TPG Telecom Limited

ASX:TPG Stock Report

Market Cap: AU$8.0b

TPG Telecom Valuation

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

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: TPG (A$4.31) is trading below our estimate of fair value (A$23.33)

Significantly Below Fair Value: TPG is trading below fair value by more than 20%.

Key Valuation Metric

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

Key metric: As TPG is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for TPG. This is calculated by dividing TPG's market cap by their current revenue.
What is TPG's PS Ratio?
PS Ratio1.4x
SalesAU$5.53b
Market CapAU$8.05b

Price to Sales Ratio vs Peers

How does TPG's PS Ratio compare to its peers?

The above table shows the PS ratio for TPG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average5.8x
TLS Telstra Group
2x2.4%AU$45.8b
TUA Tuas
19.8x17.3%AU$2.7b
CCG Comms Group
0.5xn/aAU$28.4m
TKA Telekom Austria
1x3.7%€5.1b
TPG TPG Telecom
1.4x2.4%AU$8.0b

Price-To-Sales vs Peers: TPG is good value based on its Price-To-Sales Ratio (1.4x) compared to the peer average (5.8x).

Price to Sales Ratio vs Industry

How does TPG's PS Ratio compare vs other companies in the Global Telecom Industry?

36 CompaniesPrice / SalesEstimated GrowthMarket Cap
TPG 1.4xIndustry Avg. 1.3xNo. of Companies43PS01.22.43.64.86+
36 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: TPG is expensive based on its Price-To-Sales Ratio (1.4x) compared to the Global Telecom industry average (1.3x).

Price to Sales Ratio vs Fair Ratio

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

TPG PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.4x
Fair PS Ratio1.5x

Price-To-Sales vs Fair Ratio: TPG is good value based on its Price-To-Sales Ratio (1.4x) compared to the estimated Fair Price-To-Sales Ratio (1.5x).

Analyst Price Targets

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

The above table shows the analyst TPG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentAU$4.31
AU$5.15
+19.6%
11.0%AU$6.40AU$4.20n/a12
Dec ’25AU$4.50
AU$5.17
+14.9%
10.4%AU$6.40AU$4.40n/a12
Nov ’25AU$4.51
AU$5.17
+14.7%
10.4%AU$6.40AU$4.40n/a12
Oct ’25AU$4.89
AU$5.22
+6.8%
9.2%AU$6.40AU$4.40n/a13
Sep ’25AU$4.96
AU$5.20
+4.8%
10.0%AU$6.60AU$4.40n/a13
Aug ’25AU$4.65
AU$5.10
+9.7%
10.6%AU$6.60AU$4.30n/a13
Jul ’25AU$4.58
AU$5.16
+12.6%
9.7%AU$6.60AU$4.30n/a13
Jun ’25AU$4.65
AU$5.16
+10.9%
9.7%AU$6.60AU$4.30n/a13
May ’25AU$4.50
AU$5.21
+15.7%
9.5%AU$6.60AU$4.30n/a13
Apr ’25AU$4.51
AU$5.27
+16.8%
10.1%AU$6.60AU$4.30n/a13
Mar ’25AU$4.70
AU$5.27
+12.1%
10.1%AU$6.60AU$4.30n/a13
Feb ’25AU$5.21
AU$5.55
+6.5%
13.0%AU$7.40AU$4.40n/a13
Jan ’25AU$5.18
AU$5.50
+6.2%
13.7%AU$7.40AU$4.40n/a12
Dec ’24AU$4.71
AU$5.59
+18.7%
14.0%AU$7.40AU$4.40AU$4.5012
Nov ’24AU$5.15
AU$5.97
+16.0%
9.1%AU$7.40AU$5.25AU$4.5111
Oct ’24AU$5.46
AU$6.00
+9.9%
8.6%AU$7.40AU$5.55AU$4.8911
Sep ’24AU$5.59
AU$6.00
+7.4%
8.6%AU$7.40AU$5.55AU$4.9611
Aug ’24AU$5.60
AU$5.87
+4.8%
9.1%AU$7.40AU$5.46AU$4.6512
Jul ’24AU$4.87
AU$5.71
+17.3%
10.7%AU$7.40AU$5.00AU$4.5812
Jun ’24AU$5.54
AU$5.82
+5.1%
12.5%AU$7.40AU$5.00AU$4.6512
May ’24AU$5.50
AU$6.00
+9.1%
14.7%AU$7.70AU$5.00AU$4.5012
Apr ’24AU$4.88
AU$6.00
+23.0%
14.2%AU$7.70AU$5.00AU$4.5113
Mar ’24AU$4.98
AU$6.11
+22.6%
13.1%AU$7.70AU$5.20AU$4.7013
Feb ’24AU$4.86
AU$6.26
+28.8%
13.6%AU$7.70AU$5.20AU$5.2113
Jan ’24AU$4.89
AU$6.36
+30.1%
12.3%AU$7.70AU$5.20AU$5.1813
Dec ’23AU$4.96
AU$6.48
+30.7%
12.2%AU$7.70AU$5.20AU$4.7113

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/20 14:17
End of Day Share Price 2024/12/20 00:00
Earnings2024/06/30
Annual Earnings2023/12/31

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 here.

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 .

Analyst Sources

TPG Telecom Limited is covered by 17 analysts. 13 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Russell WrightBarclay Pearce Capital Pty Limited
Eric ChoiBarrenjoey Markets Pty Limited
Aryan NoroziBarrenjoey Markets Pty Limited