Telecoms

Telecoms equity research

Explore the most viewed and latest equity research and media content for companies within the Telecoms sector. Stocks in this sector provide telecoms services & equipment, and mobile services.

13 Jan 20

Allenby Capital TMT Update - 13.01.20 (ECSC.L, TERN.L, MWE.L)

ECSC Group plc* (ECSC.L, 145p/£13.0m) | Tern plc* (TERN.L, 9.5p/£27.0m) | MTI Wireless Edge Ltd* (MWE.L, 39p/£33.8m)

Companies: ECSC TERN MWE

15 Jan 20

Expansion on track

Gamma has this morning published a 2019 trading update which provides strong evidence of two key trends – the UK business continues to take market share and deliver strong profits and cash, and the nascent expansion into Europe is faring well, with good growth and integration on track. Given that the metrics appear materially in line with our (and consensus) estimates, we make no changes to our forecasts, but note the positive commentary around performance relative to expectations.

Companies: Gamma Communications

21 Oct 19

Quarterly Research Outlook Autumn 2019

Following continued delays of a Brexit agreement, few sectors within the UK market have remained attractive to investors despite low valuations. One sector which has continued to outperform despite the political drama has been the UK video gaming sector (henceforth UK gaming), which we are fans of. We believe a combination of sector-leading growth, strong cash conversion and timely cyclical positioning support our positive view on the UK video gaming sector.

Companies: ABBY AMS ANX ARS ATYM AVON BLVN PIER BUR CGS CAML CDM CSRT TIDE CYAN DTG DEMG ELM EMR FPO FDEV GTLY GENL GHH GRI GEEC GKP HMI HAYD HEAD HILS HTG HUR IBPO IOG INDI JHD JOG KAPE KEYS KWS KCT KGH LAM LIT LOK MACF MANO MOD OXIG PCA PANR APP ESRE PHC PMO RBW RMM RBGP REDD RSW RNO ROR SUS SCPA SEN SHG SOLG SOM SUMO TM17 INCE TWD TRAK TRI VNET VTC ZOO ZTF

02 Jul 19

Where’s the Value?

Warren Buffett once said that as an investor, it is wise to be ‘fearful when others are greedy and greedy when others are fearful’. Fear is not in short supply right now.

Companies: OPM ALU ANCR BLV CONN CRC STU GATC HAT LEK MMH MCB MWE NXR NTBR NOG PAF PEG RFX SRC TEF TEG TPT VTU WYN XLM

27 Nov 19

FY20 Interim Results

For the six months to 30 September 2019 (H1 FY20) AdEPT Technology Group reported Revenue +26.4%YoY to £30.8m inclusive of acquisitions, with organic growth of +2.5%YoY. Fixed Line Communications comprised 18.5% (£5.7m), -10.7%YoY, whilst Managed Services grew 39.5%YoY to £25.1m inclusive of the acquisition of Advanced Computer Systems UK Ltd. (ACS) to reach 81.5% of revenue; underlying organic growth was 7.9%YoY. EBITDA (adj.) of £6.1m grew 18.3%YoY; a 19.8% margin. The interim dividend was 5.1p/share (H119: 4.9p) +4%YoY. Period-end senior net debt was £31.5m (FY19: £27.1m) 2.6x EBITDA (FY19: 2.5x), with cash at £4.6m.

Companies: Adept Technology

05 Nov 19

LIBERUM: SigmaRoc* - Blue chip investment

SigmaRoc has acquired Carrières du Hainaut (CdH) for €81m EV, funded by debt and a £33m share placing. This has enhanced EPS by c.20%.

Companies: Sigmaroc

11 Dec 19

24i opens on Broadway

Amino’s 24i subsidiary has launched a new suite of applications and Subscription Video on Demand (“SVoD”) services for US-based video streaming service BroadwayHD. The release contains no financial details as to the value for Amino and we make no changes to forecasts. Nevertheless, we believe BroadwayHD is a useful reference client win. Following the joint Amino/24i Youfone announcement, in our view the BroadwayHD launch demonstrates the momentum in the combined business and highlights the transformational nature of the 24i acquisition.

Companies: Amino Technologies

12 Dec 19

Arden Tech SoundBytes

Disney+ hits 22m mobile users, SoftBank backed firm downsizes IPO, German mobile carrier selects Huawei

Companies: ENET 7DIG EVRH ZOO ZOO AMO BOOM MIRA MWE

07 Jun 16

The Cybersecurity Rebellion: “No, I’m Spartacus!”

