The national telecom's weak business could have been saved by a merger with T-Mobile, but shares plunged when that idea got the official boot
What happened
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So what
Shares of Sprint ( NYSE:S) fell 30% in 2017, a ccording to data from S&P Global Market Intelligence. The wireless network operator and internet service provider had been hoping to join forces with fellow cell service T-Mobile US ( NASDAQ:TMUS), but the stock collapsed when those merger talks were deep-sixed for good.
Now what
Sprint and T-Mobile have been glancing at the altar before, with Sprint making a bid for the smaller T-Mobile in 2014. Regulators seemed unlikely to approve that merger, so those talks were broken off for a couple of years.
What happened
While the canceled-merger drama played out, Sprint had very little good news on tap to turn Mr. Market's attention elsewhere. The company reported its first quarterly profit in three years in early August, but it missed Wall Street's targets in all four of its earnings reports anyway.
So what
Shares of Synchronoss Technologies ( NASDAQ:SNCR) fell 20.1% in May 2017, according to data from S&P Global Market Intelligence.
Now what
After a difficult April, the provider of software and services for the mobile industry seemed off to a good start in May. Share prices rose 12% on May 5 as a private investment group disclosed a brand-new 13% stake in the company.
Is Snap going to lose its first quarter?
Synchronoss shares have taken a 66% haircut year to date. The company is running under a hastily compiled slate of executive officers, including former CEO Steve Waldis and CFO Larry Irving, who had left the company in sunnier days.
Does Snap make more acquisitions?
Snap is predicting losses for its fiscal first quarter, which ended in late March, following an operating loss of about $900 million for the 2020 fiscal year. Despite last month's stock price slump, most investors are expecting those losses to give way to strong profitability over time.
Does Demitri Kalogeropoulos have a position in any of the stocks mentioned?
Snap will make more acquisitions in the camera and augmented reality niches in its bid to make smartphone cameras more valuable to its users. In the meantime, its challenge is to build on last year's impressive growth (active users spiked 22% last quarter) while improving its finances.
Is Snap stock going to be volatile in 2020?
Demitri Kalogeropoulos has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Prev.
