Gabelli Has Buy On Millicom Int'l Cellular (MICC)

Gabelli & Co. has a Buy rating on shares of Millicom International Cellular MICC, and discusses the company's earnings, which were released on April 19. In a note to investors, Gabelli writes, "On April 19, Millicom reported stronger than expected 1Q'11 results. Net customer additions of 1.2 million were ahead of our estimate (1 mm) and profitability was higher than anticipated due to a combination of tight cost management, value-added services development, and the benefit of asset sharing (towers). The company also announced an increase in its planned stock repurchase program for 2011 to $800 mm (previously, up to $300 mm buyback was expected to be executed by MICC's Annual General Meeting on May 31, 2011). Valuation is attractive at 6.6x 2011E and 6.1x 2012P EBITDA, at a discount to recent transaction multiples. We estimate 2011 PMV of $120 growing to $185 in 2015" Shares of MICC closed at $104.83 yesterday.