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Stock Strategist

Our Outlook for the Telecom Sector

Some telecom firms may provide a refuge from the storm.

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In the last quarterly update, the telecom sector was the least attractively valued as a whole, and it retains that position this quarter with an average star rating of 2.67. However, as fear has gripped the market amid various blowups in subprime lending and derivatives, there is something to be said for the steady cash flows generated from the telecom sector.

Allan C. Nichols does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.