Morgan Stanley Downgrades Satellite TV On Costly Assessments
Morgan Stanley cut its rating on Dish TV to "equal" from "overweight," saying that current valuations are very expensive factor of progress and good cost savings DTH (direct to home) service provider Manufactured additions subscribers, ARPU (average revenue per user) of growth.
"Dish TV has exceeded the Sensex by 37% year to date ... is little room for significant positive surprise for the street. Not suggest assessments of the increase for us," analysts Vipul Prasad and Ketaki Kulkarni has said in a report Wednesday.
Since the beginning of April the shares Dish TV increased 34.5% on the NSE, while the broader index Nifty fell by 3.5% during the same period.
However, analysts do not go to a discount of more acute as they feel Dish TV is one of the beneficiaries in the middle of the current exploration in India.
"We expect a CAGR of 22% of the average net tax base of subscribers 2011-13, which is about 25% of the market share of incremental gross' and the Prasad Kulkarni said.
Satellite TV ARPU is expected to grow 10% CAGR over the same period, they said.
Dish TV currently has a market share of around 31%. Although the total number of subscribers to grow, year on year growth expected to slow this fiscal due to a broad base of people who have already subscribed to DTH, two analysts said.
Parts Dish TV Wednesday closed -0.8% NSE is R 89.50.
