1039 [Dow Jones] STOCK CALL: Macquarie Research trims Telstra...

1039 [Dow Jones] STOCK CALL: Macquarie Research trims Telstra (TLS.AU) FY08 and FY09 EPS forecasts by 1.1% and 2.5% respectively after reviewing impact of expected wholesale broadband launches by Optus (T48.SG) and iiNet (IIN.AU) before year-end. "The emergence of wholesale broadband competition will negatively impact both Telstra's wholesale and retail businesses," broker says. Adds as higher-speed broadband penetration rises, new providers likely to push VoIP to differentiate offerings, putting further pressure on TLS fixed-line business. Keeps Neutral rating on stock, with A$3.50 target. "We are increasingly cautious on the outlook for Telstra in an environment where structural issues, intense competition and regulatory outcomes continue to pressure core revenue streams and operating margins," broker says. (LMF)