TLS 0.51% $3.91 telstra corporation limited.

Closed on its lows!

  1. 1,816 Posts.
    TLS is clearly not going any where in a hurry.

    The fundamentals imply a share price MUCH LOWER than present over the medium term.

    Their group revenues are currently falling... and this is in an environment where one of their annoying competitors (One.Tel) has collapsed, and thus resulted in a return of disgruntled retail customers to the incumbent.

    The facts remain that data and mobiles are no longer growth industries.

    The introduction of 3G services by Hutchinson (Orange) next year pose a very significant threat to Telstra's position in the mobile market.

    ... the worrying thing is that TLS has not got a 3G network of their own... which means that they'll have NO STRATEGIC COME BACK if Hutchinson's 3G network proves successful in poaching Telstra MobileNet customers.

    It is very possible that in 18 months time we'll see Telstra's Mobile network causing pain accross the group as its revenues fall.

    We could be looking at shrinkages in group revenues of greater than 3%.

    NO company in Australia can continue trading at 16x earnings in an envirinment of falling revenues of such magnitude.

    A more realistic multiple (but still generous) would be 12x earnings... which would place TLS in the $3.50/$3.80 range.

    IMHO, TLS's a gonner.

    Buying at current prices is very silly imho.

    It's going to go alot lower!
watchlist Created with Sketch. Add TLS (ASX) to my watchlist
(20min delay)
Mkt cap ! $45.36B
Open High Low Value Volume
$3.94 $3.94 $3.90 $45.71M 11.68M

Buyers (Bids)

No. Vol. Price($)
6 336072 $3.90

Sellers (Offers)

Price($) Vol. No.
$3.91 177642 1
View Market Depth
Last trade - 16.10pm 27/05/2022 (20 minute delay) ?
0.020 ( 0.48 %)
Open High Low Volume
$3.93 $3.94 $3.90 2266090
Last updated 15.59pm 27/05/2022 (live) ?
TLS (ASX) Chart
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.