Strategic Foresight - Insights in Business and Technology

 

Has Optus on Recovery Path from Cyber Security Attack    Quick Snapshot of the Performance:  Optus is facing multiple challenges, while it was trying to recover from the losses it suffered during the COVID, it was impacted by a data hacking issue in Sep 2022.   This incident has shrunk their brand equity, and customers have lost faith. Hence, 65K customers have churned; in particular, the Mobile business suffered at least in the short term. Optus have recovered from their loss of 65K in 1-2 quarters, which is not only surprising but commendable. It is worth pointing out that the price rise has assisted in cushioning the effect. Having said that, the data hack has impacted their brand equity and has further strained their finances and balance sheet.  Singtel board and exec team need to make a call if they can recover the brand equity or if it is time to rebrand or sell the business or increase its, MVNO or white label, share like Amaysim. Q3 FY23 Story from Numbers  Impact of cyber

Adani Stock in Perspective: PE today is 94. Before the Hindenburg report it was > 254. Valuation Guru- @AswathDamodaran highlights his view on Adani stock .  According to him, the stock is overpriced even after the Hindenburg report impact. He values the stock for Rs 947. On Jan 1, 2023, the stock was trading at Rs 3858 and PE around 254.  Today the stock is trading at Rs 1719 and a PE of 94.  Background: Adani Group which was established in 1984 has become a conglomerate of infrastructure companies in sectors like airports, shipping, logistics, power generation (solar), and defence.   It's well established that infrastructure companies are about high volume and low margin, where with ageing returns get better, unlike telecom where returns diminish with ageing. While the Adani group had an astronomical rise from 2021 onwards where revenue grew by 112.70%, its margins were low at 3.4%, which is on the lower side as compared to other companies in this sector.  Adani group has bui