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TEP

Teleperformance ENXTPA:TEP Stock Report

Last Price

€260.00

Market Cap

€15.4b

7D

-10.4%

1Y

-30.0%

Updated

24 Sep, 2022

Data

Company Financials +
TEP fundamental analysis
Snowflake Score
Valuation4/6
Future Growth4/6
Past Performance2/6
Financial Health4/6
Dividends4/6

TEP Stock Overview

Teleperformance SE, together with its subsidiaries, provides outsourced customer and citizen experience management, and related services in France and internationally.

Teleperformance Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Teleperformance
Historical stock prices
Current Share Price€260.00
52 Week High€402.10
52 Week Low€253.00
Beta0.78
1 Month Change-13.22%
3 Month Change-11.63%
1 Year Change-30.03%
3 Year Change31.98%
5 Year Change105.86%
Change since IPO13,149.49%

Recent News & Updates

Aug 11
Teleperformance (EPA:TEP) Is Experiencing Growth In Returns On Capital

Teleperformance (EPA:TEP) Is Experiencing Growth In Returns On Capital

There are a few key trends to look for if we want to identify the next multi-bagger. Firstly, we'll want to see a...

Jul 29
Teleperformance (EPA:TEP) Seems To Use Debt Quite Sensibly

Teleperformance (EPA:TEP) Seems To Use Debt Quite Sensibly

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Jul 13
An Intrinsic Calculation For Teleperformance SE (EPA:TEP) Suggests It's 25% Undervalued

An Intrinsic Calculation For Teleperformance SE (EPA:TEP) Suggests It's 25% Undervalued

How far off is Teleperformance SE ( EPA:TEP ) from its intrinsic value? Using the most recent financial data, we'll...

Shareholder Returns

TEPFR Professional ServicesFR Market
7D-10.4%-8.6%-4.8%
1Y-30.0%-25.4%-14.1%

Return vs Industry: TEP underperformed the French Professional Services industry which returned -25.4% over the past year.

Return vs Market: TEP underperformed the French Market which returned -14.1% over the past year.

Price Volatility

Is TEP's price volatile compared to industry and market?
TEP volatility
TEP Average Weekly Movement4.3%
Professional Services Industry Average Movement4.8%
Market Average Movement4.7%
10% most volatile stocks in FR Market8.9%
10% least volatile stocks in FR Market2.7%

Stable Share Price: TEP is not significantly more volatile than the rest of French stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: TEP's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1910303,126Daniel Julienhttps://www.teleperformance.com

Teleperformance SE, together with its subsidiaries, provides outsourced customer and citizen experience management, and related services in France and internationally. The company operates in two segments, Core Services and Digital Integrated Business Services, and Specialized Services. It offers customer and citizen care; technical support; and customer acquisition services, as well as back-office solutions and integrated services, including social media content moderation services and data labeling for automation solutions; and knowledge services in the field of analytics solutions, automated systems, and artificial intelligence.

Teleperformance Fundamentals Summary

How do Teleperformance's earnings and revenue compare to its market cap?
TEP fundamental statistics
Market Cap€15.36b
Earnings (TTM)€576.00m
Revenue (TTM)€7.63b

26.7x

P/E Ratio

2.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TEP income statement (TTM)
Revenue€7.63b
Cost of Revenue€5.24b
Gross Profit€2.39b
Other Expenses€1.82b
Earnings€576.00m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)9.75
Gross Margin31.35%
Net Profit Margin7.55%
Debt/Equity Ratio73.7%

How did TEP perform over the long term?

See historical performance and comparison

Dividends

1.3%

Current Dividend Yield

34%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

TEP 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/Revenue2.4x
Enterprise Value/EBITDA14.5x
PEG Ratio1.7x

Price to Earnings Ratio vs Peers

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

TEP PE Ratio vs Peers
The above table shows the PE ratio for TEP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average18.7x
BVI Bureau Veritas
22.7x7.6%€10.2b
ASY Assystem
14.1x14.0%€584.1m
ALSER Serma Group Société anonyme
19xn/a€359.0m
SPIE SPIE
19x13.6%€3.5b
TEP Teleperformance
26.7x15.4%€15.4b

Price-To-Earnings vs Peers: TEP is expensive based on its Price-To-Earnings Ratio (26.7x) compared to the peer average (18.7x).


