Dish TV India Limited (NSE:DISHTV) Is About To Turn The Corner

With the business potentially at an important milestone, we thought we'd take a closer look at Dish TV India Limited's (NSE:DISHTV) future prospects. Dish TV India Limited provides direct to home and teleport services in India and internationally. With the latest financial year loss of ₹17b and a trailing-twelve-month loss of ₹17b, the ₹36b market-cap company alleviated its loss by moving closer towards its target of breakeven. The most pressing concern for investors is Dish TV India's path to profitability – when will it breakeven? Below we will provide a high-level summary of the industry analysts’ expectations for the company.

See our latest analysis for Dish TV India

Dish TV India is bordering on breakeven, according to some Indian Media analysts. They anticipate the company to incur a final loss in 2023, before generating positive profits of ₹1.3b in 2024. So, the company is predicted to breakeven approximately a year from now or less! At what rate will the company have to grow in order to realise the consensus estimates forecasting breakeven in under 12 months? Using a line of best fit, we calculated an average annual growth rate of 106%, which is extremely buoyant. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.

Underlying developments driving Dish TV India's growth isn’t the focus of this broad overview, though, keep in mind that generally a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.

One thing we would like to bring into light with Dish TV India is it currently has negative equity on its balance sheet. This can sometimes arise from accounting methods used to deal with accumulated losses from prior years, which are viewed as liabilities carried forward until it cancels out in the future. These losses tend to occur only on paper, however, in other cases it can be forewarning.

Next Steps:

There are key fundamentals of Dish TV India which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at Dish TV India, take a look at Dish TV India's company page on Simply Wall St. We've also compiled a list of essential aspects you should look at:

1. Valuation: What is Dish TV India worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether Dish TV India is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Dish TV India’s board and the CEO’s background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.