A few things for investors to consider. Dont rely on this analysis remember to do your own.
This is final installment on this company as I must move on to make money.
"""The big shots are only the little shots who keep shooting"""
Why did the telcos look at CDR Commander and walk away. Who is Hunter Hall and why do they know more than professional telco guys who sleep, breathe and eat telco everyday.
Technicals Analysis
Chart is in bear trend.
Moving average sloping down.
Fib support looks like giving way.
Unless cheerleaders or management step in to support market.
Financial Analysis
Breakup or realisable value of assets would almost certainly be less than 10cents in dollar given recent market sales.
Less in 2009.
This assuming buyer can be found for telco subscriber base.
Commander(CDR) experience with open data room suggests buyers are reluctant in this market.
Telco Market Analysis
Margins in telco to drop dramatically over next 24 months given inter connect rates make up bulk of service telephone revenue.
Calls to Mobile Interconnect rates to fall substantially taking away major net revenue driver of call revenue. These are legislated to fall.
Relying more on IDD & STD as profitable segments of customer billing. But given the falling nominal value of these relative to call spend means telco net margin will fall relative to customer spend.
Consumer Spending
Consumer spending likely to be impacted by interest rate increases next year and by sub prime and credit default crisis in capital markets leading to increasing bad debts with resultant bottom line effects.
I leave it to you, the investor. Dont listen to cheerleaders or people who mask their identity behind boards.
MTU Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
