What I learnt from Samir Arora

5 replies on “What I learnt from Samir Arora”

Its very easy to make such comments now. Look at the telecom deals that happened from 2000-2015. As a pure coincidence, just check the front page of today’s business standard. The only part that’s true is that the industry is a capital guzzling machine. It’s fool hardy to assume that the industry will never make a decent return on capital.

Any indication on RIL’s massive and mind boggling investment in its Jio mobile telephone company. If this business has failed in all countries of the world, why on earth, RIL will succeed in India.
Not able to understand.
But as of now, it is firing with all cylinders and going great guns even in terms of RIL valuation in the market – crossing one million crores rupees.
Any body throwing more light on this.

Reply to Ram:
So you mean to say that these great companies like NTT and KDDI have been doing wonderfully well and have been outperformers in their respective markets/industry.
If that’s true, then, the observation of Samir Arora is wrong.
I am purposefully taking the discussion forward so that astute and intelligent analysts/investors can throw some more light on this issue.

Reply to Kamal Garg:
Yes , both these telecom stocks have outperformed the broader Japanese market. Japan has only 3 major Telecom companies and all 3 are very profitable. More famously, the best performer of them all , Softbank has used the cashflow from its telecom business to fund technology ventures.

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