Windstream Holdings (NASDAQ:WIN) is 12.1% lower premarket, and Uniti Group (NASDAQ:UNIT) down 5.6%, as Citi cuts them to Sell seeing too much risk in Windstream's performance.
That's a "substantial risk" to both stocks, with Uniti so dependent on Windstream results, the firm says. Even if Windstream prevails in its lawsuit against Aurelius over claims of default, it won't paper over larger issues that need to be addressed. (h/t Bloomberg)
Citi set a Street-low price target of $1 for Windstream; it closed yesterday at $4.22 and is at $3.71 premarket. The Street-low price target on Uniti is trimmed to $15; it closed at $21.77 yesterday and is at $20.55 premarket