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Investor Says Avoid ‘Serial Underperformer’ Windstream

Just a few days after a financial blogger sang Windstream‘s praises, another is saying the Little Rock, Ark.-based company isn’t worth the investment.

Writing for the Motley Fool last week, William Alder said Windstream’s acquisitions and partnerships were giving the communications giant’s investors “good times.” He said he fully expected the annual $1 per share dividend to continue. But not everyone agrees.

Albert Alfonso, a contributor to investor blog site Seeking Alpha, says Windstream “carries outsized risk due to its deteriorating fundamentals and massive debt load,” which was about $8 billion as of March 2013, according to Morningstar. The company “should be avoided,” he wrote, calling it a “serial underperformer for years.” That’s despite the company’s feeling that it’s heading in the right direction as it integrates its acquisitions and delves deeper into data-center services such as cloud and disaster recovery.

Windstream operates nationwide, offering voice, data, managed services and more to enterprises, SMBs and residential customers. It’s the fourth-largest enterprise-focused technology and communications company in the United States.

The company’s stock price finished the day Tuesday at $8.17, down a little more than 2 percent, and down approximately 7 percent for the year so far.

Both bloggers claim not to be Windstream investors.

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