SKT Sky Network Television Limited.

[youngatheart]

This is what I've noticed happens on SKT.

Stock gets pushed up in the morning by Sharesies users.
Stock gets dumped when ASX opens.
Stock gets pumped at 1pm when Asian traders first appear.
Stock peaks at around 3pm.
Stock gets sold off at around 4pm.
Stock closes below VWAP.

Rinse Repeat.

Curious to see if this plays out as planned today. However may Jacindas yesterday's late afternoon announcement drive up demand at opening?
Watching...

[Dlownz]

http://www.stuff.co.nz/business/1211...id=app-android.
So they haven't lost 30% revenue compared to other media. Wonder what it will be

[blackcap]

http://www.stuff.co.nz/business/1211...id=app-android.
So they haven't lost 30% revenue compared to other media. Wonder what it will be

It would be a stretch to think that 20-30% of subscribers cancelled due to Covid lockdown. Effectively that is where they derive their revenue. (albeit they do have some advertising as well which may have diminished) They do not rely so much on advertising as other media do and that may be their saving grace?

[Ogg]

http://www.stuff.co.nz/business/1211...id=app-android.
So they haven't lost 30% revenue compared to other media. Wonder what it will be

Was about to post this link.

Unlike other media companies, Sky's revenue isn't falling. In fact, the pandemic could be a positive as more people watch TV. The streaming part of their business is likely off setting any declines.

Sport will return shortly. People are happy with the free movie deal and also happy to watch old sport replays in the mean time.

Management taking paycut likely because of the long term stock performance.

Why the stock price fell 50% in March is bazaar. Sky is a great little cash cow that has a future.

It will never be a billion dollar company again but it's a joke that it's trading at just over $100m. If this isn't ripe for a take over I don't know what is.

[mistaTea]

It will never be a billion dollar company again...

For me, I think a more accurate comment might be that Sky may never be a billion dollar company again...

Long term, if RugbyPass is the success they hope it will be that alone could push Sky's market cap north of NZ$1B.

If Sky become a telco in the future (either through aquisition/merger or otherwise) that could also push Sky TV into the billion-dollar club again.

I am not attempting to make any predictions here and I agree that, regardless, a market cap below $NZ140M is just ridiculous even for where the company is currently.

But for the true investor, who does not care at all about quoted market value, and is only ever interested in the underlying performance of the business he owns...Sky has a lot of opportunity at the moment to attempt to exploit.

[Ogg]

Sky's market cap north of NZ$1B.

It's very possible.

However, the satellite business probably has a ceiling of about $1b in today's market. Maybe 10 years from now, $1.5B.

Like you said, for Sky to go past $1B it would need to venture into different markets. Streaming has the potential but there is just too many competitors in the market for it to succeed long term. It would also require more capital going forward.

I think it's best for Sky to stick with it's 'bread and butter' satellite business and get that to full value in the short to medium term.

What I see likely happening is a company like Comcast doing a take over. Comcast is entering the streaming wars this year with it's new Peacock platform. Comcast bought out Sky UK 18 months ago. They could very easily combined the companies together and then merge LightBox and Neon users into the new Peacock platform.

[steveb]

Sky TV in the uk seem to have taken advantage of the lockdown by putting their prices up not so sure sky would get away with such blatant price gouging here.

But does this not suggest a possible rise in subs?

[Ogg]

Comcast buys Sky UK for $38B

https://www.cnbc.com/2018/09/22/sky-comcast-fox-36-billion-takeover-auction.html

Comcast streaming service

https://www.cnbc.com/2019/11/01/nbc-...all-users.html

This is what I see happening.

Comcast buys Sky NZ. Then merges LightBox and Neon into the new streaming platform Peacock. The service will then be free for all users on an ad supported basis but Sky subscribers would get it with no ads.

Sky would then have NBC shows and Universal movies shown on satellite channels for no extra cost as the company would be virtual integrated.

OSB would be sold off to NEP.

DYOR.

[mistaTea]

What I see likely happening is a company like Comcast doing a take over. Comcast is entering the streaming wars this year with it's new Peacock platform. Comcast bought out Sky UK 18 months ago. They could very easily combined the companies together and then merge LightBox and Neon users into the new Peacock platform.

I agree that the most logical outcome for Sky TV is a takeover. Could there end up being a tussle between the likes of Comcast and DAZN? Possibly.
Could Foxtel look at buying the company too? Quite possibly.

Though the current market capitilisation looks like a 'no brainer' for a takeover, clearly that is not anywhere near what someone would have to pay to purchase the whole business. It would all boil down to how much one of these outfits would be prepared to pay and if that would be enough to get support from key shareholders like RugbyPass and NZ Rugby.

If someone was able to pick up the entire business for, say, $1.50 a share (~NZ$650M or ~US$390M) I think that would be a bargain for the likes of DAZN considering the assets and large customer base they would acquire and the avoidance of an expensive bidding war to get hold of rugby, league, netball etc.

Time will tell I suppose as to whether or not any of these 'big boys' will recognise the value/opportunity that Sky presents. It would be sad though for another business to disappear from the NZX. But thems the breaks.

[blackcap]

If someone was able to pick up the entire business for, say, $1.50 a share (~NZ$650M or ~US$390M) I think that would be a bargain for the likes of DAZN considering the assets and large customer base they would acquire and the avoidance of an expensive bidding war to get hold of rugby, league, netball etc.

If someone wanted to they could get the whole lot for $1 a share right now. No need to pay $1.50. (They might not get your shares MT, but they would get the 90% easy.)