153 replies to this topic

[JK001]

Look sens whys director selling if going surge..not large sum but still!

 

It actually said to cover interest , Rule #344 do no buy shares on credit :-)

[Ms Jet]

What do you people going long think its worth...i have 30000 rands worth...im trying dim up what everyone is saying 😁

[Ms Jet]

Look sens whys director selling if going surge..not large sum but still!

[SoleTrader]

i went big on Friday - 50 000 shares at 530-550c. This company is either fucked, or the market is totally wrong.  But at this low PE ratio I am willing to take a chance. I am also long shares at the 1250c level! 

[JK001]

MTN's share price rising at the moment is due to this. Go and look at MTN and Vodacom's share performance for the YTD.

https://www.moneyweb...nd-8bn-dispute/

 

Im referring to your earlier posts regarding Cell C's fibre strategy. This share is being punished by the market for a reason (its lost almost 40% in a month). If you believe that it is currently worth R9 and above then I wish you luck, but i need to see tangible results and reasoning from you to convince me of that valuation at the moment.

Read earlier posts by me where I gave an explanation- see Cell C latest results.  If you agree loss reduced 33% then we are still on par.  If you agree loss was only R 600 million then we are still on par.  So you agree it has turned around, still not profitable but on the upside.  So worst case BLU has to write off 45% (BLU stake in CellC), then the loss for CellC in BLU is only R 270 million.   So for now imagine that CellC has now value.  That equates to BLU before the CellC deal.  BLU share price was then around R 20 a share.  Take 50% of for investor sentiment and you sit with R 10 a share.  From that period BLU itself has performed the next year right? So add back CellC when you are ready.  

 

Then just to ease yourself, go to " FIN24 BLU share price"  scroll down to ownership and see how many shares was bought by big funds and investors (100+ million) and how many was sold (just over a million).

[Spell Jammer]

You are right Vumatel is one of the the Fibre suppliers, some others may even give you greater value cause they are also ISPs (internet service providers), but in BLU style (wholesale), they can you offer you better rates through CellC because of the volumes they purchase. Why do you think most of the banks sell you airtime through BLU?

 

Maybe I did not express myself well:  I said that CellC may still make a loss for the next 2 quarters.  Based on current trends less than R 600million (worst case).  So, I have put no value to CellC (it is yours for free with BLU).  And for BLU to absorb such a loss is a blink.  My humble advice is stop focusing on CellC as its is a non-event under new management.  And if it does bloom take that it as a bonus.   btw.  MTN is up 7% today - people's priority today is to first pay their mobile and or airtime/data and the rest can wait.

 

Your statement that CellC is in a worse financial position may require some additional reading.  CellC nett loss reduced with 33% to R 600 m, simple math tells me it is improving? 

 

Happy to eat humble pie come Feb 2019.   Disclaimer - I am seriously invested in BLU (relativity taken into account) and we all invest in what we believe.

MTN's share price rising at the moment is due to this. Go and look at MTN and Vodacom's share performance for the YTD.

https://www.moneyweb...nd-8bn-dispute/

 

Im referring to your earlier posts regarding Cell C's fibre strategy. This share is being punished by the market for a reason (its lost almost 40% in a month). If you believe that it is currently worth R9 and above then I wish you luck, but i need to see tangible results and reasoning from you to convince me of that valuation at the moment.

[JK001]

Why should it go up based on recent results? Why does Cell C defy the existing Telco trend for you? Go and look at MTN and Vodacoms share price performance this year. What logic is being used to assume that a loss making Telco's share price should defy domestic industry trends? Especially on a dodgy Fibre strategy?

You and Mr. Market are misinformed if you think CellC strategy is Fibre only.   you have some serious reading to go do.

[JK001]

This doesn't make sense. Cell C partners with Fibre Network Operators like Vumatel and provide their fibre on an open access network by making services available to ISP's like Cell C? Vumatel is the Multichoice of Fibre in SA at the moment.

 

Let me ask you this. Why do you value Cell C a a loss making entity at a higher share price than profit making Telco's like Vodacom and MTN? These profit making Telco's share prices are in the doldrums at the moment? Why is Cell C a special case for you when they are in a worse financial position?

 

You are right Vumatel is one of the the Fibre suppliers, some others may even give you greater value cause they are also ISPs (internet service providers), but in BLU style (wholesale), they can you offer you better rates through CellC because of the volumes they purchase. Why do you think most of the banks sell you airtime through BLU?

 

Maybe I did not express myself well:  I said that CellC may still make a loss for the next 2 quarters.  Based on current trends less than R 600million (worst case).  So, I have put no value to CellC (it is yours for free with BLU).  And for BLU to absorb such a loss is a blink.  My humble advice is stop focusing on CellC as its is a non-event under new management.  And if it does bloom take that it as a bonus.   btw.  MTN is up 7% today - people's priority today is to first pay their mobile and or airtime/data and the rest can wait.

