Why Sprint (S) Stock Is Lower Today

NEW YORK (TheStreet) -- Shares of Sprint (S) are down -0.70% to $5.70 in pre-market trade after new CEO Marcelo Claure told employees to expect further cost cuts and a more vigorous competitive edge, Bloomberg reports.

“In the short term, our success will come from our focus on becoming extremely cost efficient and competing aggressively in the marketplace,” Claure said in a memo obtained by Bloomberg News. “The management team has been working closely with the board to outline the future strategy of the company.”

The plan is likely to include job cuts, along with reducing costs for network infrastructure and lowering expenses for customer service by encouraging subscribers to use the Internet more, said David Heger, an analyst at Edward Jones, according to Bloomberg.. Sprint had about 36,000 employees at the end of March.

 

S ChartS data by YCharts

EXCLUSIVE OFFER: See inside Jim Cramer’s multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

If you liked this article you might like

What to Watch From Samsung, Google and Others at the Mobile World Congress

What to Watch From Samsung, Google and Others at the Mobile World Congress

Investors Hungry for Yield Put Money Where Their Mouth Is in Sprint

Investors Hungry for Yield Put Money Where Their Mouth Is in Sprint

Verizon and Yahoo! Sports Bring Super Bowl LII to the Small Screen

Verizon and Yahoo! Sports Bring Super Bowl LII to the Small Screen

These Stocks Are Showing Resiliency Amid the Market Selloff

These Stocks Are Showing Resiliency Amid the Market Selloff

Stocks Slide and Amazon's Profit Soars - 5 Things You Must Know

Stocks Slide and Amazon's Profit Soars - 5 Things You Must Know