Search www.investchips.com

Loading...

Monday, October 05, 2009

Long term investors should exit from Telecom stocks

This driver is using two phones at once

Image via Wikipedia

Indian Telecom sector seems to be following the foot steps of India Reality counterparts. Things are moving very fast and all indicators points impending cannibalism. First time in the history of Indian Telecom sector, ARU (Average Revenue per User) falls below Rs.200. Voice services are no longer remunerative. Number portability would put more pressure on profitability on existing players. 3G services may not see the day light in the near future. Raja may not be the King in this time. TRAI may advice all the players to offer “ per second billing” to it’s customers. This alone shave 20% of voice call profitability. This time lobbying may not help one or two companies alone or rescue laggards.

We advice long-term investors  to exit Indian Telecom stocks including Bharathi and RCOM. Difficult times ahead.

Reblog this post [with Zemanta]
Posted By R John Christy at 8:09 PM
Reactions: 
blog comments powered by Disqus
Subscribe to: Post Comments (Atom)

Disclaimer & Privacy Policies

(c) Mrs. Ruby Christy. This site and contents are owned by Mrs. Ruby Christy;
Use of this website and/or services offered by us indicates your acceptance of our Disclaimer& Privacy Policies.
Information and opinions provided on this website (www.investchips.com) has been independently obtained from sources believed to be reliable. However, such information may include inaccuracies, errors or omissions. Investchips.com and its affiliates, information providers or content providers and R.John Christy and his Family shall have no liability to you or third parties for the accuracy, completeness, timeliness or correct sequencing of information available on this website or feeds, or for any decision made or action taken by you in reliance upon such information, or for the delay or interruption of such information. Investchips.com,its affiliates, information providers ,content providers and R. John Christy and his Family shall have no liability for investment decisions or other actions taken or made by you based on the information provided on this website. Any action you choose to take in the markets is totally your own responsibility. Investchips.com and R. John Christy and his Family will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information. This information is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. Opinions expressed by R. John Christy are his own and not of his past, present and future employers.
The DoubleClick DART cookie is used by Google in the ads served on this websites displaying AdSense for content ads. When users visit this website and either view or click on an ad, a cookie may be dropped on that end user's browser.
  • Google, as a third party vendor, uses cookies to serve ads on this site.
  • Google's use of the DART cookie enables it to serve ads to your users based on their visit to this site and other sites on the Internet.
  • Users may opt out of the use of the DART cookie by visiting the Google ad and content network privacy policy.
  • www.investchips.com never collects any personal information of visitors.