VZ - Further Understanding GTT Communications' Business And Other Updates Still Worth 3x+ Current Prices
Summary
We previously wrote here on GTT Communications (GTT) in March. In this article, we first summarize the opportunity, try to better explain the business model and customer value proposition, and discuss the new Head of Sales and CFO.
Investment Overview
GTT Communications provides internet services to large corporations. Unlike its telecom competitors that focus on constructing and owning their network infrastructure, GTT prefers to just rent from others. This broker/reseller model provides GTT a cost advantage given the telecom industry cost structure (high upfront fixed costs and near-zero ongoing marginal costs) and