Steve “Woz” Wozniak, infamous co-founder of Apple, was the latest culprit to send shivers across the tech world by claiming Cybersecurity is the greatest threat the world has faced since the atom bomb. Mr Wozniak was alluding to the heightened sense of fear that recent high profile breaches have caused Cybersecurity to be put at the forefront of political, corporate and now it would appear, investor agendas. As the topic gains increasing awareness, it gives rise to a number of companies claiming to be a “thought leader” in the Cybersecurity space, holding the best IP and the best routes to market. With many companies singing from the same loss making hymn sheet it is making it ever difficult to spot the true “Spartacus” from the crowd.

Companies: BA/ BVC BLTG CHRT 9537 CNS DFX ECK EXPN GBG IGP MPAY NCC OSI SCH TERN

06 Dec 18

LIBERUM: Amino Technologies* - 6% yield and strategic attractions

The year-end trading update shows cash flow ahead of forecasts and a maintained earnings outlook as Management work through the macro challenges. While, Amino will need to deliver on profit forecasts over the next 12 months, the valuation is backed by an increasing software mix, 6% yield, and clear strategic attractions in a consolidating sector.

Companies: Amino Technologies

05 Feb 19

De-risking and driving margins

Prelims are in line with the December update, reiterating strong cash generation taking net cash to $20.3m. The market was appraised of the effect of adverse conditions in certain regions in October, on top of US tariffs and pressure on the bill of materials across the sector. The board has opted to make the strategic move away from clients demanding a lower-margin solution for commoditised hardware, towards recurring revenue from clients understanding the value derived from the embedded software and solution opportunities from the broader Amino product set. Focus is unchanged – delivering Cloud TV Everywhere, Operator Ready Android TV, and Upcycling of legacy devices – and while the transition reduces low-margin revenue, it allows focus on recurring SaaS opportunities (software revenue grew 19%), improvement in gross margin to 50% by FY21 (FY18: 41%), and $5m of further opex savings. We review forecasts in line with guidance: revenue managed down 21% (vs FY18) but adjusted EBIT 10%, while maintenance of the covered dividend demonstrates board confidence in sustainable cash flow. We adjust our target price to 185p (260p) supported by a target 4% div yield during transition, with near-term adjustment leading to greater visibility and earnings quality.

Companies: Amino Technologies

20 Mar 19

FY19 Interim Update

AdEPT Technology is a communications and IT managed services provider to mid-sized enterprises in the UK healthcare, education and public sectors.

Companies: Adept Technology

15 Jul 19

Acquisition of 24i Media

Amino has acquired 24i Media, industry-leading provider of TV and OTT apps, user experience solutions and services, headquartered in Amsterdam. The €21.4m acquisition (€16m cash, €3.3m in Amino stock and €2.1m deferred consideration conditional on management remaining with the business) will be funded from existing cash resources, retaining a continuing net cash position. 24i contributes to the rapid development of Amino’s strategy for driving high-margin software and recurring revenues, in addition to adding further key elements of provision of an end-to-end TV solution to clients – positioning the group earlier in the engagement during selection of the TV ecosystem. Growing at a strong 25% per annum, 24i lifts Amino forecast revenue by 6% with part-year contribution to November FY19, +22% in FY20 and +28% in FY21 – with EBITDA +1%, +24% and +39%. Combining EBITDA growth with a strong supporting dividend and retaining a healthy balance sheet after an intelligent and timely acquisition, we lift our target price to 215p.

Companies: Amino Technologies

25 Nov 19

Order book growth across all divisions

Q3 results from MTI Wireless Edge, the provider of communications and radio frequency solutions to multiple sectors, were in line with expectation with 9m revenue up 12% to $29.0m and operating profit by 33% to $2.5m. Distribution and Professional Consulting Services was the standout performer (+36% to $8.1m) but Mottech also continues to perform well (+13% to $12.0m). Cashflow from operations was particularly strong at $4.0m (9m FY18: $1.6m) and period end net cash was $6.2m. Management reports significant growth in the order book for all three divisions (Antenna, Water Control & Management (Mottech) and Distribution & Professional Consulting Services). FY19 and FY20 forecasts remain unchanged but we introduce FY21 forecasts. The shares have performed well over the past year but still offers an attractive yield, cash on the balance sheet and growth opportunities. We increase our fair value to 46p/share, equivalent to a 13x FY20 PER and 11x FY21, representing a 30% upside to the current price.

