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Profile:  



Millicom International Cellular SA
15 rue Leon Laval
Leudelange,  3372
Luxembourg - Map
Phone: 352 27 759 101
Fax: 352 27 759 359
Web Site: http://www.millicom.com

DETAILS  
Index Membership: Nasdaq 100
Sector: Technology
Industry: Telecom Services - Foreign
Full Time Employees: 3,243


BUSINESS SUMMARY:
 
Millicom International Cellular S.A. and its subsidiaries provide mobile telecommunication services. It offers prepaid services using mass market distribution methods; provides local and long distance telephony, broadband Internet, fixed wireless telephony, and public telephony services; and operates an international gateway, a high-speed data business, and a television station. The company operates in El Salvador, Guatemala, and Honduras in Central America; in Bolivia, Colombia, and Paraguay in South America; in Chad, the Democratic Republic of Congo, Ghana, Mauritius, Senegal, Sierra Leone, and Tanzania in Africa; and in Cambodia, Laos, and Sri Lanka in Asia. As of December 31, 2006, it had approximately 14.9 million subscribers and interests in 16 mobile operations in 16 countries. Millicom International Cellular S.A. was founded in 1968 and is based in Leudelange, Luxembourg.



Business Overview:

BRIEF: For the nine months ended 30 September 2007, Millicom International Cellular S.A.'s revenues increased 80% to $1.86B. Net income from continuing operations increased 87% to $325.8M. Revenues reflects an increase in the sales of Africa, Central America, South America and South East Asian markets. Net income also reflects increased gross margins, and higher profit from associated Companies. The Company provides affordable, widely accessible telephony services. http://www.millicom.com/

Rapid growth !!

Fast growing global telecommunications company, Q3 revenue up 77% at $686m versus $388m in 2006, EPS $1.36 versus $0.52. Strong growth in Africa. Central America, South America and Asia. Gaped up on earning report and hasn't looked back...

Millicom International: Timing is Everything !

Millicom International Cellular (MICC) provides affordable, widely accessible and readily available prepaid cellular telephony services to 8.9 million customers in 16 emerging markets in Latin America, Africa and Asia, where the basic telephone service is often inadequate and where economic development and rising personal income levels are creating increasing demand for communication services.

The timeliness of purchasing MICC shares couldn't be better:

1. MICC has a high Growth Stock Rank of top ranked growth stocks.

2. Triple digit quarterly growth in earnings per share over the last two quarters.

3. A whopping twelve-month ROE of 50%.

4. Less than 40% of shares are owned by institutions, while institutional support is rising.

5. A relative strength rank that has remained high for more than a year.

6. A price breakout above prior resistance of $100 on strong volume three weeks ago.

7. MICC has held up extremely well, given the recent market volatility.

No long position would be complete without an understanding of where a trade stops to work out. With MICC, a downside break of $96 would indicate a failure to maintain key support levels.

Millicom International Lift Nasdaq 100.......


AP
Nasdaq 100 Leaders & Laggards: ISRG MRVL
Wednesday November 28, 4:37 pm ET 
Intuitive Surgical, Foster Wheeler, Millicom International Lift Nasdaq 100


NEW YORK (AP) -- Shares of Intuitive Surgical Inc. lifted the Nasdaq 100 index Wednesday as the broader U.S. markets rose strongly on the chance of another interest rate cut.
Intuitive Surgical, which makes surgical devices, rose $28.02, or 9.5 percent, to $324.50, after a Cowen & Co. analyst said he expects the shares to outperform the market by 20 percent to 25 percent in the next year.

 
The index, which includes 100 of the largest nonfinancial securities listed on the Nasdaq Stock Market, gained 61.63 points, or 3 percent, to 2,095.39. The broader Nasdaq composite added 82.11 points, or 3.2 percent, to 2,662.91.

Construction company Foster Wheeler Ltd. rose $9.97, or 7.6 percent, to $141.61.

Swedish telecommunications company Millicom International Cellular SA advanced $8.44, or 7.5 percent, to $120.31.

Losers included Marvell Technology Group Ltd., which declined $1.69, or 10.2 percent, to $14.96. The stock set a 52-week low of $14.50 earlier in the session.

The company, which makes chips for circuits, posted a loss in the third quarter.

Amylin Pharmaceuticals Inc. shed $1.44, or 3.7 percent, to $37.41.

XM Satellite Radio Holdings Inc. declined 49 cents, or 3.5 percent, to $13.71.

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52wk Range: 55.65 - 124.66
Volume: 1,727,841
Avg Vol (3m): 857,905
Market Cap: 12.25B
P/E (ttm): 19.94
EPS (ttm): 6.08


Ultimately, the only story that counts is your own. Whether you buy the story of a soaring or a souring stock, your own research is more important than collective opinions. But these collective opinions make an individual's due diligence much easier.   

