UK 05:11 Sunday, 25 October 2026
Breaking news and expert analysis on fast-moving AIM and LSE listed shares
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
Sometimes drops that seem vastly overdone can present a good opportunity to buy once the share price settles, and I think that applies to TalkTalk Group (TALK).
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Comments
wildrides
Great piece ……….. agree . The hacking thing was well over done . I am with Talk Talk and the amount of meaningful data that was actually stolen in the final analysis was tiny and affected very few customers . To some extent the CEO shot her self in the foot by being so honest and trawling from media interview to media interview before they had established the severity of the breach . A simple statement would have done saying “we will announce details of customers affected when we know it” . Never mind ………… its looks a good buy now .
Gary Newman
Wildrides,
Thanks and agree with regards the CEO as initial figures were over a million people affected, but turned out to be far fewer. On a positive though at least the company was quick to come out and admit the problem – plenty of others in the past have tried to brush it under the carpet and hope no one hears about it.
It even looks attractive from an income point of view at this level and providing they do in fact increase the final dividend in line with expectations.
The share price seems to have settled now, which can often be a good time to buy for recovery, if you’re planning to – too close to the news that caused the drop in the first place and often see high levels of volatility and can be hard to judge an entry.
alcira16247
Gary
No doubt the company is desperate in hoping the appalling mishandling of the whole ‘hacking’ saga, will be put to rest and normal business can resume. I’m not too sure.
As you state, the impact and resulting loss of confidence in the company and its effect on future finances have yet to be fully assessed, the sum of £35 million, may well prove overly optimistic, especially if large numbers of present subscribers decide to desert when their contracts expire. I would speculate judging by the large number of dissatisfied TalkTalk customers posting on various forums, that’s a distinct possibility.
Thus, respectfully, I would disagree with your analaysis that TalkTalk has handled this matter openly to the satisfaction of a significant number of its customers. The company, is been viewed, by many, to have acted in a cavalier manner towards its duties of safeguarding customers personal data, especially considering the previous attempts to breach security and its subsequent inadequate actions to deal sympathetically to reassure and offer reimbursement to effected customers from any financial loss.
Added together with the companies sizeable debt……. which will become of a more growing concern, should those of us that are more sceptical of the companies prospects after the ‘hacking’ incident, indeed, results in having a more adverse impact than presently envisaged, draws into question the companies ability to increase dividends or even pay-out dividends given present debt levels. With TalkTalk’s share price having come off its 52 week high by over 48%, it would appear to the market holds similar doubts over the groups future, generally and its ability to meet targeted forecasts, too.
However, should the hapless Dido Harding, TalkTalk Group Chief Executive, choose to do the ‘decent’ thing, sentiment could well start to improve and the companies future less hazardous.