARS in market cap. 30 days, just under $150M. Let that sink in for a minute. The guy in charge got a raise by the way.

Then you take the damn paycut and watch your friends get the rug yanked out from under them. How dare you post crap like that.

"Citi analyst Michael Rollins downgraded Windstream (WIN) to Sell and cut his price target for the shares to $1 from $7.50. The company's operating and financial performance "pose substantial risk" to the equities of both Windstream and Uniti Group (UNIT), Rollins tells investors in a research note. The analyst believes Windstream is in a "precarious operating position and faces rising financial risks."

Thread regarding Windstream Corp. layoffs

Citi set a Street-low price target of $1 for Windstream

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