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.
Cross-selling opportunities remain for both consumer and corporate markets.
TPG Telecom's service levels are seen as less attractive than some peers. Market share gains have been driven by pricing.
|
Metric
|
TPG
|
VOD
|
SPK
|
|---|---|---|---|
Price/Earnings (Normalized) | 13.42 | 10.51 | 22.06 |
Price/Book Value | 0.68 | 0.37 | 5.15 |
Price/Sales | 1.43 | 0.49 | 2.65 |
Price/Cash Flow | 6.57 | 1.50 | 11.92 |
|
Metric
|
TPG
|
VOD
|
SPK
|
|---|---|---|---|
Quick Ratio | 0.63 | 0.86 | 0.90 |
Current Ratio | 0.75 | 0.89 | 1.00 |
Interest Coverage | 1.17 | 5.22 | 5.08 |
|
Metric
|
TPG
|
VOD
|
SPK
|
|---|---|---|---|
Return on Assets (Normalized) | 3.00% | 2.36% | 0.13% |
Return on Equity (Normalized) | 4.96% | 6.07% | 0.31% |
Return on Invested Capital (Normalized) | 4.81% | 4.33% | −0.02% |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|
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