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Brokers upgrade Dycom to Strong Buy on favorable fiber upgrade prospects
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Summary
Construction firm Dycom Industries Inc. (NYSE: DY) received a rating upgrade from broker Raymond James, causing the stock price to rise by around 2% to US$83.78 on Friday. The rating upgrade came based on the forecast rise of AT&T, a key client of Dycom’s.
Dycom Industries Inc. offers contracting services such as program management, engineering, and installation services, primarily catering to telecommunications providers and utilities. The company provides fibre construction services to AT&T, a telecommunications provider in the US.
Brokerage Raymond James stated that other communication provider companies may also look at fibre upgrades over the next several years. As per the broker, Dycom is expected to benefit from this shift in the communication industry.
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