UniTek Global (NASDAQ:UNTK) Outlook Good on Increased Broadband, Telecom Spending

UniTek Global Services (NASDAQ:UNTK) is considered one of the better small-cap specialty contractors by FBR, and should benefit from increased spending by businesses in broadband and telecom.

FBR says, "UniTek remains one of our favorite small-cap specialty contractors, well positioned to benefit from improving telecom and broadband capital spending. Opportunities across the wireless sector continue to develop, highlighting the recently signed AT&T (NYSE:T) mini-turf agreement and the possible upcoming work with Sprint (NYSE:S). As well, with management back in the office focusing on day-to-day operations (rather than capital raising like in 2010), we believe the company is seeing many more bidding opportunities. In addition, management continues to work through the process of refinancing its debt, which is now expected to be completed by the end of 1Q11 (versus 2Q11)."

FBR Capital maintains an "Outperform" rating on UniTek Global Services (UNTK), which closed Tuesday at $9.58, up $0.01, or 0.05 percent. FBR has a price target of $18 on UniTek.