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Eish, TKG sitting at R60.59 but the fixed-line revenue keeps sliding and mobile ain't picking up the slack fast enough. Enterprise might save them but ngl the load-shedding mess is killing capex spend across the board, feels like they're swimming against the current ja.
Worth noting the margin compression in mobile is real, but if they actually pull off the fibre rollout and get enterprise subs growing again, the long term yield play still works imo. Problem is they need to stop the bleeding in consumer fixed first and I'm not sure management has convinced anyone that's happening yet. Could be wrong but the R60 range feels like fair value till we see actual turnaround numbers.
TKG's stuck between fiber rollout capex and mobile competition from Vodacom, ngl. At R60.59 the dividend yield is decent but cash generation's under pressure with all the infrastructure spend. Reckon it's a hold for income players but growth story's thin unless they actually win back market share in mobile.
The fibre build is real but cape_steel's right, we're still mostly a copper company collecting revenue while the network bleeds out. Mobile tower lease income and that rand tailwind on the dollar debt are keeping things afloat but they're not the story yet, just breathing room. If they actually execute on network hardening and the fibre subscriber base starts moving, this looks positioned perfectly against Vodacom's infrastructure headaches. At R60.07 you're not paying for the turnaround, just the optionality of it.
copper theft and load-shedding are real headwinds but the fibre capex is finally starting to show in the numbers and mobile tower revenue is actually solid. people sleeping on the fact that rand weakness actually helps service the dollar debt. if they can just stabilize the network reliability this whole thing flips in 2-3 years, R60 is a gift for patient money.
R60.07 holding. fibre dreams incoming lfg
LFG FIBRE ROLLOUT MASSIVE!!!
fibre capex ramping but copper still most of the revenue base. how long before that flips
r60.07, good day to top up
load-shedding killing their fixed line margins but mobile tower stuff actually printing money now. rand weakness helps on the dollar debt side. long-term view hasn't changed, they need to stop bleeding copper theft and fix the network reliability. at R60.34 still looks reasonable if you're patient with the turnaround.
telkom's fibre rollout is actually moving now, load-shedding is killing copper lines and everyone knows it. at R60.34 we're pricing in zero growth but the enterprise segment's already turning. look at how vodacom bounced when their infrastructure started paying off, we're maybe 18 months behind them on the curve.
Springboks down at halftime, TKG will come back stronger
@trpine_patient yeah thin volume though, sus
The thing about Telkom is the fiber rollout actually matters when load-shedding keeps pushing corporates into backup connectivity, and that's where the margin sits. Comparing to Vodacom's mobile dominance, TKG's advantage is owning the pipes, not just renting airtime. R60 range seems fair given the debt they're carrying, but if fixed-line EBITDA holds through the next quarter the stock rewards patience more than panic.