Sprint Nextel (S) NewsBite - Sprint Nextel Tumbles on Fed's Remarks

Posted on Tuesday, July 15, 2008 11:10 AM

Sprint Nextel Corp. (S) opened at 8.18. So far today, the stock has hit a low of 8.18 and a high of 8.24. S is now trading at 7.97, down 0.32 (-3.87%). The stock hit its 52 week high of 22.64 in July and set its 52 week low of 5.48 in March. The stock has been slipping for the past year. Shares of telecommunications have been plunging today along with the broader U.S. market amid concerns about the health of domestic financial institutions. Bernanke told Congress the U.S. economy is faced with "numerous difficulties," which represent "significant downside risks" to economic growth. Technical indicators for the stock are bullish and steady while S&P gives S a neutral 3 STARS (out of 5) hold rating. If you’re looking for a hedged play on this stock, consider an August bear-call credit spread above the $9 range. S stock could rise up to 10% before expiration and this position would still be profitable. [RHF - Seven Summits Strategic Investments NewsBite]