MANILA, Philippines — Globe Telecom Inc. is increasingly drawing investor interest through its expanding collection of digital ventures, which are offsetting sluggish growth in its core telecommunications operations.
Joel de la Peña, market strategist and chief trader at H.E. Bennett Securities Inc., noted that the telecommunication firm’s future expansion is no longer strictly dependent on traditional mobile and broadband services, which remain vulnerable to broader macroeconomic pressure.
De la Peña suggested that Globe’s stock is fundamentally undervalued at its recent trading level of around ₱1,560 per share, given that its overall valuation is becoming tightly linked to its technology ecosystem.
”Globe has effectively transformed into a diversified tech fund that pays investors a premium dividend to wait while its digital engines redefine the modern Philippine economy,” De la Peña stated.
Investors aiming to maximize value should look closely at Globe’s two primary growth drivers: its fintech platform and data center operations.
A major near-term catalyst is the anticipated ₱92.3-billion initial public offering (IPO) of Mynt, the parent company behind GCash. Globe stands to gain significantly as Mynt’s largest shareholder, retaining a 33.84% stake. Mynt already proved to be a lucrative asset in the first half of the year, contributing ₱3.7 billion—or roughly 28%—to Globe’s total net income.
De la Peña pointed out that owning Globe stock gives investors indirect access to GCash’s valuation “at a deep structural discount.”
Complementing its fintech holdings is ST Telemedia Global Data Centres (STT GDC) Philippines, Globe’s digital infrastructure joint venture. The domestic data center market remains heavily underserved, with the Philippines possessing just 0.8 megawatts (MW) of capacity per million people, compared to 1.4 MW in Indonesia and 1.9 MW in Thailand.
Globe aims to bridge this gap through multi-site developments, anchored by the upcoming 124-MW STT Fairview facility—set to become the largest carrier-neutral data center in the country. To mitigate operational risks, STT GDC Philippines has secured long-term renewable energy partnerships to buffer against fuel price volatility.
”Combined with tight legislative tailwinds like Executive Order No. 119, which requires government data to be hosted locally within three years, Globe’s data spaces are secured by mission-critical, highly recurring institutional contracts,” De la Peña added.
He emphasized that Globe offers a unique investment mix, combining dependable core earnings with strong exposure to high-growth tech assets.
The shift toward digital holdings comes as Globe reported an 11% dip in first-half net income, down to ₱11.04 billion from ₱12.44 billion recorded during the same period last year.