Telecom Argentina

Under normal circumstances I'd be shouting from the rooftops about Telecom Argentina (TEO) and its quarterly results announced last night. On the numbers it's the craziest of bargains.

Half Year EPS of U$1.15

Growth at 20%

Stock price $13.19

Mix those three up in a bowl and you get a projected PE of 5.5X for TEO. A telco in full bottom lie growth mode, rising numbers and lots of play to come in broadband internet. Cheap cheap cheap.

The problem, of course, is the country in which it operates and not the company itself. You gotta make your own call on this one dudes, but I'd call risk reward as in the longs favour from this current price. Argentina has a politically calm-looking period coming, it seems. Relatively speaking, of course.

UPDATE: TEO flat on the day. Very sad to see such strong fundamentals go to waste on this pisspoor gov't.