Previous to earnings, longtime carrier bear Craig Moffett of Bernstein Research calculated Verizon's third-quarter profit margins could fall by 270 basis points as a result of the iPhone 5, and he projected bigger declines at AT&T. Moffett's negative outlook was also matched by other analysts on Wall Street.
Stifel Nicolaus analyst Christopher King cut his buy ratings on AT&T and Verizon as a result of iPhone 5 shipments in the quarter, noting "
In the wake of Verizon's earnings, Bernstein's Moffett suspended his thesis that Verizon's earnings momentum would tip negative on the iPhone 5 launch.
"The test we all knew about was wireless margins. Even solid growth (which brings commensurately high customer acquisition cost) and a new iPhone (available for a single week in Q3) couldn't derail the
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