Why Dish Could End Up in the Arms of Verizon [telecom]


Shares of Dish Network Corp. and T-Mobile US Inc. are rising after the Journal splashed the news that the two companies are in merger talks across the front page. Verizon Communications Inc.'s stock dropped in early trading.

Yet Citigroup analyst Michael Rollins argues that Dish may ultimately end up in the arms of Verizon.

"We increasingly see two options for DISH: buy T-Mobile US or sell to Verizon," Mr. Rollins wrote in a research note. In fact, he says a sale to Verizon is the more likely outcome.

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Bill Horne
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