|reply to nosx |
Analysts == salesmen for brokerage houses
Remember one thing: "analysts" get paid by their employers to do one thing: generate churn (and thus, commissions). Encouraging short-term trading; thrashing about based on whatever "news" available, is the reason they exist. So personally I don't give what they say much credance.
That said, Verizon does have an issue that they are making a large investion in FIOS, primarily to give it a capability Comcast, et al, already has. That is, to sell TV. This means they need to compete on price; not the greatest business to be in. Everybody on this site is ga-ga over FIOS as a provider of high-speed internet access, but selling commodity bandwidth isn't the greatest of business. To Verizon FIOS == a method to sell high-margin TV services.
Maybe they don't have a choice, since the MSO's are busy stealing their high-margin phone business. But that doesn't mean FIOS is a great business to be in.