Analysts have raised Tele2’s price target to SEK153.98, driven by improved shareholder return catalysts and operational stability, though some reservations persist among bearish analysts.
Analyst Commentary
- Bullish analysts cite improved shareholder return catalysts as a key reason for increased optimism.
- Tele2 is highlighted as a top pick within the Nordic telecom sector by bullish analysts.
- Price target upgrades reflect positive expectations for capital returns to shareholders.
- Stability in the company's telecom operations is supporting upward price target revisions.
- Bearish analysts remain cautious, maintaining Hold ratings with only marginal price target increases, signaling some reservations about upside potential.
What's in the News
- Tele2 will carve out its Baltic telecom infrastructure assets to form a new tower company in a 50/50 partnership with Global Communications Infrastructure LLC, valued at EUR 560 million, expecting EUR 440 million in cash proceeds.
- The new company will own about 2,700 tower and rooftop sites across Estonia, Latvia, and Lithuania, with Tele2 as the anchor tenant under a 20-year Master Service Agreement.
- The transaction will negatively impact Tele2's underlying EBITDAaL by approximately EUR 35 million in 2026 and is expected to close in early 2026 pending regulatory approvals.
- Tele2 has been added to the OMX Nordic 40 Index.
Valuation Changes
Summary of Valuation Changes for Tele2
- The Consensus Analyst Price Target remained effectively unchanged, moving only marginally from SEK152.14 to SEK153.98.
- The Future P/E for Tele2 remained effectively unchanged, moving only marginally from 21.97x to 22.23x.
- The Consensus Revenue Growth forecasts for Tele2 remained effectively unchanged, at 2.0% per annum.
Disclaimer
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