Companies: MTI Wireless Edge

28 Nov 19

Indian Uber prepares UK launch, Intel pulls down PC makers, TikTok plans Chinese separation

Indian ride-sharing firm Ola says it has started registering drivers in London as it prepares to launch in the U.K. capital. The company, which is backed by Uber investor SoftBank, said it would look to launch its services in the city "In the coming weeks." The announcement comes just a day after Uber was stripped of its London license by the local transport regulator. London is Uber's largest European market, where it counts 45,000 drivers and 3.5 million passengers.

Companies: TRAK SEE TCM TRCS QTX

19 Dec 19

CyanConnode - India update

02 Oct 19

BATM starts proof-of-concept deal discussions for its 5G virtual network

07 Jan 20

First commercial order for BATM

30 Sep 19

Investor Update: UKOG spuds new Horse Hill well near Gatwick Airport

14 Jun 16

Cyan Holdings - Acquisition and Fund Raising

25 Sep 19

Toople PLC reports busier than expected summer trading

07 Jan 20

First commercial order for BATM subsidiary Ador

25 Jul 19

AdEPT Technology Services, Clients & Growth Strategy

25 Nov 19

MTI Wireless Edge seeing 'continued significant revenue growth and profitability'

24 Jul 19

CyanConnode - Investor Conference Call

27 Sep 19

AdEPT Technology making good progress on its 'One AdEPT' project

17 Jul 19

CyanConnode - Trading update for H1 2019

19 Sep 18

CyanConnode - $11.6m order from India

17 Jul 19

Downing: Income & Growth presentation at Mello May 2019

12 Nov 19

AdEPT Technology reports 'storming first half' as it transitions to managed service provider

Latest Content

Expansion on track

Gamma Communications

15 Jan 20
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Expansion on track

Gamma Communications

15 Jan 20
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Morning Note – 14 January 2020

D4T4 Solutions (D4T4): Corp Management confidence in the H2 pipeline is validated | Flowtech Fluidpower (FLO): Corp Year-end trading update: weaker Q4 trading | Gateley (GTLY): Corp High ROCE; strong cash flow while investing for growth | Telit (TCM): Corp FY 2019 beats forecasts and points to a bright future

D4T4 FLO TCM GTLY

14 Jan 20
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Morning Note – 14 January 2020

D4T4 FLO TCM GTLY

14 Jan 20
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Allenby Capital TMT Update - 13.01.20 (ECSC.L, TERN.L, MWE.L)

ECSC Group plc* (ECSC.L, 145p/£13.0m) | Tern plc* (TERN.L, 9.5p/£27.0m) | MTI Wireless Edge Ltd* (MWE.L, 39p/£33.8m)

ECSC TERN MWE

13 Jan 20
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Allenby Capital TMT Update - 13.01.20 (ECSC.L, TERN.L, MWE.L)

ECSC Group plc* (ECSC.L, 145p/£13.0m) | Tern plc* (TERN.L, 9.5p/£27.0m) | MTI Wireless Edge Ltd* (MWE.L, 39p/£33.8m)

ECSC TERN MWE

13 Jan 20
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Small Cap Feast

Calisen Group. Potential Intention to Float. Owner and manager of essential energy infrastructure assets . Consolidated FY Dec 18 revenue £162.1m and operating profit £25.4m. Raising up to £300m in primary plus partial vendor sale. The Global Sustainable Farmland Income Trust will invest in a diversified portfolio of operational farmland assets located in major agricultural markets including the United States, Europe, New Zealand, Australia and certain countries within Latin and South America. Raising up to $300m. Due 28 February

SCE MWE PMI ABC TM17 LEK FIPP ZEG EMH GWMO

10 Jan 20
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Small Cap Feast

SCE MWE PMI ABC TM17 LEK FIPP ZEG EMH GWMO

10 Jan 20
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Small Cap Feast

The Global Sustainable Farmland Income Trust will invest in a diversified portfolio of operational farmland assets located in major agricultural markets including the United States, Europe, New Zealand, Australia and certain countries within Latin and South America. Raising up to $300m. Due 28 February

HMLH EBQ MPAC STX SXX GOOD ADT RDT AFX