Clearwire saw a stock boost yesterday thanks to comments from Jefferies & Co that initiated coverage of the operator with a "buy" rating.
Jefferies' Anupam Palit voiced concern that Clearwire's partnership arrangement with Sprint Nextel, Comcast, Time Warner Cable and Bright House Networks could place the company's buildout risks solely on Clearwire shareholders.
"However, we believe that with the WiMAX deployment reaching critical mass in 2010, the partnership network proving to be a solid source of financing, and the wholesale story unfolding, the interests of Clearwire's partners and the company itself are effectively aligned," Palit wrote.
Clearwire shares closed at $7.41 yesterday, up almost 5 percent.
- see this Barron's article
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