Highlights:
A 36% sell-off following the announcement of the long-awaited merger between Uniti and Windstream creates a huge opportunity — on paper.
But in practice, this type of bull case has rarely worked in recent years, particularly in the cable/fiber space.
Uniti’s post-merger strategy flies in the face of current market consensus about the future of fiber and expected returns on capital.
Yet that consensus was completely different just a few years ago; UNIT is likely the best bet on it being wrong again.