 

Your statement that CellC is in a worse financial position may require some additional reading.  CellC nett loss reduced with 33% to R 600 m, simple math tells me it is improving? 

 

Happy to eat humble pie come Feb 2019.   Disclaimer - I am seriously invested in BLU (relativity taken into account) and we all invest in what we believe.

[Spell Jammer]

So you're basically saying you don't see the share price going back up anytime soon?

Why should it go up based on recent results? Why does Cell C defy the existing Telco trend for you? Go and look at MTN and Vodacoms share price performance this year. What logic is being used to assume that a loss making Telco's share price should defy domestic industry trends? Especially on a dodgy Fibre strategy?

[Rex]

This doesn't make sense. Cell C partners with Fibre Network Operators like Vumatel and provide their fibre on an open access network by making services available to ISP's like Cell C? Vumatel is the Multichoice of Fibre in SA at the moment.

 

Let me ask you this. Why do you value Cell C a a loss making entity at a higher share price than profit making Telco's like Vodacom and MTN? These profit making Telco's share prices are in the doldrums at the moment? Why is Cell C a special case for you when they are in a worse financial position?

 

So you're basically saying you don't see the share price going back up anytime soon?

[Spell Jammer]

The Levy brothers have only been involved in the last 9 months, it is a turnaround story unfolding.  Vumatel has a total different target audience and is focusing on fibre sharing.  That is the same as sharing a straw to drink a double thick milk shake. But let's not get lost in the woods.  

Fact is since turn-around started the nett loss has decreased 33% (despite 28% decline in data prices)- logically that will take at most 2 more quarters to get CellC into positive territory.  Best is some of the financing is done through airtime (vapor currency). 

For argument sake, lets say in the next quarter CellC has another loss (at 33% decreased) it will be a R 300 million loss.  And let's argue that they repeat the 56% net profit growth from the current R 1.4 billion.  Think that covers the loss with a smile with some change left and guess there is some tax benefits in there too.  

This doesn't make sense. Cell C partners with Fibre Network Operators like Vumatel and provide their fibre on an open access network by making services available to ISP's like Cell C? Vumatel is the Multichoice of Fibre in SA at the moment.

 

Let me ask you this. Why do you value Cell C a a loss making entity at a higher share price than profit making Telco's like Vodacom and MTN? These profit making Telco's share prices are in the doldrums at the moment? Why is Cell C a special case for you when they are in a worse financial position?

[Ms Jet]

Thanks..going hold then

[JK001]

Thank you for help..

You are welcome.  I am in at average R 7.06, but will buy more on payday.  So your R 6,18 is still a bargain.

[Ms Jet]

Thank you for help..

[JK001]

Fibre revenue (not profit) only accounted for R62 million this year. Even if they grow Fibre by 300%, thats still nowhere near enough to warrant a R9-10 share price, especially given Vumatel's aggressive plans in this space.  Fibre is not even 1% of their total revenue yet they lost R1.5 BILLION in the last 2 years.

 

The Levy brothers have only been involved in the last 9 months, it is a turnaround story unfolding.  Vumatel has a total different target audience and is focusing on fibre sharing.  That is the same as sharing a straw to drink a double thick milk shake. But let's not get lost in the woods.  

Fact is since turn-around started the nett loss has decreased 33% (despite 28% decline in data prices)- logically that will take at most 2 more quarters to get CellC into positive territory.  Best is some of the financing is done through airtime (vapor currency). 

For argument sake, lets say in the next quarter CellC has another loss (at 33% decreased) it will be a R 300 million loss.  And let's argue that they repeat the 56% net profit growth from the current R 1.4 billion.  Think that covers the loss with a smile with some change left and guess there is some tax benefits in there too.  

[Ms Jet]

Oouch....i biught at 6.18....not sure whether to cut losses or hold for how long it takes for rise....any opinions

[Rex]

This share is still crashing

[Polly]

Mr Market valuing Cell C at zero to negative value.  IMO it deserves that rating.  Blu hopelessly overpaid and will now have to carry the bag going foward

[Spell Jammer]

Spell jammer...hi...so what do you think value is ?

There's a downward trend on all Telco's at the moment given revenue and regulatory pressures. Cell C has to demonstrate something spectacular in their next set of results for me to be convinced, and that's just Cell C and not Bluetel's other core operations in Mexico etc.

 

https://za.investing...ell-c-200197476

Edited by Spell Jammer, 17 September 2018 - 03:29 PM.

[Ms Jet]

Spell jammer...hi...so what do you think value is ?