MICC is a beast.  These EPS and revenue charts tell the story.  Even after this fantastic run the stock is still cheap, by my estimation.

I am making the mistake of having poor diversification, the only stocks I have are emerging markets mobile providers and one solar stock.  But the value in these emerging market mobile providers is unbelievable given the growth. 

Hi,
I have been without diversity for about two months as well, and I cleared my great losses of previous months finally. IMO, there is not too high risk, if I am able to sell stock soon enough, in my system it means 3% loss at a maximum implicitly!   

P.S.
I enjoy website allAfrica.com

nexta   

I like to give my stocks quite a bit more leeway than 3%.  If I'm going to buy a stock, it is almost always going to be for fundamental reasons.

If the stock falls 20% and there is no change in the fundamentals, then that is certainly what I would call a great buying opportunity and not a time to sell.

And allafrica.com...what gives?  Very strange.

allafrica.com gives me some view of next emerging market in general.
MICC operates in Africa as well and that sites should be good infos source IMO, at least surprising reading for one from central Europe
   


http://allafrica.com/ict/
http://allafrica.com/business/

and other links on left-down part of that web-site.

nexta-

applaud, when I first went to allafrica.com I didn't realize there was a section on the economy.  Thanks for the link.

MICC took it in the chin today due to some regulatory changes in Columbia.  I think it is probably an overreaction and will be seen by many as a great buying opp.  I will round out my position soon. 

And I'll look to buy some options if it gets closer to $100.  This is a $150+ stock, no question in my mind.  I'll be surprised if it doesn't hit $200 in 08.  I think they'll probably announce a 4 or 5 for 1 split soon, also.  Similar companies operating in different markets like VIP and TKC have higher market caps of ~$40b and ~$25b while MICC's cap is $11.5b.

I bought the other half (or a little bit less than half the 2nd time actually) at 112.82.  I think my average price is around 118.  This is fine, MICC will be considerably higher.  I just wish I had waited for the dip better. 

Note to self...I need to wait for good buy points better

This chart looks ugly, but that is sometimes the best time to buy the best stocks.  IMO the market completely overreacted to the Columbia news and MICC will still produce tremendous results in the foreseeable future.  Growth is huge relative to value, only a matter of time before MICC breaks out to new highs. 

This is all in my opinion.  When I find this combination of value and growth it is hard for me to pass up.

news from

El Salvador 
   

Friday, 21 December 2007
Tigo wins spectrum

El Salvadoran cellco Telemovil, a unit of Luxembourg-based Millicom International Cellular (MIC), has won two packets of GSM spectrum in the 1990MHz band with a total offer of USD3.78 million, local telecoms regulator Superintendencia General de Electricidad y Telecom (SIGET) said in a statement. The minimum bidding price was USD699,000. Telemovil, which operates under the Tigo brand, competed with Telefonica Multiservicios, a subsidiary of Spain's Telefonica, and CTE Telecom Personal, owned by Mexico's America Movil.

According to TeleGeography's GlobalComms database, Tigo was El Salvador's leading cellco in terms of subscribers at the end of September 2007, with just under two million customers, a market share of roughly 38%.

chart update

AP
Millicom shares soar on strong 1Q results
Tuesday April 22, 10:06 am ET 
Millicom shares soar after solid 1st-quarter results, 2.8 million new subscribers


NEW YORK (AP) -- Millicom International Cellular SA said Tuesday its first-quarter profit declined as last year's results were skewed by a hefty gain on a sale, but shares soared in morning trading, as the wireless carrier added more subscribers than expected.


Luxembourg-based Millicom provides cell phone service mostly in developing regions in Latin America, Africa and Asia that have little or no wireline infrastructure.

For the quarter ended March 31, the company earned $158.1 million, or $1.47 per American depositary share, compared with a profit of $345.2 million, or $3.24 per share, in the same period a year earlier.

Revenue jumped 42 percent to $800.7 million from $562.7 million.

Analysts, on average, expected higher sales of $833 million, according to a poll by Thomson Financial.

The company added 2.8 million net subscribers during the quarter, well above what one analyst expected. David Kestenbaum of Morgan Joseph said the figure was the "key highlight" of the report, which he said reflected "exceptional" subscriber growth. The number came in above his forecast of nearly 2 million and on top of 3.4 million subscribers added in the fourth quarter.

However, Kestenbaum said revenue was light, due to lower average revenue per user, a closely watched figure in the industry, in Central America.

"Overall, we remain impressed with Millicom's ability to accelerate growth of its subscriber base in 2008, as the company has yet to feel any impact from rising food prices and the potential impact on mobile service demand in its emerging markets," Kestenbaum wrote in a note to investors. He rates Millicom "Buy."

