Telecom Egypt Valuation

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

ETEL (EGP33.02) is trading above our estimate of [[fair value]] (EGP11.72)

Is ETEL 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 ETEL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ETEL (EGP33.02) is trading above our estimate of fair value (EGP11.72)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for ETEL. This is calculated by dividing ETEL's market cap by their current earnings.
What is ETEL's PE Ratio?
PE Ratio	6.1x
Earnings	ج.م9.22b
Market Cap	ج.م56.37b

ETEL key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1.8x
Enterprise Value/EBITDA	4.7x
PEG Ratio	0.3x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ETEL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	29.4x
EGSA Egyptian Satellite Company Nilesat	5.4x	n/a	US$253.8m
DIGI Digi Communications	3x	-47.0%	RON 6.2b
MTNU MTN Uganda	8x	n/a	USh4.8t
JTS Jasmine Technology Solution	101.2x	n/a	฿46.6b
ETEL Telecom Egypt	6.1x	18.1%	ج.م56.4b

Price-To-Earnings vs Peers: ETEL is good value based on its Price-To-Earnings Ratio (6.1x) compared to the peer average (29.4x).

Price to Earnings Ratio vs Industry

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

3 Companies	Price / Earnings	Estimated Growth	Market Cap

3 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: ETEL is good value based on its Price-To-Earnings Ratio (6.1x) compared to the Global Telecom industry average (15.9x).

Price to Earnings Ratio vs Fair Ratio

What is ETEL'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.

ETEL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	6.1x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ETEL'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?

The above table shows the analyst ETEL forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	ج.م33.02	ج.م49.38 +49.5%	22.4%	ج.م65.27	ج.م35.70	n/a	6
Nov ’25	ج.م33.58	ج.م50.32 +49.9%	21.9%	ج.م65.27	ج.م35.70	n/a	7
Oct ’25	ج.م34.24	ج.م48.52 +41.7%	20.4%	ج.م65.27	ج.م35.70	n/a	7
Sep ’25	ج.م31.91	ج.م48.52 +52.1%	20.4%	ج.م65.27	ج.م35.70	n/a	7
Aug ’25	ج.م34.05	ج.م47.52 +39.6%	20.1%	ج.م65.27	ج.م35.70	n/a	8
Jul ’25	ج.م30.99	ج.م47.52 +53.3%	20.1%	ج.م65.27	ج.م35.70	n/a	8
Jun ’25	ج.م30.84	ج.م48.05 +55.8%	20.6%	ج.م65.27	ج.م35.70	n/a	7
May ’25	ج.م33.00	ج.م48.69 +47.6%	22.8%	ج.م69.75	ج.م35.70	n/a	7
Apr ’25	ج.م36.04	ج.م48.69 +35.1%	22.8%	ج.م69.75	ج.م35.70	n/a	7
Mar ’25	ج.م38.60	ج.م45.93 +19.0%	26.8%	ج.م69.75	ج.م32.00	n/a	6
Feb ’25	ج.م37.00	ج.م44.15 +19.3%	27.6%	ج.م69.75	ج.م32.00	n/a	7
Jan ’25	ج.م37.65	ج.م41.93 +11.4%	28.6%	ج.م69.75	ج.م32.00	n/a	8
Dec ’24	ج.م35.99	ج.م33.76 -6.2%	6.6%	ج.م37.40	ج.م30.00	n/a	7
Nov ’24	ج.م32.95	ج.م33.76 +2.4%	6.6%	ج.م37.40	ج.م30.00	ج.م33.58	7
Oct ’24	ج.م29.16	ج.م34.43 +18.1%	7.9%	ج.م39.10	ج.م30.00	ج.م34.24	8
Sep ’24	ج.م26.30	ج.م35.79 +36.1%	12.9%	ج.م46.70	ج.م30.00	ج.م31.91	9
Aug ’24	ج.م26.00	ج.م35.46 +36.4%	12.7%	ج.م46.70	ج.م30.00	ج.م34.05	10
Jul ’24	ج.م25.88	ج.م33.68 +30.1%	20.1%	ج.م46.70	ج.م18.00	ج.م30.99	11
Jun ’24	ج.م24.20	ج.م32.34 +33.6%	21.0%	ج.م46.70	ج.م18.00	ج.م30.84	11
May ’24	ج.م23.23	ج.م32.34 +39.2%	21.0%	ج.م46.70	ج.م18.00	ج.م33.00	11
Apr ’24	ج.م24.70	ج.م32.34 +30.9%	21.0%	ج.م46.70	ج.م18.00	ج.م36.04	11
Mar ’24	ج.م26.22	ج.م31.91 +21.7%	20.3%	ج.م46.70	ج.م18.00	ج.م38.60	11
Feb ’24	ج.م26.50	ج.م30.86 +16.5%	24.7%	ج.م46.70	ج.م18.00	ج.م37.00	11
Jan ’24	ج.م25.10	ج.م29.80 +18.7%	27.8%	ج.م46.70	ج.م18.00	ج.م37.65	10
Dec ’23	ج.م24.31	ج.م27.36 +12.6%	33.1%	ج.م46.70	ج.م18.00	ج.م35.99	8
Nov ’23	ج.م18.39	ج.م21.39 +16.3%	14.2%	ج.م26.50	ج.م18.00	ج.م32.95	7

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.