MetroPCS (NYSE: PCS) received a number of price target changes and ratings updates during the last week:

  • MetroPCS had its price target raised by analysts at Deutsche Bank from $12.00 to $15.00. They now have a “buy” rating on the stock.
  • MetroPCS had its “buy” rating reaffirmed by analysts at Jefferies Group. They now have a $15.00 price target on the stock, up previously from $10.00. They wrote, “Yesterday, both PCS (Buy Rated) and DT confirmed that they were in talks regarding a potential combination of DT’s T-Mobile USA and PCS. While the synergies of the combined entities would take time to capture given that the companies run on different network technologies today, they are significant. If we assume an even split to the synergies that adds roughly $5 in equity value to our previous PCS target price of $10.”
  • MetroPCS had its “market perform” rating reaffirmed by analysts at Oppenheimer. They wrote, “T-Mobile is expected to merge with Metro PCS. Deutsche Telekom’s board is scheduled to meet 10/3, and a deal could be announced the same day. The deal appears likely to include a stock swap, among other means of compensation. This merger was inevitable, in our view, but Sprint has been actively courting both T-Mobile and PCS, which makes this merger a bit of a surprise, and is negative for Sprint, in our opinion, which may try to outbid T-Mobile. We have included a T-Mobile model, PCS model, wireless industry model and price box in this report.”
  • MetroPCS had its price target raised by analysts at BMO Capital Markets from $10.00 to $13.50. They now have a “market perform” rating on the stock. They wrote, “At current share price levels, we are maintaining our Market Perform rating,which reflects the potential for an acquisition offset by our concerns regarding competitive intensity within the unlimited segment and near-term challenges and uncertainties in MetroPCS’s sustained ability to grow profitably with higher margins and declining capital intensity as it transitions to 4G LTE.”
  • MetroPCS was downgraded by analysts at Nomura from a “neutral” rating to a “reduce” rating. They now have a $10.50 price target on the stock.
  • MetroPCS had its “hold” rating reaffirmed by analysts at Canaccord Genuity. They now have a $12.00 price target on the stock. They wrote, “Although the merger between T-Mobile USA and MetroPCS would create a larger size entity, we believe the consolidation would not dramatically change the competitive landscape of the US wireless market. Given the deal structure, significant debt load and uncertainty associated with the network conversion, we believe the additional upside to existing MetroPCS shareholders would likely be limited at this point.”
  • MetroPCS had its “neutral” rating reaffirmed by analysts at Macquarie. They now have a $13.00 price target on the stock.
  • MetroPCS was upgraded by analysts at Sanford C. Bernstein from a “market perform” rating to an “outperform” rating. They now have a $16.00 price target on the stock, up previously from $9.00.

MetroPCS opened at 12.04 on Thursday. MetroPCS has a 52-week low of $5.53 and a 52-week high of $14.51. The company has a market cap of $4.376 billion and a price-to-earnings ratio of 13.38.

MetroPCS Communications, Inc. (MetroPCS Communications) is a facilities-based wireless broadband mobile communications provider in the United States, including the Atlanta, Boston, Dallas/Fort Worth, Detroit, Las Vegas, Los Angeles, Miami, New York, Orlando/Jacksonville, Philadelphia, Sacramento, San Francisco, and Tampa/Sarasota metropolitan areas.