Serious GLC Monopolist SingTel Also CMI?

[Pinkieslut]

Singtel's sagging stock isn't an opportunity for investors but a sign of increasing risks
Singtel's net debt is nearly twice what it was 10 years ago, while its free cash flow has barely budged
MON, AUG 24, 2020 - 5:50 AM
BEN PAUL

To lift its depressed stock, Singtel needs to provide the market with a clearer sense of how it is creating value.
BT FILE PHOTO
SINGAPORE Telecommunications (Singtel) could be the cheapest blue chip stock in the local market that nobody wants to own. And, it may remain that way until the company fortifies its balance sheet and makes fundamental changes to the way it is run.

 

[Leongsam]

Run by a woman so what do you expect?

 

[mojito]

Run by a woman so what do you expect?

A Lee imperial relative?

 

[maxsanic]

Singtel has been directionless for the past 10 years. The Singapore market is saturated and stagnant, the Aussie market is tightly regulated with difficult margins and Optus has never been able to come close to displacing Telstra and always the distant 2nd.

The rest of it is just various minority interests in ASEAN telcos where Singtel is no different from being a passive stockholder getting regular dividends. They talk every year of developing a global footprint and catching next wave like cloud, AI, cybersecurity, digital advertising etc. but the scale is pathetic and mostly money losing.

The situation was compounded when they were forced by IMDA to spin off their physical fiber infrastructure resulting in the lose of a regular cash cow. Singtel is now running 2 laggard telco companies in a saturated market place and holding a collection of shares in some ASEAN telcos, nobody knows what's their growth driver in the foreseeable future.

 

[blackmondy]

All GLCs are flops and are simply kept afloat by taxapayers' monies.

 

[congo9]

Maybe Singtel wants to get delisted and sell it off to some Pte venture businessman.