There's still value in the Tuas Ltd (ASX: TUA) share price even after its circa 50% rally over the past two months, according to two experts.
The ASX-listed telco won't be on the radar of many retail investors following its spin-off from TPG Telecom Ltd (ASX: TPG).
It feels like Tuas has popped out from nowhere as attention has been focused on the Telstra Corporation Ltd (ASX: TLS) share price, which rallied to a four-year high yesterday.
Tuas share price galloping like the dark horse
The lack of broker coverage on Tuas compared to the other two telcos is one reason why Tuas is in investors' blind spot.
For this reason, it probably also escaped the attention of many that the Tuas share price has outperformed Telstra by a country black spot mile.
While the Telstra share price has jumped 36% since the start of 2021, the Singapore mobile operator has more than doubled in value.
In contrast, the S&P/ASX 200 Index (ASX: XJO) is sitting on gains of 11% over the period.
Betting on David Teoh's magic touch
But those in the know see further upside for the Tuas share price. The portfolio manager at Wilson Asset Management, Tobias Yao, is one such supporter, reported Livewire.
"It's a buy for us. David Teoh is one of the most astute and successful businessmen around, having founded TPG Telecom," said Yao.
"The reason we like TPG Singapore is the fact that we think the value offering is very, very attractive."
Perfect demographic for the Tuas share price
One of the key selling points is Singapore's large migrant worker population. Singapore heavily depends on foreigners to work in construction as labourers and as live-in maids.
These consumers favour low-cost pre-paid mobile plans, and that's something David Teoh knows a lot about.
"We think that David Teoh and the team can continue to grow TPG Singapore and continue to gain market share over there and potentially expand into other parts of Southeast Asia," added Yao.
Expansion into Asia just starting
Arden Jennings from Ausbil Investment Management also told Livewire that he likes the Tuas share price.
"It's not one that we own, but I think it's actually a buy after doing some work on it. We need to still do some more work, but I think I might have talked myself into buying it," he said.
"They're the fourth largest telco in Singapore with the opportunity to expand into Malaysia. And with a reopening of economies, this low-cost telco could really benefit."
