Singapore Stock Market News

M1 - Still 'Appletizing'

StockFanatic
Publish date: Thu, 02 Oct 2014, 12:13 PM
StockFanatic
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We maintain BUY on M1, with FV adjusted to SGD4.20 (WACC: 7%, terminal growth: 1.5%) from SGD4.30, a 16% upside.

Its re-rating catalysts are:
i) continued revenue market share gains,

ii) stronger take-up of fiber plans and

iii) better data monetisation efforts.

The fair value accounting on the iPhone should see M1's service EBITDA margin bucking the trend in 4Q14, a typically strong quarter for handset sales.
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