Qwest slides on Morgan Stanley report
Qwest Communications slid yesterday to a 52-week low of $20.01 after Morgan Stanley Dean Witter produced a note questioning the company’s ability to sustain revenue growth. According to the note, the company’s second-quarter earnings were largely driven by long-term fiber leases, which cannot depended upon in future quarters.
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This is the second critical report Morgan Stanley has produced about Qwest in as many months. The first, which questioned the company’s accounting practices, drew a strong rebuttal from Qwest Chairman and CEO Joe Nacchio that “there is a vendetta going on with one major firm on Wall Street,” against his company.
--Toby Weber, staff writer
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© 2012 Penton Media Inc.
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