One of the leading communications provider
) signed a deal with Washington, DC-based TRG Customer Solutions.
Per the agreement, Frontier Communications will offer three of
its Frontier Secure products, namely comprehensive computer
security, cloud-based unlimited backup and sharing and proactive
identity protection to TRG.
The portfolio of Frontier's Secure division is directed towards
protecting digital lives and its products that are available
across 50 states. With Frontier Secure's better infrastructure
and advanced methodology, the company expects to generate
improved revenue, a smooth operational base, greater customer
satisfaction and lower costs.
Management of Frontier stated that these products support the
solutions offered by TRG and will enhance its level of
reliability. On the other hand, TRG group remains highly upbeat
about this collaboration and expects to reap results in the
Focused on providing services to rural areas and small and
medium-sized towns, Frontier offers attractive value-added
service packages to local access line customers. The company is
also progressing well in profitability management and cash flow
through reductions in operating expenses and capital expenditure.
We expect Frontier's business tie-up with
) to bring in more revenue for the company in the next few years.
However, intense competition from other industry players, a
highly leveraged balance sheet, regulatory pressure as well as
integration risks in converting the acquired properties into its
own system might limit the company's earnings potential in the
We maintain our long-term Neutral recommendation on Frontier. The
company has a Zacks #3 Rank implying a short-term (1-3 months)
FRONTIER COMMUN (FTR): Free Stock Analysis
AT&T INC (T): Free Stock Analysis Report
To read this article on Zacks.com click here.