Skip to main content

Asian telecom stocks face minimal 5G risks: JP Morgan

5G

Shares of Asian telecom players have already priced in the impact of investments for setting up fifth generation (5G) mobile networks and potential monetization uncertainty, J P Morgan Securities analysts said on Monday.

The Asian telecom sector has underperformed the broader market by 18 percent in the past 12 months due to investor concerns stemming from uncertainties related to 5G spending and potential monetization, JP Morgan analysts said.

They, however, believe it is now time to revisit the sector, with spectrum auctions due in Korea and Australia in 2018 and Japan and China in early 2019.

JP Morgan recommended investors buy telecom stocks in Japan, South Korea, China and Australia, saying these companies were unlikely to build significant standalone 5G networks until a business case emerges.

However, their rivals in Hong Kong, Singapore and Taiwan face more competitive spectrum auctions, which are not expected until 2020, due to limited availability of 5G bandwidth, the analysts said.

The incremental costs of investments in 5G networks could be minimal as much of the improvements are currently being made under non-standalone (NSA) 5G networks, which build on the existing 4G infrastructure, JP Morgan wrote.

Read More: Huawei in early 5G trials with 30 telcos; CEO rejects US security fears

Standalone 5G network is likely to require substantially more capex when compared to NSA 5G, it added.

JP Morgan prefers South Korea’s LG Uplus Corp and Japan’s Softbank Group Corp, both rated “overweight.”

It remains cautious on China Mobile Ltd, as it sees the company as most likely to build a wide coverage of standalone 5G networks.

The post Asian telecom stocks face minimal 5G risks: JP Morgan appeared first on ARYNEWS.

Labels:

Comments

Post a Comment

Popular posts from this blog

K-Electric fined Rs2 mn over weak power supply system

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) on Wednesday imposed a fine of Rs2 million on the K-Electric. According to a statement issued by the power regulatory authority, the K-Electric was penalized over non-compliance of performance standards, particularly its failure to restore power supply within the prescribed time frame and to ensure the safety of public in Karachi. Quoting media reports, it said large swathes of Karachi remained without electricity due to the tripping of almost 700 feeders during rainy weather in June last year, which resulted in long power blackouts ranging from 24 hours to 48 hours in almost 50% areas of Karachi. Further, there were also reports of fatal injuries to some people owing to electrocution. The Nepra took notice of the situation in Karachi and directed the K-Electric to immediately provide a detailed report on the tripping of feeders and electrocution incidents along with preventive and corrective steps taken by K-Elec...
Post a Comment
Read more

10 creepy celebrity wax statues

Waxworks of celebrities, sports persons and politicians such as Tom Cruise, Barack Obama and Christiano Ronaldo are admired by people all over the world. The craft requires taking careful and accurate measurements to create these wax statues, which are then polished and perfected to make for an exact replica. Madame Tussaud’s is one of the most famous museums in the world that displays wax statues, however, not all wax museums in the world craft flawless statues. Compiled from Cosmopolitan India , here is a list of the creepiest celebrity wax statues. Barack Obama PHOTO: COSMOPOLITAN David and Victoria Beckham PHOTO: COSMOPOLITAN Jennifer Aniston PHOTO: COSMOPOLITAN Beyonce’s wax statue sparks outrage Jennifer Lopez PHOTO: COSMOPOLITAN Justin Bieber PHOTO: COSMOPOLITAN Justin Timberlake PHOTO: COSMOPOLITAN Aamir Khan PHOTO: COSMOPOLITAN Katrina Kaif PHOTO: COSMOPOLITAN London’s Tussauds gets to work on Trump wax figure Selena Gomez PHOTO: C...
Post a Comment
Read more

Accountability court hears assets case against Ishaq Dar

ISLAMABAD: An accountability court in Islamabad on Wednesday resumed the hearing of a reference filed against former finance minister Ishaq Dar by the National Accountability Bureau (NAB) for allegedly accumulating assets beyond his known sources of income.  Judge Muhammad Bashir is recording the statement of a prosecution witness, Ishtiaq Ahmed. At the previous hearing, the accountability judge had reserved his verdict on an application filed by two co-accused seeking acquittal in the case. Naeem Mehmood and Mansoor Rizvi, who are directors of Dar’s companies, had filed the application requesting the judge to exonerate them from all charges for want of evidence. Qazi Misbah, the counsel for the two co-accused, contended the prosecution has failed to provide compelling evidence to prove the allegations leveled against his clients. The third co-accused President National Bank of Pakistan (NBP), Saeed Ahmed, had already filed an application before the court for his acquittal wh...
Post a Comment
Read more