TPG Telecom Ltd Ordinary Shares
TPG: XASX (AUS)
| Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
|---|---|---|---|
| A$9.20 | Xgjvmf | Mxwjshk |
Transformation Taking Longer to Bear Fruit
Business Strategy and Outlook
TPG Telecom is grappling with structural changes in the Australian telecommunications market. Rollout of the national broadband network, or NBN, and take-up of high-traffic products such as internet protocol television and video streaming, will increase the demand for broadband and backhaul capacity. However, the NBN will also force TPG Telecom to become a reseller, hitting its consumer broadband margins.