Is Frontier Communications Corporation a Buy?
Sometimes it's possible to find value where it appears there isn't any. Maybe that old, scruffy jacket just needs a cleaning. Or an old car buried under a layer of rust is actually a classic waiting to be restored.
In those cases, you need to have the vision to see something desirable when the outer appearance screams something else entirely. Those types of situations are common on the stock market, too: a beaten-down company can be a hidden gem about to turn a corner.
Frontier Communications (NASDAQ: FTR) isn't one of those stories. It's a company that's losing money as its customer base shrinks, and has cut its dividend and conducted a reverse split of its stock. There are signs that the company has started to trim its losses, but that will only slow down the inevitable.
Source: Fool.com
