Sprint in Good Position Even Without Merger, Wells Fargo Says

Sprint can survive even if it doesn’t work out a transaction with T-Mobile, Wells Fargo analyst Jennifer Fritzsche said in a Monday note to investors. Fritzsche said the 2.5 GHz spectrum owned by Sprint (S) is key. “In many ways, 2.5 GHz should be considered the low band spectrum in a 5G world,” she said. “The depth of S’s spectrum position, as well as the simplicity of the spectrum portfolio, should give it unique advantage in terms of capital efficiency vs. the three other national competitors,” she said. “While we acknowledge there would be significant (massive?!) synergies in a S/[T-Mobile] merger, we do believe S has a long runway even if on a go-alone strategy. Because of its spectrum advantage and technology advancements, we believe even in the absence of a merger with another player, S has more than enough in terms of spectrum and network capabilities to stand on its own two feet.”