Ahead of the Bell: Clearwire to talk to investors

The company recently disclosed that it will try to amend a $1.25 billion term loan in order to aid a deal with Sprint Nextel Corp. and allow additional debt and investments.

Clearwire and Sprint Nextel have recently revived a plan to offer high-speed mobile Internet service by combining their wireless broadband units. The $14.55 billion communications company called Clearwire will develop a mobile network based on WiMax technology.

Citi Investment Research analyst Michael Rollins, who rates the stock "Sell," says stronger competition for mobile broadband services will emerge from AT&T Inc. and Verizon Communications Inc., especially given near-term technological enhancements.

"We believe both AT&T and Verizon are better positioned to compete with a cleaner, more effective mobile broadband product strategy," Rollins wrote in a client note.

Rollins, who has a $13 price target, also expects demand for postpaid voice subscriptions to slow meaningfully and thinks the company's stock price fails to encompass risks like these.

Shares of Clearwire have risen 0.8 percent so far this year and finished down 37 cents, or 2.7 percent, to close at $13.45 on Wednesday.