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Telkom SA SOC LtdJSE:TKG Stock Report

Market Cap R26.4b
Share Price
R52.99
My Fair Value
R60.25
12.0% undervalued intrinsic discount
1Y103.5%
7D4.8%
Portfolio Value
​
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Telkom SA SOC Ltd

JSE:TKG Stock Report

Market Cap: R26.4b

Telkom SA SOC (TKG) Stock Overview

Operates as an integrated communications and information technology (IT) services provider in South Africa, the United States, the United Kingdom, rest of Europe, and internationally. More details

TKG fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance4/6
Financial Health6/6
Dividends2/6

Rewards

Earnings grew by 91.5% over the past year

Trading at good value compared to peers and industry

Risk Analysis

TKG passed our risk checks.

TKG Community Fair Values

Create Narrative

See what 16 others think this stock is worth. Follow their fair value or set your own to get alerts.

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Telkom SA SOC

Infrastructure Monetization And CapEx Optimization Will Improve Operational Efficiency

Key Takeaways Telkom's growth in mobile and fiber data revenue and strategic asset disposals suggest strong potential for revenue and earnings enhancement. Efficient capital allocation and regulatory approvals position Telkom to optimize net margins and unlock new revenue streams.
View narrative
R60.25
FV
12.0% undervalued intrinsic discount
3.15%
Revenue growth p.a.
0users have liked this narrative
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6users have followed this narrative
23 days ago author updated this narrative
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Telkom SA SOC

Expanding Fiber Networks And Cloud Platforms Will Empower Digital Inclusion

Key Takeaways Telkom's leadership in affordable data and large-scale migration from legacy users position it for substantial market share gains and high-margin, resilient revenue growth. Strategic network expansion, operational efficiencies, and integrated digital offerings underpin superior long-term earnings, free cash flow expansion, and enhanced shareholder returns.
View narrative
R88
FV
39.8% undervalued intrinsic discount
4.46%
Revenue growth p.a.
0users have liked this narrative
0users have commented on this narrative
2users have followed this narrative
22 days ago author updated this narrative
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Telkom SA SOC

Eroding Fixed-Line Revenue And Fierce Competition Will Shrink Margins

Key Takeaways Continued declines in legacy fixed-line revenue and growing competitive pressures threaten margins, while sector-wide fiber uptake and mobile gains are unlikely to offset losses. High capital requirements, inflationary lease expenses, and reduced asset sale benefits constrain cash flow, limiting capacity to fund growth amid market saturation and technological disruption.
View narrative
R45
FV
17.8% overvalued intrinsic discount
2.21%
Revenue growth p.a.
0users have liked this narrative
0users have commented on this narrative
0users have followed this narrative
about 1 month ago author updated this narrative
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Telkom SA SOC Ltd Competitors

Price History & Performance

Summary of share price highs, lows and changes for Telkom SA SOC
Historical stock prices
Current Share PriceR52.99
52 Week HighR60.59
52 Week LowR25.70
Beta0.66
1 Month Change4.72%
3 Month Change0.72%
1 Year Change103.49%
3 Year Change9.10%
5 Year Change100.04%
Change since IPO87.91%

Recent News & Updates

We Ran A Stock Scan For Earnings Growth And Telkom SA SOC (JSE:TKG) Passed With Ease

Sep 26
We Ran A Stock Scan For Earnings Growth And Telkom SA SOC (JSE:TKG) Passed With Ease

Recent updates

We Ran A Stock Scan For Earnings Growth And Telkom SA SOC (JSE:TKG) Passed With Ease

Sep 26
We Ran A Stock Scan For Earnings Growth And Telkom SA SOC (JSE:TKG) Passed With Ease

Here's Why Telkom SA SOC Ltd's (JSE:TKG) CEO Compensation Is The Least Of Shareholders' Concerns

Aug 15
Here's Why Telkom SA SOC Ltd's (JSE:TKG) CEO Compensation Is The Least Of Shareholders' Concerns

We Think Telkom SA SOC (JSE:TKG) Can Stay On Top Of Its Debt

Jul 17
We Think Telkom SA SOC (JSE:TKG) Can Stay On Top Of Its Debt

Telkom SA SOC Ltd's (JSE:TKG) 30% Price Boost Is Out Of Tune With Earnings

Jun 25
Telkom SA SOC Ltd's (JSE:TKG) 30% Price Boost Is Out Of Tune With Earnings
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Infrastructure Monetization And CapEx Optimization Will Improve Operational Efficiency

Telkom's growth in mobile and fiber data revenue and strategic asset disposals suggest strong potential for revenue and earnings enhancement.

Telkom SA SOC's (JSE:TKG) Returns On Capital Not Reflecting Well On The Business

Jun 10
Telkom SA SOC's (JSE:TKG) Returns On Capital Not Reflecting Well On The Business

Returns On Capital At Telkom SA SOC (JSE:TKG) Paint A Concerning Picture

Feb 21
Returns On Capital At Telkom SA SOC (JSE:TKG) Paint A Concerning Picture

Telkom SA SOC (JSE:TKG) Has A Somewhat Strained Balance Sheet

Jan 26
Telkom SA SOC (JSE:TKG) Has A Somewhat Strained Balance Sheet

Be Wary Of Telkom SA SOC (JSE:TKG) And Its Returns On Capital

Oct 26
Be Wary Of Telkom SA SOC (JSE:TKG) And Its Returns On Capital

Calculating The Intrinsic Value Of Telkom SA SOC Limited (JSE:TKG)

