Today was a rough day for shareholders in Australia's 3 biggest telecom companies:
TPG Telecom Ltd (ASX: TPM) fell hard this morning after the release of its annual results, with higher capital expenditure and average growth forecasts impacting the highly valued stock. Surprisingly, investors haven't jumped on board with the Singapore expansion plan. Given that this is the cause of most of the forecast increase in capital expenditure next year, TPG could have some more work to do to convince investors.
Shares in Telstra Corporation Ltd (ASX: TLS) and Vocus Communications Limited (ASX: VOC) also fell today, down 1.5% and 3% respectively at the time of writing.
TPG shareholders might expect worse to come tomorrow if analysts downgrade their price targets on the stock, as this could lead to additional selling. Telstra itself could also come under more selling pressure given the headwinds the company faces in the near future.
