Morningstar Rating

Stock Research and Analysis

by Michael Hodel, CFA

Bulls Say

Sprint holds assets that will play an important role in the wireless industry. The firm's spectrum position, in particular, is the strongest in the business.
Softbank's backing should enable Sprint to greatly enhance its competitive position and create value for shareholders over time.
With Network Vision largely complete, Sprint should see customer growth stabilize and margins expand. These improvements should force a reassessment of Sprint's value. Read more 

Bears Say

Improving customer perception of the Sprint brand after a decade of poor performance will be difficult.
While Sprint has struggled, Verizon Wireless and AT&T have benefited at its expense. Even with Softbank's cash, AT&T and Verizon have far greater resources to invest in spectrum and technology.
Sprint faces numerous risks. Acquiring Clearwire sharply increased leverage and hurt profitability while adding assets that may hold only marginal potential. Building out Clearwire spectrum will require heavy capital spending, which Sprint can't afford today. Read more 


Softbank took control of Sprint in July 2013, acquiring an 81% interest in the firm. Former Sprint board members now hold only two of nine board spots. Softbank founder Masayoshi Son serves as Sprint's chairman, and Softbank president Ronald Fischer   Read more 


Sprint is the third-largest carrier in the United States, serving 46 million customers directly and 12 million via resellers and affiliates. About 8% of sales come from   Read more 

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