Millicom's typically volatile shares jumped $10.07, or 10.5 percent, to $105.88 in morning trading. The stock has traded in the 52-week range between $66 and $127.40.

International presence...international telecom play.
This is a cell phone provider to the world. It is expanding in places that has no cell phone service. There is a lot of growth in this stock.
This compnay is the leader in communications in third world countries. Its the Verizon and AT&T that no one has heard of yet. Its going to do very well.
Recent pullback is a buying opportunity. Also a good play on the falling US$ as all their revenue is international.
MICC provides cell services to the developing world where there is little landline infrastructure. Cell service is the future there; even in the USA many people are abandoning landlines for cell-only. The company is growing quickly and has Huge upside potential which is not reflected in their PE=17.
Cell phones are nearly ubiquitous in the developed markets but still have a lot of growth potential in the emerging markets. MICC has been growing by leaps and bounds by addressing these markets. The stock has traded sideways for about 3 months which makes it a great opportunity to enter here.
Millicom has lots of growth in Latin America and a solid and growing footprint in Africa.

Cuba + Raul Castro = enhanced cellular(sales and infrastructure. 


52wk Range: 66.00 - 127.40
Volume: 1,790,419
Avg Vol (3m): 893,194
Market Cap: 12.56B
P/E (ttm): 23.99
EPS (ttm): 4.84

Technicals
Price Gainer

Last Price Quote is:
12.12%above 13-day MA
14.56%above 50-day MA
RS Rating: 83 

Fundamentals
Key Data:
Market Cap (M): $11,822.07 
P/E Ratio: 23.29 
PEG Ratio: N/A 
Next Earnings: 07/22/2008
Last Analyst Rating: Buy

Millicom: A Great Investment in Uncertain Times
an emerging markets cellular play.
March 11, 2009

Millicom (MICC) is mainly a provider of mobile-telephony in third world countries (in total 16 countries); with a revenue-growth of 30% in the fourth quarter, it now has an market cap representing about a p/e of 10 for 2008 (46.72USD per share). The company showed an impressive EBITDA-margin in the last quarter of 45%. They have a net debt of about $1.5B, which holds a 1:1 ratio to full-year EBITDA-profit. Steps haven been taken to avoid revenue-loss from swings in currencies, however q4 revenue was hurt by 3% from currency depreciation.

Today, most of the growth in the company comes from Africa, where some countries have a growth of almost 100%; second is Asia with growth rates of around 70%. Apparently growth is slowing down somewhat in Central and South America, but it is still at about 20-30% (being also the largest market for Millicom).

Everything is looking pretty good so far; the only trouble that Millicom has really had is from countries that have taken the license away and basically just shut the company out of the country; it's very hard for me to judge whether this will happen again, but it definitely is somewhat of a wild card here. Other than this there are a bunch of other companies competing with Millicom, which in the long run should push down margins. And another 'problem' is that the impressive growth of Millicom has been created by constantly investing all the profit into new infrastructure, so dividends are not in the pipe-line for a long time, I would guess.

The key here to be able to decide whether to buy or not is to know what the economic outlook really is for the countries where Millicom is active. If the global economy was no issue then Millicom would probably be valued at a p/e of 20 right now. Considering the great uncertainties of where we're headed, let's just see what the worst that could happen in these third world countries really is.

The greatest danger lies in Central and South America, where the penetration of subscribers is a lot higher than in other countries, where competition is harder and where the economies are much closer to the global economy and of course the US. Latin American economies are fairly dependent on production of natural resources for export, so this would be a big problem if prices keep dropping. But, even if the exports basically come to a halt, people will still want to call each other. I suppose that a drop of something like 50% of revenues here is not impossible, but it's a long way there and I think that if things start to get bad in these countries you will be able to pull out before any great losses would be had. In the other countries, I would say that the greatest risk is actually political, and that's something that you simply can't predict.

To conclude, I think that Millicom is a great investment in these uncertain times - you get out of uncertain currencies, you get out of (historically) highly priced gold and you get out of the countries that can fall the hardest. It would take a lot to bring down Millicom in these times. We shouldn't overlook the possibility of them being bought out either, as this is something that was being discussed when they were valued much higher...



52wk Range: 24.75 - 122.97
Volume: 926,005
Avg Vol (3m): 1,069,530
Market Cap: 4.63B
P/E (ttm): 8.97
EPS (ttm): 4.77
Div & Yield: 2.40 (5.40%)

Technicals
Last Price Quote is:
1.46%above 13-day MA
4.13%above 50-day MA
RS Rating: 56 

Fundamentals
Earnings Expected on Apr 21

Key Data:
Market Cap (M): $4,629.72 
P/E Ratio: 8.59 
PEG Ratio: N/A 
Next Earnings: 04/21/2009
Last Analyst Rating: Neutral


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