Digicontent Limited's (NSE:DGCONTENT) Shares Leap 25% Yet They're Still Not Telling The Full Story
May 09
Indian (NIFTY) Telecom Sector Analysis
UpdatedMay 09, 2024
DataAggregated Company Financials
Companies132
- 7D-2.7%
- 3M9.1%
- 1Y58.0%
- YTD18.6%
Over the last 7 days, the Telecom industry has dropped 2.7%, driven by a pullback from Bharti Airtel of 2.6%. This takes the industry's 12 month performance to a gain of 58%. As for the next few years, earnings are expected to grow by 39% per annum.
Sector Valuation and Performance
Has the Indian Telecom Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Thu, 09 May 2024 | ₹12.3t | ₹3.0t | ₹241.6b | 35.3x | 50.7x | 4.1x |
| Sat, 06 Apr 2024 | ₹11.3t | ₹2.8t | ₹234.2b | 32.7x | 48.1x | 4x |
| Mon, 04 Mar 2024 | ₹10.7t | ₹2.8t | ₹233.9b | 39.9x | 45.9x | 3.8x |
| Wed, 31 Jan 2024 | ₹10.7t | ₹2.8t | ₹221.7b | 43.7x | 48.4x | 3.8x |
| Fri, 29 Dec 2023 | ₹9.9t | ₹2.8t | ₹203.7b | 35.2x | 48.4x | 3.6x |
| Sun, 26 Nov 2023 | ₹9.3t | ₹2.8t | ₹203.6b | 31.2x | 45.4x | 3.4x |
| Tue, 24 Oct 2023 | ₹8.8t | ₹2.7t | ₹180.3b | 34.3x | 48.9x | 3.2x |
| Thu, 21 Sep 2023 | ₹8.8t | ₹2.7t | ₹181.1b | 33.9x | 48.7x | 3.3x |
| Sat, 19 Aug 2023 | ₹8.2t | ₹2.7t | ₹181.6b | 29.5x | 45.4x | 3x |
| Mon, 17 Jul 2023 | ₹8.3t | ₹2.6t | ₹196.6b | 32.6x | 42.3x | 3.2x |
| Wed, 14 Jun 2023 | ₹7.8t | ₹2.6t | ₹196.5b | 31.9x | 39.9x | 3x |
| Fri, 12 May 2023 | ₹7.3t | ₹2.6t | ₹157.6b | 34.4x | 46.3x | 2.8x |
| Sun, 09 Apr 2023 | ₹7.1t | ₹2.6t | ₹164.0b | 32.3x | 43.3x | 2.8x |
| Tue, 07 Mar 2023 | ₹7.2t | ₹2.6t | ₹163.6b | 32x | 43.8x | 2.8x |
| Thu, 02 Feb 2023 | ₹7.1t | ₹2.5t | ₹206.9b | 32x | 34.5x | 2.8x |
| Sat, 31 Dec 2022 | ₹7.7t | ₹2.5t | ₹232.1b | 30.3x | 33x | 3.1x |
| Mon, 28 Nov 2022 | ₹8.0t | ₹2.5t | ₹232.2b | 29.7x | 34.5x | 3.2x |
| Wed, 26 Oct 2022 | ₹7.7t | ₹2.4t | ₹302.8b | 29.4x | 25.3x | 3.2x |
| Fri, 23 Sep 2022 | ₹7.6t | ₹2.4t | ₹302.2b | 27.3x | 25.3x | 3.2x |
| Sun, 21 Aug 2022 | ₹7.3t | ₹2.4t | ₹302.1b | 27x | 24.2x | 3.1x |
| Tue, 19 Jul 2022 | ₹6.7t | ₹2.3t | ₹286.0b | 25.6x | 23.3x | 2.9x |
| Thu, 16 Jun 2022 | ₹6.7t | ₹2.3t | ₹286.4b | 25.7x | 23.3x | 2.9x |
| Sat, 14 May 2022 | ₹6.7t | ₹2.2t | ₹275.6b | 23.6x | 24.4x | 3.1x |
| Mon, 11 Apr 2022 | ₹7.6t | ₹2.0t | ₹252.9b | 27.2x | 30x | 3.8x |
| Wed, 09 Mar 2022 | ₹6.7t | ₹2.0t | ₹255.9b | 23.1x | 26.2x | 3.3x |
| Fri, 04 Feb 2022 | ₹7.4t | ₹2.0t | ₹153.7b | 29x | 48.4x | 3.8x |
| Sun, 02 Jan 2022 | ₹7.4t | ₹1.9t | ₹104.6b | 29.1x | 70.3x | 3.8x |
| Tue, 30 Nov 2021 | ₹7.7t | ₹1.9t | ₹103.7b | 26.2x | 73.9x | 4x |
| Thu, 28 Oct 2021 | ₹7.2t | ₹1.8t | -₹4,500,249,214.00 | 29.6x | -1601.7x | 4x |
| Sat, 25 Sep 2021 | ₹7.5t | ₹1.8t | -₹5,591,711,567.00 | 20.4x | -1333.4x | 4.1x |
| Mon, 23 Aug 2021 | ₹6.0t | ₹1.8t | -₹5,232,849,333.00 | 18.5x | -1153.3x | 3.3x |
| Sat, 10 Jul 2021 | ₹5.6t | ₹1.8t | -₹5,232,849,333.00 | 23x | -1071.7x | 3.1x |
Price to Earnings Ratio
-29.9x
Current Industry PE
- Investors are optimistic on the Indian Communication Services industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 50.7x which is higher than its 3-year average PE of -89.4x.
- The 3-year average PS ratio of 3.3x is lower than the industry's current PS ratio of 4.1x.
Past Earnings Growth
- Total earnings for the Communication Services industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 20% per year.
- This means that more sales are being generated by the industry overall, and subsequently profits are increasing too.
Industry Trends
Which industries have driven the changes within the Indian Telecom sector?
| IN Market | -1.48% | |
| Telecom | -2.67% | |
| Interactive Media and Services | -1.82% | |
| Wireless Telecom | -2.43% | |
| Telecom Services and Carriers | -3.10% | |
| Media | -3.84% | |
| Entertainment | -4.00% | |
Industry PE
- Investors are most optimistic about the Interactive Media and Services industry which is trading above its 3-year average PE ratio of 44.0x.
- Analysts are expecting annual earnings growth of 31.1%, which is higher than its past year's earnings growth of 4.8% per year.
- Investors are most pessimistic about the Entertainment industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average.
Forecasted Growth
- Analysts are most optimistic on the Entertainment industry, expecting annual earnings growth of 46% over the next 5 years.
- However this is lower than its past earnings growth rate of 65% per year.
- In contrast, the Telecom Services and Carriers industry is expected to see its earnings grow by 18% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| 532163 Saregama India | ₹429.40 | 1.3% +₹1.1b | 29.8% | PE43.9x | |
| NAVNETEDUL Navneet Education | ₹149.70 | 3.1% +₹1.0b | 42.3% | PE18.7x | |
| RAJTV Raj Television Network | ₹108.90 | 18.9% +₹898.1m | 140.1% | PE396.8x | |
| 512267 Media Matrix Worldwide | ₹18.25 | 2.4% +₹487.1m | 51.3% | PE680.1x | |
| DGCONTENT Digicontent | ₹27.10 | 14.6% +₹200.7m | 74.8% | PE27.5x |
