..and is also a highly geared company

I-Capital bought it above RM7 and sold at around RM4 something last year making a loss of over RM30 million.

Now that everthing has stablized, probably it is less risky. Since a lot of its operations are overseas, there is still the exchange rate risk. The movement of exchange rates can make a profit translate into a loss in terms of RM.

They would probably not pay any dividend for a long time. It is a stock for short term play.

What makes you think Axiata in HIGHLY undervalued? Analyst seems to have forgotten the Indian elephant. The Indian market is very big and highly competitive. But to be a big time player there needs a HUGE investment, otherwise u would only be a small-timer. Axiata's investment to date has depreciated in value n now needs a big cash call.

Axiata has just announced its results for QE31/3/2010. Its net profit increased by 65% q-o-q or 13-fold to RM921 million while turnover increased by 3% q-o-q or 31% y-o-y to RM3.812 billion. The improved bottom-line was attributable to the following factors:
i) one-off gain on disposal of shares in XL of RM307.5 million; and
ii) one-off gain arising from the completion of the merger of Spice & Idea of RM173.2 million.
If these one-off gains are excluded, Axiata's bottom-line would actually drop when compared to the immediate preceding quarter (QE31/12/2009).

Some like exporting companies, Axiata would be impacted with the strengthening of the RM.

Investors thinking it is going to pay a big dividend have their hopes dashed. Growth means less dividends. Being in several markets carries with it foreign exchange risk which can eat into its profits.

Axiata's presence overseas means that its profitability might be negated by unfavourable foreign exchange rates. It is expected to pay a small dividend as some of its markets eg. india requires a huge investment.
Even its most profitable market, Indonesia is starting to shift from voice to data. Gradual slight in voice revenue if uncompensated by increase in data revenue means its profitability would be ultimately impacted.

To date, its data revenue forms 36% of total revenue, Digi 27% while Maxis 42.5%

Quoted from the Edge
"The research house, in its comments on Axiata, said it believed the telco was stuck in a conundrum, offering neither attractive growth nor yields. Besides that, regulatory risks in India and Bangladesh may continue to bog down the stock."

There is really nothing good or bad about stocks. They move in cycles. We are playing the same stocks over n over again. We only hope we have not bought overvalued shares.

Axiata declared a dividend of 14 cents ex date 2 Jun 2015.