Normal
its in a bubble. not saying its a bad company. but its valuation is a reflection of the QE growth stock bubble.I took one look at the chart. its gone 90 degrees perfectly. No company is perfect. It has about $400m in debt.you can't compare it with Telstra which is a former public utility and owns all the infrastructure including for NBN. Most of TPG's services are retail level only. It just resells it from Telstra and Optus - its just a middleman.Market maybe growing, but its all from a low base, and the limited population means natural barriers are there.Re growth some of its growth is one-off. Like the AAPT acquisition using debt. That might increase earnings from 1 year to next, but it has also increased its debt on the balance sheet and capex liabilities. AAPT is a maintenance capex hungry business.
its in a bubble. not saying its a bad company. but its valuation is a reflection of the QE growth stock bubble.
I took one look at the chart. its gone 90 degrees perfectly. No company is perfect. It has about $400m in debt.
you can't compare it with Telstra which is a former public utility and owns all the infrastructure including for NBN. Most of TPG's services are retail level only. It just resells it from Telstra and Optus - its just a middleman.
Market maybe growing, but its all from a low base, and the limited population means natural barriers are there.
Re growth some of its growth is one-off. Like the AAPT acquisition using debt. That might increase earnings from 1 year to next, but it has also increased its debt on the balance sheet and capex liabilities. AAPT is a maintenance capex hungry business.
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