Telefónica, S.A.'s (BME:TEF) Intrinsic Value Is Potentially 70% Above Its Share Price
Nov 29
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Spanish (IBEX) Market Analysis & Valuation
UpdatedNov 28, 2024
DataAggregated Company Financials
Companies251
- 7D0.02%
- 3M0.8%
- 1Y13.4%
- YTD11.1%
The Consumer Staples sector gained 3.8% while the market remained flat over the last week. More promisingly, the market is up 13% over the past year. As for the next few years, earnings are expected to grow by 9.1% per annum.
Market Valuation and Performance
Has the Spanish Market valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 29 Nov 2024 | €783.0b | €572.9b | €57.2b | 19.5x | 13.7x | 1.4x |
| Sun, 27 Oct 2024 | €803.5b | €571.6b | €56.7b | 19.8x | 14.2x | 1.4x |
| Tue, 24 Sep 2024 | €796.9b | €571.7b | €56.0b | 19.2x | 14.2x | 1.4x |
| Thu, 22 Aug 2024 | €761.9b | €570.8b | €56.0b | 19x | 13.6x | 1.3x |
| Sat, 20 Jul 2024 | €756.7b | €564.9b | €53.6b | 17.5x | 14.1x | 1.3x |
| Mon, 17 Jun 2024 | €753.5b | €564.7b | €53.5b | 17.5x | 14.1x | 1.3x |
| Wed, 15 May 2024 | €763.0b | €562.6b | €53.2b | 16.5x | 14.3x | 1.4x |
| Fri, 12 Apr 2024 | €710.2b | €559.8b | €50.5b | 15.9x | 14.1x | 1.3x |
| Sun, 10 Mar 2024 | €688.7b | €560.2b | €50.6b | 15.5x | 13.6x | 1.2x |
| Tue, 06 Feb 2024 | €673.8b | €558.3b | €55.6b | 15.3x | 12.1x | 1.2x |
| Thu, 04 Jan 2024 | €685.0b | €557.4b | €53.9b | 15.2x | 12.7x | 1.2x |
| Sat, 02 Dec 2023 | €690.3b | €560.2b | €53.6b | 15.4x | 12.9x | 1.2x |
| Mon, 30 Oct 2023 | €614.9b | €563.1b | €53.3b | 14.5x | 11.5x | 1.1x |
| Wed, 27 Sep 2023 | €644.5b | €569.3b | €51.1b | 14.9x | 12.6x | 1.1x |
| Fri, 25 Aug 2023 | €643.0b | €569.3b | €51.2b | 15.4x | 12.6x | 1.1x |
| Sun, 23 Jul 2023 | €661.1b | €577.9b | €51.0b | 17.4x | 13x | 1.1x |
| Tue, 20 Jun 2023 | €651.3b | €577.2b | €51.1b | 17.4x | 12.8x | 1.1x |
| Thu, 18 May 2023 | €635.8b | €575.7b | €50.5b | 18x | 12.6x | 1.1x |
| Sat, 15 Apr 2023 | €646.3b | €561.2b | €49.8b | 17.5x | 13x | 1.2x |
| Mon, 13 Mar 2023 | €640.9b | €563.9b | €49.5b | 17.3x | 13x | 1.1x |
| Wed, 08 Feb 2023 | €628.2b | €523.5b | €44.4b | 17.5x | 14.1x | 1.2x |
| Fri, 06 Jan 2023 | €590.1b | €522.8b | €42.5b | 16.7x | 13.9x | 1.1x |
| Sun, 04 Dec 2022 | €578.2b | €521.8b | €42.4b | 17.4x | 13.6x | 1.1x |
| Tue, 01 Nov 2022 | €573.3b | €524.4b | €44.4b | 15x | 12.9x | 1.1x |
| Thu, 29 Sep 2022 | €537.3b | €515.3b | €43.2b | 14.7x | 12.4x | 1x |
| Sat, 27 Aug 2022 | €581.8b | €514.0b | €42.9b | 17.3x | 13.6x | 1.1x |
| Mon, 25 Jul 2022 | €588.1b | €489.0b | €43.9b | 15.9x | 13.4x | 1.2x |
| Wed, 22 Jun 2022 | €595.6b | €488.5b | €43.8b | 16.7x | 13.6x | 1.2x |
| Fri, 20 May 2022 | €603.0b | €480.5b | €43.3b | 17.6x | 13.9x | 1.3x |
| Sun, 17 Apr 2022 | €622.8b | €463.7b | €44.8b | 18.8x | 13.9x | 1.3x |
| Tue, 15 Mar 2022 | €594.8b | €461.5b | €44.5b | 18.6x | 13.4x | 1.3x |
| Thu, 10 Feb 2022 | €636.0b | €445.0b | €45.4b | 19.9x | 14x | 1.4x |
| Sat, 08 Jan 2022 | €636.0b | €441.5b | €41.3b | 21.9x | 15.4x | 1.4x |
| Mon, 06 Dec 2021 | €603.9b | €440.1b | €40.9b | 20x | 14.8x | 1.4x |
Price to Earnings Ratio
14.8x
Current Market PE
- Investors are relatively neutral on the Spanish market at the moment, indicating that they expect earnings will grow in line with historical growth rates.
- The market is trading close to its 3-year average PE ratio of 13.4x.
Past Earnings Growth
- The earnings for Spanish listed companies have grown 12% per year over the last three years.
- Revenues for these companies have grown 9.4% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Sector Trends
Which sectors have driven the changes within the Spanish Market?
| ES Market | 0.025% | |
| Consumer Staples | 3.81% | |
| Industrials | 2.86% | |
| Telecom | 2.07% | |
| Utilities | 1.62% | |
| Consumer Discretionary | 0.75% | |
| Materials | 0.50% | |
| Information Technology | 0% | |
| Financials | 0% | |
| Health Care | 0% | |
| Industrials | 0% | |
| Real Estate | -0.15% | |
| Tech | -0.30% | |
| Energy | -1.18% | |
| Healthcare | -1.94% | |
| Financials | -3.80% | |
Sector PE
- Investors favour the Healthcare sector the most for future growth, which is trading close to its 3-year average PE ratio of 36.8x.
- The market's confidence is likely because analysts are expecting annual earnings growth of 33.8%, which is higher than its past year's earnings growth of 8.8% per year.
Forecasted Growth
- Analysts are most optimistic on the Telecom sector, expecting annual earnings growth of 59% over the next 5 years.
- This is better than its past earnings growth rate of 38% per year.
- In contrast, the Financials industry is expected to see its earnings growth to stay flat over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | Sector | |
|---|---|---|---|---|---|---|
| CLNX Cellnex Telecom | €33.92 | 7.5% +€1.7b | -3.2% | PS6x | Telecom | |
| FER Ferrovial | €38.86 | 5.8% +€1.6b | 22.4% | PE38.4x | Industrials | |
| IBE Iberdrola | €13.48 | 1.2% +€957.6m | 18.8% | PE12.9x | Utilities | |
| ELE Endesa | €20.65 | 4.2% +€878.6m | 7.6% | PE20.1x | Utilities | |
| AENA Aena S.M.E | €203.80 | 2.1% +€630.0m | 29.0% | PE15.7x | Industrials |
