Telefonica S.A - ADR
TEF
Market Cap$28.1B
Close$
Earnings Call Q4 2024
February 27, 2025 - AI Summary
Strong Financial Performance: Telefonica reported a 14% year-on-year growth in free cash flow, generating €2.6 billion for 2024, exceeding the company's guidance of more than 10% growth. This performance is supported by improved customer metrics and strong operational efficiency, with a CapEx to revenue ratio maintained at 12.9%.
2025 Guidance: For 2025, Telefonica expects organic growth in revenue, EBITDA, and EBITDA minus CapEx. CapEx is projected to decline to less than 12.5% of sales, and the company aims to sustain free cash flow at levels similar to those achieved in 2024 while continuing a €0.3 per share dividend. This cautious guidance follows a strategic review intended to reassess positioning in a changing European market.
Strategic Review and Focus on Core Markets: New CEO Marc Murtra announced a strategic review aimed at elevating Telefonica's ambition and clarifying the company's portfolio. The focus is on leveraging strengths in core markets like Spain and Brazil while evaluating opportunities for M&A or organic investments that align with proven capabilities and market relevance.
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$14.69
195% upside
Current Fair Value
195% upsideUndervalued by 195% based on the discounted cash flow analysis.
Share Statistics
| Market cap | $28.10 Billion |
|---|---|
| Enterprise Value | $68.62 Billion |
| Dividend Yield | $0.32 (6.70241286863271%) |
| Earnings per Share | $-0.06 |
| Beta | 0.55 |
| Outstanding Shares | 5,634,000,000 |
Return
| Return on Equity | - |
|---|---|
| Return on Assets | - |
| Return on Invested Capital | - |
Valuation & Multiples
| P/E Ratio | -514.8 |
|---|---|
| PEG | 525.27 |
| Price to Sales | 0.71 |
| Price to Book Ratio | 1.25 |
| Enterprise Value to Revenue | 1.69 |
| Enterprise Value to EBIT | 80.92 |
| Enterprise Value to Net Income | -59 |
| Total Debt to Enterprise | 0.71 |
| Debt to Equity | 2.51 |
Revenue Sources
No data
Insider Trades
ESG Score
No data
About Telefonica S.A
CEO: Jose Maria Alvarez-Pallete Lopez