Citigroup Said Sprint Nextel (S) Remains a Potential Candidate for M&A

Citigroup upgraded Sprint Nextel (NYSE: S) from Hold to Buy today. Citigroup analyst, Michael Rollins, says, "We are upgrading Sprint to a Buy rating with an upwardly revised target price of $25 as we believe the company is better positioned to pursue a restructuring of its marketing and operations, generate net add momentum beginning in the 2H07, and remain a potential candidate for M&A."

Rumors Surface Vodafone (VOD) Could Buy Sprint Nextel (S)

Rumors making the rounds Vodafone Group plc (NYSE: VOD) could be interested in buying Sprint Nextel Corp. (NYSE: S).

UPDATE: Stifel Nicolaus Sees Possibility of Bidding War for Alltel (AT)

UPDATE: Stifel Nicolaus comments on the WSJ story suggesting private equity firms are beginning to circle Alltel (NYSE: AT). The firm notes that a buyout has been a key part of their thesis since the spin-off of the company's wireline assets earlier this year. The firm says the company is a very attractive acquisition target for either private equity, or a strategic player such as Verizon Wireless (NYSE: VZ) (NYSE: VOD) or Sprint Nextel (NYSE: S).

The firm said a possibility exists of a potential bidding war between interested parties and believes valuations could climb to as high as $85/share in a competitive bidding environment.

The firm maintains its Buy rating and $68 price target and said the stock remains its top US-based stock.