Digi: Another Dividend for Shareholders

Yest Another Dividend

Isn't this not a good share or what?

Having some 9.9 million phone subscribers of both voice and non-voice, Digi achieved better results this time around.

Mobile data revenue exceeded 30% of the group's service revenue for the fourth quarter. Revenue fro the group upped 10.3% to 6.0 billion while EBITDA was RM2.8 billion.

Capex investment was also stepped up from RM550 million to RM660 million. This is done to step up site  roll-out and to increase capacity. Operating cash flow rose to RM2.2 billion.

Digi currently has 5.2 million active mobile internet users.

So, it is now giving out another generous interim dividend. A 6.5 % dividend for the new 1 sen par share.

Digi has been re-rated to a new target price of RM4.40 by some analysts.

When will this new Rubicon be attained or crossed?

Currently, Digi is priced at RM3.93 as it closed for the long Chinese New Year break.

Many analysts expects the Bursa to climb steadily after this long break.

Will Digi move up beyond RM4.00 in the near term? Only hindsight can tell.

Happy Chinese New Year of the Water Dragon to you!