Orange Spain, a division of Orange (ORAN - Analyst Report) , has announced its successful trial of LTE-Advanced carrier aggregation (CA) technology in eastern city of Valencia. As per reports, Orange Spain is one of the major companies in trialling LTE-Advanced CA technology. The company expects to set up LTE network involving six nodes in Valencia following the trial completion.
The trial utilized Huawei's SingleRAN equipment, which allowed the company to deploy LTE- Advanced CA without hardware changes to its network.
We believe the new trial is concurrent with the company’s infrastructural developments in France and other European countries. The company has accelerated 4G rollout and captured over 40% of the French population in 2013 with 4,200 sites. In Spain, the company remains one of the leading telecom carriers in 4G deployments and covers over 0.5 million customers and 30% of its network coverage.
In UK, the company boosts over 2 million 4G customers and foresees further growth in this market given the country’s highest ranking in 4G migration worldwide. In Poland, the company launched its 4G in Warsaw in 2013. Besides Europe, the company is also focusing on the African and the Middle Eastern markets. The company has already launched 4G in two countries in these markets and is expected to launch 4G in two more regions, namely, Senegal and Botswana.
Orange currently has a Zacks Rank #2 (Buy).
Other stocks in the telecom sector worth consedering include Shenandoah Telecommunications Co. (SHEN - Snapshot Report) , Nippon Telegraph and Telephone Corporation (NTT - Snapshot Report) and Level 3 Communications, Inc. (LVLT - Analyst Report) . While Shenandoah and Nippon sport a Zacks Rank #1 (Strong Buy), Level 3 Communications carries a Zacks Rank #2 (Buy).