MetroPCS Shares Popped Then Dropped: What You Need to Know
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of mobile carrier MetroPCS (NYS: PCS) recovered as much 7% before falling 4% under the opening price, accounting for an 11% intraday swing. Investors can't seem to decide whether yesterday's sell-off was justified.
So what: For those who missed it, yesterday's action saw shares of MetroPCS plunge 30% on a $0.05 earnings miss. Costs ran higher than expected while subscriber growth lagged. It's a story Sprint Nextel (NYS: S) investors know all too well.
Now what: Should you be buying at these reduced levels? Analysts at Robert W. Baird are skeptical. Earlier today, the firm downgraded its rating from outperform to neutral. Do you agree? Disagree? Weigh in using the comments box below.
Interested in more info on MetroPCS?Add it to your watchlist.
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