Singapore Stock Market News

Telecom Sector - Few years of pain to turn TPG unviable

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Publish date: Wed, 27 Jun 2018, 04:13 PM
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TPG's business case rendered unviable by aggressive mobile virtual network operators (MVNOs)

After 44% correction YTD, StarHub is still not attractive at 12-month forward EV/EBITDA of 6.8x versus M1's 6.4x and Singtel's core 5.4x. Too early to buy StarHub for potential sector consolidation a few years later

Prefer Singtel > M1 > StarHub. Singtel continues to be our preferred stock for its stable core EBITDA prospects vs potential decline at M1 & StarHub. Singtel is expected to resume earnings growth in FY20F, led by Bharti
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