Singapore Stock Market News

Asian Pay Television Trust - Growth sprouts‽

StockFanatic
Publish date: Thu, 07 Nov 2013, 10:53 AM
StockFanatic
0 10,453
Welcome to Stockfanatic Singapore stock market and regional market news. This is a platform to share Singapore stock market and regional news to investors / man in the street. Investors can also look forward to analyst reports and brokers recommendations. Stockfanatic's Singapore stock market and regional news blog, home of investors one stop news station.

Taiwan licence re-zoning has so far been feared as a competitive threat. However, our analysis shows that a Taichung expansion will be hugely positive for TBC's cash flow. Expansion will turn APTT into a high-yield growth play, which should catalyse current low valuations.

We think APTT is likely to expand into greater Taichung and this will lead to higher dividends from FY16 on. Maintain Outperform with a higher target price, still based on DCF with COE of 11.0% (10.2% previously) and LTG of 1.0%. We keep FY13-14 distributions unchanged and lower FY15's by 4%. However, from FY16 onwards, distributions are raised 3-26%. The prospect of growth should lead to a re-rating, in our view.
Read more »
Discussions
Be the first to like this. Showing 0 of 0 comments

Post a Comment