Bank of America double downgraded a satellite TV provider today

Dish Network Corp (NASDAQ: DISH) is already down more than 20% versus its year-to-date high but a Bank of America analyst says the pain is far from over just yet.

Dish stock could tumble further to $10

David Barden double downgraded the Englewood-headquartered firm this morning to “underperform” and lowered his price target to $10 – down about 20% from its previous close.

The analyst sees continued delay in the build-out of its wireless network service to be a meaningful headwind for the Dish stock. His research note reads:

[Dish] would not likely hit cruising speed until 2024. Over this same year, a once exciting and seemingly clear set of opportunities to leverage its 5G wireless infrastructure now feels further away.

Last week, the satellite TV provider also reported weaker-than-expected revenue for its third financial quarter.

What else could weigh on the Disk stock?

Also on Tuesday, the Nasdaq-listed firm confirmed that a recent cybersecurity attack took certain data from its internal IT systems. According to David Barden, Dish stock may remain under pressure even after the company’s network is ready.

Once the network is operational and at scale, the company would need to still prove it could form meaningful partnerships in an industry with established players chasing similar opportunities.

If it goes alone, he added, marketing costs and inflation at large could threaten its free cash flow. The Bank of America analyst says Dish Network should have signed the deal that Amazon recently did with T-Mobile.

Remember that this 5G stock was once worth $46 at the height of the pandemic.