Header cover image

New Zealand (NZX) Telecom Sector Analysis

UpdatedNov 28, 2021
DataAggregated Company Financials
Companies5
  • 7D0.6%
  • 3M-8.1%
  • 1Y-8.9%
  • YTD-8.9%

Over the last 7 days, the Telecom industry has remained flat, although notably Chorus gained 4.7%. Unfortunately though, the industry is down 8.9% over the past 12 months.

Sector Valuation and Performance

Has the New Zealand Telecom Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPE
Mon, 29 Nov 2021NZ$11.8bNZ$5.6bNZ$496.1m21.4x
Wed, 27 Oct 2021NZ$11.8bNZ$5.6bNZ$496.1m22x
Fri, 24 Sep 2021NZ$12.4bNZ$5.6bNZ$496.1m23.1x
Sun, 22 Aug 2021NZ$12.6bNZ$5.6bNZ$496.0m23.2x
Fri, 09 Jul 2021NZ$12.3bNZ$5.6bNZ$496.0m23.3x
Thu, 01 Apr 2021NZ$12.0bNZ$5.6bNZ$414.0m34.8x
Sun, 03 Jan 2021NZ$12.7bNZ$5.6bNZ$339.0m32.3x
Wed, 07 Oct 2020NZ$12.9bNZ$5.7bNZ$249.6m47.3x
Tue, 30 Jun 2020NZ$12.0bNZ$5.7bNZ$153.1m41.2x
Fri, 03 Apr 2020NZ$10.7bNZ$5.7b-NZ$90,890,160.0017.8x
Mon, 06 Jan 2020NZ$11.1bNZ$5.8b-NZ$335,030,493.0018.8x
Thu, 10 Oct 2019NZ$10.9bNZ$5.7b-NZ$234,014,993.0019.5x
Wed, 03 Jul 2019NZ$10.4bNZ$5.7b-NZ$132,999,493.0014.4x
Sat, 06 Apr 2019NZ$10.2bNZ$5.7bNZ$26.2m14.3x
Tue, 08 Jan 2019NZ$10.6bNZ$5.8bNZ$185.4m14.9x
PE Ratio

14.3x

Total Market Cap: NZ$10.9bTotal Earnings: NZ$207.7mTotal Revenue: NZ$5.8b0%0%0%3 Year10 Year
201920202021

Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 24.9x. It appears they believe that earnings will grow in-line with historical growth rates.

Past Earnings Growth: The earnings for companies in the Communication Services industry have grown 34% per year over the last three years, while revenues have remained mostly flat. This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.

Industry Trends

Which industries have driven the changes within the New Zealand Telecom sector?

Telecom Services and Carriers0.71%
Media-0.94%
Wireless Telecom-1.96%

Industry PE: Investors are most optimistic about the Telecom Services and Carriers industry which is trading above its 3-year average PE ratio of 38.5x. This is likely because analysts are expecting annual earnings growth of 7.0%, which is higher than its past year's earnings decline of 9.1% per year. Meanwhile, investors are most pessimistic about the Media industry. Although, investor sentiment seems to have improved given its trading above its 3-year average of 9.6x.

Forecasted Growth: Analysts are most optimistic on the Telecom Services and Carriers industry, expecting annual earnings growth of 7.0% over the next 5 years. This is better than its past earnings decline of 9.1% per year. Meanwhile, the Media industry is expected to see its earnings decline by 5.5% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

Company7D1YValuation
CNU Chorus2.7%+NZ$76.6m-20.1%PE62.8x
SPK Spark New Zealand0.8%+NZ$65.4m-3.6%PE21.4x
Simply Wall St
Simply Wall Street Pty Ltd
17-21 Bellevue Street, Surry Hills, Sydney
Download on the App StoreGet it on Google Play
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Latest News

VTL

NZ$0.48

Vital

7D

-5.9%

1Y

-36.0%