Market's view on Telecom Plus
Published on April 2024
- UW received a positive mention on BBC Morning Live, indicating favourable media coverage.
- The company is reported to be performing well due to record-breaking customer numbers and is expected to see an increase in Average Revenue Per User (ARPU). Historically, the company has been valued with a Price-Earnings ratio above 30.
- Investec initiated coverage on TEP with a Buy rating and a target price of 21.97.
- A projection was made for the company’s stock to surpass £16 based on positive developments.
- Growth in customer base from 950,000 in the first half to 1 million in the second half was highlighted, confirming strong performance and target achievement.
- Inquiry about the release date of the next quarterly results shows interest in the company’s short-term financial updates.
- Despite growing its customer base and dividends, the company’s stock experienced a new low, with speculation about market disapproval and insufficient broker coverage.
- Discussion around the business model for distributors, focusing on the challenges of door-to-door sales and customer engagement strategies.
- There was a notable large sell-off noted, which could indicate volatility or investor uncertainty.
- Concerns were raised about the company’s direction and leadership following significant share sales by a key shareholder and a leadership departure, impacting stock performance.