Being dragged down by Telecommunications in general, and its comparison with Telstra. Also speculation that they might get invloved in AAPT (which the market doesn't like). I think SOT's prospects are different to that of general Telcos because they are not in the general phone business. The majority of their business is broadband provisioning and Telecommunications Infrastructure equipment. Recently won a contract for provision broadband services to the NSW Government and local authorities. They own the second biggest wire network to that of Telstra. They own the most profitable television station in Aust, NBN (NSW Regional Channel Nine). They have only existed since 2002 and since then Market Cap has increased around 5 fold.
The Share Price is currently depressed and there is no clear sign that it will change, however, the fundamentals are so good that it must turn eventually, worthwhile watching and keeping abreast of company activity.
Being dragged down by Telecommunications in general, and its...
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