Sep 30
Calculating The Intrinsic Value Of Telkom SA SOC Limited (JSE:TKG)

Telkom SA SOC (JSE:TKG) Has A Somewhat Strained Balance Sheet

Aug 04
Telkom SA SOC (JSE:TKG) Has A Somewhat Strained Balance Sheet

Telkom SA SOC Limited (JSE:TKG) Shares Could Be 27% Below Their Intrinsic Value Estimate

Jun 28
Telkom SA SOC Limited (JSE:TKG) Shares Could Be 27% Below Their Intrinsic Value Estimate

Telkom SA SOC's (JSE:TKG) Returns On Capital Not Reflecting Well On The Business

Mar 18
Telkom SA SOC's (JSE:TKG) Returns On Capital Not Reflecting Well On The Business

Is Telkom SA SOC (JSE:TKG) A Risky Investment?

Feb 28
Is Telkom SA SOC (JSE:TKG) A Risky Investment?

Are Investors Undervaluing Telkom SA SOC Limited (JSE:TKG) By 35%?

Feb 09
Are Investors Undervaluing Telkom SA SOC Limited (JSE:TKG) By 35%?

Telkom SA SOC (JSE:TKG) Hasn't Managed To Accelerate Its Returns

Nov 23
Telkom SA SOC (JSE:TKG) Hasn't Managed To Accelerate Its Returns

Are Investors Undervaluing Telkom SA SOC Limited (JSE:TKG) By 39%?

Nov 04
Are Investors Undervaluing Telkom SA SOC Limited (JSE:TKG) By 39%?

Telkom SA SOC (JSE:TKG) Has A Somewhat Strained Balance Sheet

Aug 16
Telkom SA SOC (JSE:TKG) Has A Somewhat Strained Balance Sheet

Here's What To Make Of Telkom SA SOC's (JSE:TKG) Decelerating Rates Of Return

Jul 29
Here's What To Make Of Telkom SA SOC's (JSE:TKG) Decelerating Rates Of Return

Investors Met With Slowing Returns on Capital At Telkom SA SOC (JSE:TKG)

Apr 16
Investors Met With Slowing Returns on Capital At Telkom SA SOC (JSE:TKG)

Is Telkom SA SOC (JSE:TKG) A Risky Investment?

Mar 25
Is Telkom SA SOC (JSE:TKG) A Risky Investment?

What Kind Of Shareholders Hold The Majority In Telkom SA SOC Limited's (JSE:TKG) Shares?

Mar 05
What Kind Of Shareholders Hold The Majority In Telkom SA SOC Limited's (JSE:TKG) Shares?

Did Telkom SA SOC's (JSE:TKG) Share Price Deserve to Gain 26%?

Feb 12
Did Telkom SA SOC's (JSE:TKG) Share Price Deserve to Gain 26%?

Shareholder Returns

TKGZA TelecomZA Market
7D4.8%-2.2%1.4%
1Y103.5%27.9%19.5%

Return vs Industry: TKG exceeded the ZA Telecom industry which returned 29.1% over the past year.

Return vs Market: TKG exceeded the ZA Market which returned 19.2% over the past year.

Price Volatility

Is TKG's price volatile compared to industry and market?
TKG volatility
TKG Average Weekly Movement6.6%
Telecom Industry Average Movement2.8%
Market Average Movement4.4%
10% most volatile stocks in ZA Market9.9%
10% least volatile stocks in ZA Market2.4%

Stable Share Price: TKG has not had significant price volatility in the past 3 months compared to the ZA market.

Volatility Over Time: TKG's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19919,894Serame Taukobongwww.telkom.co.za

Telkom SA SOC Ltd operates as an integrated communications and information technology (IT) services provider in South Africa, the United States, the United Kingdom, rest of Europe, and internationally. It operates through Openserve, Telkom Consumer, BCX, Gyro, and Other segments. The company offers mobile and fixed-line telecommunication services, including broadband, optical and carrier, business-to-business connectivity, interconnect-based services, broadband data, voice, content, and gaming solutions; and small and medium entity information, communication, and technology solutions, as well as business mobility, global telecommunication, CPE-related services, converged communication, managed application-centric data networking, managed local area networking, unified collaboration as a service, and internet and value-added services.

Telkom SA SOC Ltd Fundamentals Summary

How do Telkom SA SOC's earnings and revenue compare to its market cap?
TKG fundamental statistics
Market capR26.44b
Earnings (TTM)R2.78b
Revenue (TTM)R44.13b
9.5x
P/E Ratio
0.6x
P/S Ratio

Is TKG overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
TKG income statement (TTM)
RevenueR44.13b
Cost of RevenueR25.42b
Gross ProfitR18.71b
Other ExpensesR15.93b
EarningsR2.78b

Last Reported Earnings

Mar 31, 2025

Next Earnings Date

Nov 18, 2025

Earnings per share (EPS)5.56
Gross Margin42.39%
Net Profit Margin6.29%
Debt/Equity Ratio36.0%

How did TKG perform over the long term?

See historical performance and comparison

Dividends

3.1%
Current Dividend Yield
29%
Payout Ratio

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/10/01 11:36
End of Day Share Price 2025/10/01 00:00
Earnings2025/03/31
Annual Earnings2025/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Telkom SA SOC Ltd is covered by 22 analysts. 5 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Jonathan BradleyAbsa Bank Limited
Niel VenterAbsa Bank Limited
Tibor BokorArqaam Capital Research Offshore S.A.L.