Telecom Argentina Valuation

Is TECO2 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of TECO2 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TECO2 (ARS2895) is trading above our estimate of fair value (ARS992.75)

Significantly Below Fair Value: TECO2 is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for TECO2?

Key metric: As TECO2 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for TECO2. This is calculated by dividing TECO2's market cap by their current earnings.
What is TECO2's PE Ratio?
PE Ratio14.5x
EarningsAR$429.68b
Market CapAR$6.23t

Price to Earnings Ratio vs Peers

How does TECO2's PE Ratio compare to its peers?

The above table shows the PE ratio for TECO2 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average24.3x
TATACOMM Tata Communications
53.4x39.6%₹495.0b
O2D Telefónica Deutschland Holding
22.4x-11.4%€6.2b
HTO Hellenic Telecommunications Organization
10.8x3.2%€6.1b
QBR.A Quebecor
10.5x4.5%CA$7.5b
TECO2 Telecom Argentina
14.5x-67.4%AR$6.2t

Price-To-Earnings vs Peers: TECO2 is good value based on its Price-To-Earnings Ratio (14.5x) compared to the peer average (24.3x).


Price to Earnings Ratio vs Industry

How does TECO2's PE Ratio compare vs other companies in the Global Telecom Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
TECO2 14.5xIndustry Avg. 15.7xNo. of Companies30PE01224364860+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: TECO2 is good value based on its Price-To-Earnings Ratio (14.5x) compared to the Global Telecom industry average (15.7x).


Price to Earnings Ratio vs Fair Ratio

What is TECO2's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TECO2 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio14.5x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate TECO2's Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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