Gemalto May Profit From E-Sim, Share Drop Is Opportunity: Kepler
2015-07-17 07:20:39.490 GMT
By Kasper Viita
(Bloomberg) -- Reported electronic sim card talks “should
be at least neutral, more likely positive” for Gemalto, Kepler
Cheuvreux (buy) says in note.
* New technology shouldn’t change ecosystem much, operators
likely to keep access mgmt to their networks
* Current technology providers have no reason to lose
their presence as their skills in OS, platforms are
critical for e-Sim
* Co. not making any margins on chips, still likely to sell
its embedded software to secure network authentication,
generate same profits with higher margins in embedded
software & products segment
* Co. may generate “significantly” more rev. in platforms &
services segment due to increased requirement for on-demand
connectivity platforms for remote activation/subscription
mgmt
* Kepler sees good buying opportunities as market expectations
remain low, momentum is gradually improving
* Shares down 1.1%
* NOTE: Gemalto dropped 5% yday as FT reported Apple, Samsung
are in advanced talks with telecom groups for introducing e-
Sim cards
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To contact the reporter on this story:
Kasper Viita in London at +44-203-525-9219 or
kviita1@bloomberg.net
To contact the editor responsible for this story:
James Ludden at +44-20-3525-2645 or
jludden@bloomberg.net
2015-07-17 07:20:39.490 GMT
By Kasper Viita
(Bloomberg) -- Reported electronic sim card talks “should
be at least neutral, more likely positive” for Gemalto, Kepler
Cheuvreux (buy) says in note.
* New technology shouldn’t change ecosystem much, operators
likely to keep access mgmt to their networks
* Current technology providers have no reason to lose
their presence as their skills in OS, platforms are
critical for e-Sim
* Co. not making any margins on chips, still likely to sell
its embedded software to secure network authentication,
generate same profits with higher margins in embedded
software & products segment
* Co. may generate “significantly” more rev. in platforms &
services segment due to increased requirement for on-demand
connectivity platforms for remote activation/subscription
mgmt
* Kepler sees good buying opportunities as market expectations
remain low, momentum is gradually improving
* Shares down 1.1%
* NOTE: Gemalto dropped 5% yday as FT reported Apple, Samsung
are in advanced talks with telecom groups for introducing e-
Sim cards
For Related News and Information:
First Word scrolling panel: FIRST<GO>
First Word newswire: NH BFW<GO>
To contact the reporter on this story:
Kasper Viita in London at +44-203-525-9219 or
kviita1@bloomberg.net
To contact the editor responsible for this story:
James Ludden at +44-20-3525-2645 or
jludden@bloomberg.net