telco

Singtel well positioned to weather competition, looking cheap at current prices: UOB Kay Hian

SINGAPORE (Mar 21): UOB Kay Hian is maintaining its “buy” call on Singtel with a target price of $3.58, while highlighting that the stock, at the price of $3.02, is currently below its mean EV/EBITDA with a 5.8% dividend yield.

In a Thursday report, analyst Chong Lee Len says she continues to like Singtel for its customer-centric offerings and diversification across the region, as well as lean cost structure.

Why Singtel, NetLink NBN Trust remain OCBC's top 'buy' picks in a cut-throat telco scene

SINGAPORE (Mar 15): OCBC Investment Research is maintaining “neutral” on Singapore’s telco sector in the wake of the 4QCY18 reporting season, which saw StarHub and M1 results come in within expectations, while that of Singtels was slig

Cybersecurity merger positive for StarHub but will take time to manifest, say analysts

SINGAPORE (Sept 6): DBS and RHB are maintaining their “hold” and “neutral” calls on StarHub with the respective price targets of $1.42 and $1.78, while CGS-CIMB Research’s “add” call remains unchanged with a target price of $1.85.

Singtel said to tap BofA for pursuit of Australia's Amaysim

(Aug 21): Singapore Telecommunications (Singtel), Southeast Asia’s largest telecom services provider, is moving ahead with examining a possible bid for wireless operator Amaysim Australia, people with knowledge of the matter said.

The company is working with Bank of America to assess options for investing in Sydney-based Amaysim, the people said, asking not to be identified because the process is private. The appointment was made in the last two weeks, according to one of the people.

How Singtel plans to make lemonade out of lemons

SINGAPORE (July 13): Singapore Telecommunications’ regional associates have given investors some grief of late.

Airtel has been losing market share to Reliance Jio Infocomm, a new telco backed by Reliance Industries that has been driving down prices since entering the Indian market in 2016.

Jio has driven up data consumption in India from 239MB to 2.5GB a month on average, says Neil Shah, research director of devices and ecosystems at CounterPoint Research.

Circles.Life deal gives M1 competitive edge for now, but TPG entry remains a threat

SINGAPORE (July 5): Maybank Kim Eng is maintaining its “hold” call on M1 with an unchanged price target of $1.63 cents on the belief that expected earnings pressure on the group has been largely priced in by the market.

The research house forecasts a 3% CAGR decline in wireless service revenues over 2017-20E.

StarHub fails to leave analysts star-struck after a dismal 1Q

SINGAPORE (May 4): Maybank Kim Eng and OCBC Investment Research UOB Kay Hian are maintaining their “hold” calls on StarHub with an unchanged price target and fair value estimate of $2.27 and $2.20, respectively, while UOB Kay Hian is reiterating its “sell” call on the stock with a target price of $2.25.

This comes after the group on Thursday reported its first set of results under the new SFRS 15 accounting standard, with 1Q18 earnings indicating continued competitive pressure on the wireless and pay TV businesses although this came largely in line with expectations.

StarHub's 1Q earnings fall 14.9% to $61.5 mil on lower sales

SINGAPORE (May 3): StarHub reported a 14.9% decline in 1Q18 earnings to $61.5 million from $72.3 million a year ago on lower sales.

The telco was expected to reported earnings of $69.5 million, according to Thomson Reuters.

Total revenue for the quarter fell 4.7% to $561 million from $588.7 million in 1Q17. This came on the back of 7.1% and 10% revenue declines in the Mobile and Pay TV segments to $205.1 million and $80.7 million, respectively.

Why business diversification of this telco won't ease investor worries just yet

SINGAPORE (Mar 27): UOB Kay Hian is maintaining its “sell” recommendation on M1 with a target price of $1.60 on expectations of stiff market competition from the impending entry of TPG Telecom as Singapore’s fourth mobile operator in 2H18.

In a Tuesday report, analyst Jonathan Koh highlights the increasingly urgent need for the telco to diversify its business and sources of revenue, especially given how its mobile business contributed to a “whopping” 76.7% of its service revenue in 4Q17.

Why investors should 'buy' Singtel in spite of rising competitive risks: RHB

SINGAPORE (Mar 15): RHB is reiterating its “buy” call on Singtel given its underperformance over the past year following its selldown.

RHB has also updated the target price to $4.10 to reflect a higher effective stake in Bharti Airtel.

The rerating comes after Singtel’s recent completion of its purchase of an additional 1.7% stake in Bharti Telecom for $539.4 million, which effectively raised its stake in the latter’s subsidiary Bharti Airtel to 39.5% from 38.6% previously.

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