Price to Earnings Ratio vs Industry

How does TEP's PE Ratio compare vs other companies in the European Professional Services Industry?

Price-To-Earnings vs Industry: TEP is expensive based on its Price-To-Earnings Ratio (26.7x) compared to the European Professional Services industry average (17.8x)


Price to Earnings Ratio vs Fair Ratio

What is TEP'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.

TEP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio26.7x
Fair PE Ratio35.1x

Price-To-Earnings vs Fair Ratio: TEP is good value based on its Price-To-Earnings Ratio (26.7x) compared to the estimated Fair Price-To-Earnings Ratio (35.1x).


Share Price vs Fair Value

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

Below Fair Value: TEP (€260) is trading below our estimate of fair value (€447.81)

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


Analyst Price Targets

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

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


Discover undervalued companies

Future Growth

How is Teleperformance forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


15.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TEP's forecast earnings growth (15.4% per year) is above the savings rate (0.3%).

Earnings vs Market: TEP's earnings (15.4% per year) are forecast to grow faster than the French market (11.2% per year).

High Growth Earnings: TEP's earnings are forecast to grow, but not significantly.

Revenue vs Market: TEP's revenue (8.4% per year) is forecast to grow faster than the French market (5.3% per year).

High Growth Revenue: TEP's revenue (8.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TEP's Return on Equity is forecast to be high in 3 years time (21.5%)


Discover growth companies

Past Performance

How has Teleperformance performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


15.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TEP has high quality earnings.

Growing Profit Margin: TEP's current net profit margins (7.5%) are lower than last year (7.9%).


Past Earnings Growth Analysis

Earnings Trend: TEP's earnings have grown by 15.1% per year over the past 5 years.

Accelerating Growth: TEP's earnings growth over the past year (11.6%) is below its 5-year average (15.1% per year).

Earnings vs Industry: TEP earnings growth over the past year (11.6%) underperformed the Professional Services industry 53.4%.


Return on Equity

High ROE: TEP's Return on Equity (16%) is considered low.


Discover strong past performing companies

Financial Health

How is Teleperformance's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: TEP's short term assets (€2.8B) exceed its short term liabilities (€2.0B).

Long Term Liabilities: TEP's short term assets (€2.8B) do not cover its long term liabilities (€3.2B).


Debt to Equity History and Analysis

Debt Level: TEP's net debt to equity ratio (52.7%) is considered high.

Reducing Debt: TEP's debt to equity ratio has reduced from 91.7% to 73.7% over the past 5 years.

Debt Coverage: TEP's debt is well covered by operating cash flow (45.2%).

Interest Coverage: TEP's interest payments on its debt are well covered by EBIT (12.8x coverage).


Balance Sheet


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Dividend

What is Teleperformance current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


1.27%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: TEP's dividend (1.27%) isn’t notable compared to the bottom 25% of dividend payers in the French market (1.99%).

High Dividend: TEP's dividend (1.27%) is low compared to the top 25% of dividend payers in the French market (5.93%).


Stability and Growth of Payments

Stable Dividend: TEP's dividends per share have been stable in the past 10 years.

Growing Dividend: TEP's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (33.6%), TEP's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (21.3%), TEP's dividend payments are well covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

4.9yrs

Average management tenure


CEO

Daniel Julien (70 yo)

4.92yrs

Tenure

€19,599,499

Compensation

Mr. Daniel Julien serves as Chief Executive Officer of Teleperformance Group Inc. Mr. Julien serves as Chief Executive Officer of Teleperformance Group at Hispanic Teleservices Corporation. Mr. Julien serv...


