The future of Wire and Wireless

Query: Let me know the future of Wire and Wireless stock. I am holding 10000 at Rs.90 price I want your valuable guidance. This is my second mail I want your valuable advise. Pravin Enterprises

Thebullishtrends: Wire and Wireless(earlier called as Siticable) share price closed on Friday at Rs.90. . Wire and Wireless having sold business prospects in mobile telephony segment. WWIL is having a subscriber base of 7 million people.

Now TRAI has also given a mandate in the favour that in fact two options have been given that the setup box can be sold off at a MRP price or you can charge a rental of Rs 49. The company has got a subscriber base of 7 million people, but they also have a license for DTH, which is direct-to-home, which is again a big market and the quality of the performance of the DTH is far better compared to Cable TV

WWIL has got a net sale of Rs 50 crore where its operating profit is minus Rs 10 crore and a net profit of minus Rs 27 crore. If you are looking at the previous year, they had a net loss of minus Rs 111 crore

WWIL posted Rs.27.12 Cr netloss on Sales of Rs.50.95 Cr for the the September'07. The company is getting huge losses Q on Q because of high investment required in this sector. It will have solid business story in coming days as DTH is growing well in the country. Moreover Mutual Funds also invested high amounts in this scrip. But you advised to book profits in higher levels. Huge money on single scrip has not recommended to you.