Viaplay Group (STO:VPLAY B) May Have Issues Allocating Its Capital
Nov 26
Swedish (OMX) Telecom Sector Analysis
UpdatedNov 26, 2022
DataAggregated Company Financials
Companies70
- 7D1.8%
- 3M-17.1%
- 1Y-32.7%
- YTD-35.3%
Over the last 7 days, the Telecom industry has risen 1.8%, and Viaplay Group contributed the most with a gain of 11%. In the past year, the industry is down 33%. As for the next few years, earnings are expected to grow by 22% per annum.
Sector Valuation and Performance
Has the Swedish Telecom Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sun, 27 Nov 2022 | kr353.1b | kr207.8b | kr7.3b | 23x | 48.2x | 1.7x |
| Tue, 25 Oct 2022 | kr352.5b | kr197.7b | kr6.0b | 22.2x | 58.9x | 1.8x |
| Thu, 22 Sep 2022 | kr395.8b | kr195.9b | kr5.9b | 20.9x | 67.3x | 2x |
| Sat, 20 Aug 2022 | kr458.1b | kr194.9b | kr6.1b | 23.5x | 74.9x | 2.4x |
| Mon, 18 Jul 2022 | kr448.3b | kr187.8b | kr12.7b | 19.5x | 35.3x | 2.4x |
| Wed, 15 Jun 2022 | kr447.5b | kr187.6b | kr12.7b | 22.2x | 35.2x | 2.4x |
| Fri, 13 May 2022 | kr462.5b | kr183.2b | kr14.7b | 25x | 31.5x | 2.5x |
| Sun, 10 Apr 2022 | kr502.9b | kr181.0b | kr12.8b | 29.5x | 39.2x | 2.8x |
| Tue, 08 Mar 2022 | kr429.6b | kr181.6b | kr12.6b | 29.3x | 34x | 2.4x |
| Thu, 03 Feb 2022 | kr508.0b | kr175.1b | kr14.1b | 35.9x | 36.1x | 2.9x |
| Sat, 01 Jan 2022 | kr513.8b | kr174.3b | -kr7,906,911,201.00 | 52.6x | -65x | 2.9x |
| Mon, 29 Nov 2021 | kr496.8b | kr174.1b | -kr7,910,185,435.00 | 46.2x | -62.8x | 2.9x |
| Wed, 27 Oct 2021 | kr479.5b | kr170.3b | -kr6,167,900,061.00 | 31.8x | -77.7x | 2.8x |
| Fri, 24 Sep 2021 | kr514.4b | kr170.4b | -kr4,612,442,709.00 | 38.4x | -111.5x | 3x |
| Sun, 22 Aug 2021 | kr537.0b | kr170.4b | -kr4,608,308,576.94 | 33.4x | -116.5x | 3.2x |
| Fri, 09 Jul 2021 | kr540.7b | kr170.4b | -kr4,602,024,391.94 | 36.9x | -117.5x | 3.2x |
| Thu, 01 Apr 2021 | kr505.4b | kr165.2b | -kr11,265,187,442.33 | 33.4x | -44.9x | 3.1x |
| Sun, 03 Jan 2021 | kr468.6b | kr163.2b | -kr11,776,321,186.28 | 31.8x | -39.8x | 2.9x |
| Wed, 07 Oct 2020 | kr458.9b | kr161.1b | kr9.3b | 37.1x | 49.1x | 2.8x |
| Tue, 30 Jun 2020 | kr386.3b | kr157.8b | kr9.4b | 29.9x | 40.9x | 2.4x |
| Fri, 03 Apr 2020 | kr347.7b | kr156.0b | kr10.0b | 31.4x | 34.8x | 2.2x |
| Mon, 06 Jan 2020 | kr365.4b | kr154.8b | kr10.3b | 33.3x | 35.6x | 2.4x |
Price to Earnings Ratio
36.9x
Current Industry PE
- Investors are optimistic on the Swedish Communication Services industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 48.2x which is higher than its 3-year average PE of 2.7x.
- The 3-year average PS ratio of 2.6x is higher than the industry's current PS ratio of 1.7x.
Past Earnings Growth
- The earnings for companies in the Communication Services industry have declined 9.8% per year over the last three years.
- Meanwhile revenues for these companies have grown 11% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.
Industry Trends
Which industries have driven the changes within the Swedish Telecom sector?
| SE Market | 1.81% | |
| Telecom | 1.84% | |
| Media | 6.84% | |
| Wireless Telecom | 2.42% | |
| Entertainment | 2.22% | |
| Interactive Media and Services | 0.87% | |
| Telecom Services and Carriers | 0.63% | |
Industry PE
- Investors are most optimistic about the Media industry, which is trading close to its 3-year average PE ratio of 131x.
- Analysts are expecting annual earnings growth of 55.4%, which is higher than its past year's earnings growth of 1.2% per year.
Forecasted Growth
- Analysts are most optimistic on the Media industry, expecting annual earnings growth of 55% over the next 5 years.
- This is better than its past earnings growth rate of 1.2% per year.
- In contrast, the Wireless Telecom 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 | |
|---|---|---|---|---|---|
| VPLAY B Viaplay Group | kr208.80 | 11.3% +kr1.7b | -52.7% | PE27x | |
| EMBRAC B Embracer Group | kr47.18 | 2.8% +kr1.6b | -50.0% | PS2x | |
| TEL2 B Tele2 | kr95.56 | 2.5% +kr1.6b | -25.9% | PE12.6x | |
| TELIA Telia Company | kr29.45 | 0.8% +kr881.2m | -16.7% | PE21.9x | |
| PDX Paradox Interactive | kr201.30 | 2.1% +kr438.3m | 37.6% | PE33.7x |