slip sliding away, page-7

But by posting that question you would've used up one of your three posts anyway?

I'm genuinely not sure as to the "true" value of the stock, hence the question. I think a lot of factors come into play with something like Telstra and if anyone definitively knew the "true" value they'd be off making quite a bit of money rather than browsing HC.

To me (and I could be completely wrong) there are three main factors that I am watching at the moment:

1) The election. A liberal win would (I believe) support the SP as most of the existing NBN contracts etc would likely remain the same or similar for Telstra.
2) Interest rate movements. If the interest rate is cut again we may see more support to Telstra the same as what happened last time where it jumped up as people look to move their money from the banks to dividend stocks. However if there is no change, it may lessen the attractiveness of TLS as a alternative to keeping money in the bank.

3) The next Dividend. If the announcement is made that next dividend is a special dividend resulting from their recent asset sale again I would expect that would have a positive impact on the SP, and vice-versa - if the income from the sale is not passed on to the shareholders as was indicated it would be a knock to market confidence.

As I said, I don't have the answer, but I don't have any expectations of over $6 in the short/medium term. However TLS has provided me with a better ROI than leaving my money in the bank so far so I cannot complain.