Has the time come to invest in $ComfortDelGro(C52.SI)?

The bad news surrounding ComfortDelGro (CDG) needs no introduction. With keen competition from Uber and Grab, CGD seems to be facing a bit of a crunch and its stock price has taken quite a hit trading at close to the $2.00 range.

But has the stock price fallen low enough to attract investors? Will $ComfortDelGro(C52.SI) be able to turn its fortunes around now that is it in advanced talks with Uber?

Here in this post, we take a deeper look into the fundamentals driving $ComfortDelGro(C52.SI) business and the potential investment it may offer.

https://www.probutterfly.com/blog/is-it-ti...

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7 likes 24 comments
hotshot1988

a general ovservation for my daily use, grab seems to have price in a min. fee of 5.50$ for grabshare, and 6.00$ for justgrab, regardless..

ddcmie

Reply to @hotshot1988 : There was no official announcement.
I know bcos I m using Grab practically everyday.

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K_Lee

Why is SG an important market for grab and uber? IMO it is loss making here and I view KL and Jakarta as bigger markets for them

gingwien

Reply to @seba240698 : Surely... you have definitely brought up some good points there on Uber-CDG alliance.

Its definitely been a fun discussion with the IN community on this. Views are so diverse and makes investing so interesting!

Definitely will be waiting to see how this discussion plays out. Perhaps sometime in November nearer to its results announcements for Q3-2017?

I am definitely staying tuned!

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layers

better to wait for revenue to stabilize first

Sporeshare

I think likely to revisit 1.955 again.

gingwien

Reply to @axlwong : Right....Which is why the Uber-CDG alliance would most likely go through. Which will benefit CDG.

Uber is desperate to lock in supply with CDG and CDG probably don't want to go back to Grab after a failed Uber-CDG alliance, not very nice press statement to make.

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wellhandy

probutterfly: "We are positively hopeful that ComfortDelGro-Uber Strategic Alliance will materialise and bring comfort (pun intended) and relieve to shareholders. Should this happen, we predict that the share price will trend towards the post-announcement in August at around $2.37 (+/- 10c)."


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My biggest peeve with this Grab-Uber deal is that now Grab is going to throw less promo-codes! Competition is great for consumers, but this potentially means our less discounts going forward on our Grab rides.

Maybe the Competition Commission of Singapore (CCS) might step-in in the deal? Hum... lets see how it all plays out...

https://www.probutterfly.com/blog/uber-to-...

$ComfortDelGro(C52.SI)

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This is a breaking news from Bloomberg and Reuters with regards to Uber's exit from the Southeast Asian market. Uber will then take a stake of between 25% to 30% in Grab as a result of the deal.

It is a personal view that the previously discussed exclusive tie-up with Uber would nullify $ComfortDelGro(C52.SI)'s benefit now that Grab is taking over Uber's operations as Grab is no longer exclusive to any taxi operator and will channel its jobs to all its fleet of drivers and will dilute $ComfortDelGro(C52.SI)'s previously exclusive Uber jobs.

Need to watch how the market reacts to $ComfortDelGro(C52.SI) with regards to this piece of news in the coming week.

$ComfortDelGro(C52.SI) Stay Tuned!

https://www.bloomberg.com/news/articles/20...

https://www.reuters.com/article/us-uber-gr...

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