United Internet initiated with ?outperform?

28.09.07 - Bear Stearns

LONDON, September 28 (newratings.com) - Analysts at Bear Stearns initiate coverage of United Internet AG (UTDI) with an "outperform" rating. The 2008 yearend target price is set to ?18.5.

In a research note published this morning, the analysts mention that the German telecoms market is expected to be characterized by consolidation and rapid subscriber growth next year. United Internet is well positioned to benefit from the potential significant growth in the German broadband market, the analysts say. The company?s ARPUs are expected to rise going ahead, despite the current pricing pressure, Bear Stearns adds.