CEO Compensation Analysis

Compensation vs Market: Daniel's total compensation ($USD19.06M) is above average for companies of similar size in the French market ($USD3.65M).

Compensation vs Earnings: Daniel's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: TEP's management team is considered experienced (4.9 years average tenure).


Board Members

Experienced Board: TEP's board of directors are seasoned and experienced ( 11 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 25 shareholders own 39.18% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
9.03%
BlackRock, Inc.
5,332,000€1.4b0%0.03%
5.46%
FMR LLC
3,227,200€839.1m0%0.08%
3.57%
T. Rowe Price Group, Inc.
2,110,400€548.7m0%0.06%
3.45%
The Vanguard Group, Inc.
2,038,300€530.0m0%0.01%
2.35%
Comgest S.A.
1,390,000€361.4m0%1.71%
1.95%
Daniel Julien
1,150,314€299.1m0%no data
1.66%
Norges Bank Investment Management
979,900€254.8m0%0.03%
1.07%
Capital Research and Management Company
629,971€163.8m-0.01%0.01%
1.02%
Amundi Asset Management
603,565€156.9m-5.58%0.05%
0.93%
Natixis Investment Managers International
547,514€142.4m29.03%0.56%
0.81%
Teachers Insurance and Annuity Association-College Retirement Equities Fund
479,569€124.7m-7.24%0.04%
0.8%
Groupama Asset Management
472,465€122.8m0%2.24%
0.72%
CM-CIC Asset Management Société anonyme
426,258€110.8m0%1.95%
0.67%
Deutsche Asset & Wealth Management
392,928€102.2m0%0.04%
0.61%
UBS Asset Management
361,610€94.0m0.55%0.02%
0.59%
Candriam Luxembourg S.A.
347,255€90.3m-5.63%0.31%
0.57%
Union Asset Management Holding AG
336,034€87.4m0.15%0.1%
0.56%
DNCA Finance
333,701€86.8m-13.39%1.02%
0.55%
Geode Capital Management, LLC
325,679€84.7m-0.21%0.01%
0.5%
Dimensional Fund Advisors LP
297,814€77.4m4.1%0.02%
0.47%
ClearBridge Investments, LLC
280,099€72.8m8.44%0.06%
0.46%
abrdn plc
273,943€71.2m-0.04%0.07%
0.46%
BLI - Banque De Luxembourg Investments S.A.
272,912€71.0m0.05%0.82%
0.46%
HSBC Global Asset Management (UK) Limited
270,924€70.4m-0.12%0.06%
0.44%
Vontobel Asset Management, Inc.
262,200€68.2m-4.7%0.23%

Company Information

Teleperformance SE's employee growth, exchange listings and data sources


Key Information

  • Name: Teleperformance SE
  • Ticker: TEP
  • Exchange: ENXTPA
  • Founded: 1910
  • Industry: Research and Consulting Services
  • Sector: Commercial Services
  • Implied Market Cap: €15.359b
  • Shares outstanding: 59.07m
  • Website: https://www.teleperformance.com

Number of Employees


Location

  • Teleperformance SE
  • 21/25 rue Balzac
  • Paris
  • Ile-de-France
  • 75008
  • France


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TEPENXTPA (Euronext Paris)YesCommon SharesFREURJan 1992
RCFDB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1992
0J6XLSE (London Stock Exchange)YesCommon SharesGBEURJan 1992
TLPF.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJan 1992
TEPPBATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBEURJan 1992
TEPWBAG (Wiener Boerse AG)YesCommon SharesATEURJan 1992
TEP NBMV (Bolsa Mexicana de Valores)YesCommon SharesMXMXNJan 1992
RFCETLX (Eurotlx)YesCommon SharesITEURJan 1992
TLPF.YOTCPK (Pink Sheets LLC)UNSP ADR EACH REPR 0.5 ORDUSUSDDec 2008
RCF0DB (Deutsche Boerse AG)UNSP ADR EACH REPR 0.5 ORDDEEURDec 2008

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/24 00:00
End of Day Share Price2022/09/23 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.