Friday, May 1, 2020

Starhub Q1 Results Is Due On 6 May - How will it fare? How Does It Look On The Chart?

Starhub Q1 earnings will be due on 6 May (Wed), how’s it going to fare in view of the Covid 19 lockdown?

1.    With travel restrictions around the world all but halted Roaming cut from roaming revenues will be severely hit. as border restrictions around the world have all but halted travel. Analyst estimate roaming revenues to be about 10% of StarHub’s service revenues.

2.    Pre-paid is another area that will likely see some pressure, with foreign workers and tourists big contributors to this segment. Both segments are under strain from the travel restrictions into Singapore.
3.    With the population staying indoors an the closure of non-essential businesses the  during the CB,  handset sales will come under pressure.

4.    A common assumption is that with many staying at home, there will be more consumption of data and watching PayTV.  With almost 100 % of the household connected to broadband, most will use Wi Fi.

How’s my outlook for Wednesday result? This blog believe it will disappoint. On the charts it is also overbought tested one month high at 1.49 on 30 Apr, a retracement to 1.37 in the stock term is possible in the near term .  It broke above the 200 Days MA which technically is strong but the price action over the last 6 months shows the price is unable to hold able the 200 MA and is vulnerable to a correction.

All posts and charts are for educational and illustration purposes only

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