CNU - Chorus

[bung5]

All the better price for the the DRP
increasing dividend for the next 4 years even with the huge capital investment. After 2020 CNU will be have a large cashflow to return to shareholders.

Agree that wireless broadband isn't a threat to fiber.

[Bobdn]

Bought a small amount of CNU this morning, all I could afford. I'm hoping that Chorus will just be a boring investment from now on, even with the regulatory issues coming up in 2020.

I'm looking to exit the workforce in 18 months so need boring and reliable

[Bobdn]

Now xd. The price kept on dropping right up to the xd date. Over the last month it dropped over 15%. Did anyone else take advantage of this?

87% of new fibre connections are now for the 100mbs and up premium products. Chorus have just launched 1gb/s services across all its fibre areas. 1gb/s means the best internet in the world, think Japan, South Korea and Singapore. And it won't stop there. 10gb/s will be deployed whenever Chorus feels the demand is there.

Is Chorus a "growth" stock? I'm thinking maybe it could be.

[dobby41]

Speed is only part of the story - can you make money out of being the 'best in the world'?

[Bobdn]

Yes, I think so. The 100/20 plans wholesale for $42 per month now and the 1000/500 plans will go for $60 up to June 2017 and after that $65. Chorus wholesales the 30/10 plans for just $39 per month

So speed/being the best in the world really does pay huge dividends.

[shonen knife]

Based on my experience with their extreme incompetence trying to get fibre installed, I am surprised that they are making any money...but I guess I have no choice but to use their services.

[Bobdn]

Ive found it hard to have an investment discussion on the Sky and Chorus threads. They always seem to attract complaints about the service. BHP is not too bad, no one tends to complain about the quality of iron ore.

[Bobdn]

Nice to get the dividend back after three whole days. It's like getting paid twice. Not so good for the DRP.

[peat]

Ive found it hard to have an investment discussion on the Sky and Chorus threads. They always seem to attract complaints about the service. BHP is not too bad, no one tends to complain about the quality of iron ore.

yes I agree Bobdn, many posters seem to get bogged down with anecdotes , which are irritating in any rational discussion on investments. I'm not denying that cumulatively a public perception of poor service/product may ultimately have an impact on the business but in general its meaningless and should be avoided on these forums.

My colleagues and I are today discussing Chorus and where its revenue will come from post UFB rollout. Our concern is that the cash flow may dry up significantly when they are only maintaining the network. Any thoughts on that from other posters?

[Bobdn]

I could be wrong but they will own the network. The big issue coming up is the pricing review in 2020 I think.