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Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság

BUSE:MTELEKOM
Snowflake Description

Undervalued average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
MTELEKOM
BUSE
HUF434B
Market Cap
  1. Home
  2. HU
  3. Telecom
Company description

Magyar Telekom Telecommunications Public Limited Company provides fixed line and mobile telecommunication services for public and business customers in Hungary and internationally. The last earnings update was 49 days ago. More info.


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MTELEKOM Share Price and Events
7 Day Returns
-0.7%
BUSE:MTELEKOM
-1.2%
Europe Telecom
-2.3%
HU Market
1 Year Returns
4.7%
BUSE:MTELEKOM
2.2%
Europe Telecom
10.5%
HU Market
MTELEKOM Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság (MTELEKOM) -0.7% 1.5% -10.4% 4.7% -5.7% 21.2%
Europe Telecom -1.2% 1.2% -0.2% 2.2% -6.2% -13.8%
HU Market -2.3% -2.3% -5.8% 10.5% 48.4% 103.1%
1 Year Return vs Industry and Market
  • MTELEKOM outperformed the Telecom industry which returned 2.2% over the past year.
  • MTELEKOM underperformed the Market in Hungary which returned 10.5% over the past year.
Price Volatility
MTELEKOM
Industry
5yr Volatility vs Market

MTELEKOM Value

 Is Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság.

BUSE:MTELEKOM Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 8 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 10.2%
Perpetual Growth Rate 10-Year HU Government Bond Rate 3%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BUSE:MTELEKOM
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year HU Govt Bond Rate 3%
Equity Risk Premium S&P Global 9%
Telecom Unlevered Beta Simply Wall St/ S&P Global 0.33
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.332 (1 + (1- 9%) (97.12%))
0.749
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.96% + (0.8 * 9.02%)
10.18%

Discounted Cash Flow Calculation for BUSE:MTELEKOM using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

BUSE:MTELEKOM DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (HUF, Millions) Source Present Value
Discounted (@ 10.18%)
2019 9,364.33 Analyst x3 8,499.43
2020 75,918.00 Analyst x5 62,541.85
2021 85,024.00 Analyst x2 63,574.15
2022 39,834.50 Analyst x2 27,034.07
2023 76,803.50 Analyst x2 47,309.24
2024 74,188.17 Est @ -3.41% 41,477.51
2025 73,078.56 Est @ -1.5% 37,083.52
2026 72,962.40 Est @ -0.16% 33,604.94
2027 73,529.11 Est @ 0.78% 30,738.05
2028 74,581.84 Est @ 1.43% 28,298.48
Present value of next 10 years cash flows HUF380,161.23
BUSE:MTELEKOM DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= HUF74,581.84 × (1 + 2.96%) ÷ (10.18% – 2.96%)
HUF1,064,155.48
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= HUF1,064,155.48 ÷ (1 + 10.18%)10
HUF403,770.96
BUSE:MTELEKOM Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= HUF380,161.23 + HUF403,770.96
HUF783,932.19
Equity Value per Share
(HUF)
= Total value / Shares Outstanding
= HUF783,932.19 / 1,033.91
HUF758.22
BUSE:MTELEKOM Discount to Share Price
Calculation Result
Value per share (HUF) From above. HUF758.22
Current discount Discount to share price of HUF419.50
= -1 x (HUF419.50 - HUF758.22) / HUF758.22
44.7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság is available for.
Intrinsic value
45%
Share price is HUF419.5 vs Future cash flow value of HUF758.22
Current Discount Checks
For Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BUSE:MTELEKOM PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in HUF HUF36.46
BUSE:MTELEKOM Share Price ** BUSE (2019-06-26) in HUF HUF419.5
Europe Telecom Industry PE Ratio Median Figure of 57 Publicly-Listed Telecom Companies 23.43x
Hungary Market PE Ratio Median Figure of 25 Publicly-Listed Companies 11.69x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság.

BUSE:MTELEKOM PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BUSE:MTELEKOM Share Price ÷ EPS (both in HUF)

= 419.5 ÷ 36.46

11.51x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság is good value based on earnings compared to the Europe Telecom industry average.
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság is good value based on earnings compared to the Hungary market.
Price based on expected Growth
Does Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's expected growth come at a high price?
Raw Data
BUSE:MTELEKOM PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 11.51x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts
-10.1%per year
Europe Telecom Industry PEG Ratio Median Figure of 36 Publicly-Listed Telecom Companies 1.99x

*Line of best fit is calculated by linear regression .

BUSE:MTELEKOM PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 11.51x ÷ -10.1%

-1.14x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's assets?
Raw Data
BUSE:MTELEKOM PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in HUF HUF564.26
BUSE:MTELEKOM Share Price * BUSE (2019-06-26) in HUF HUF419.5
Europe Telecom Industry PB Ratio Median Figure of 75 Publicly-Listed Telecom Companies 1.92x
Hungary Market PB Ratio Median Figure of 28 Publicly-Listed Companies 1.82x
BUSE:MTELEKOM PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BUSE:MTELEKOM Share Price ÷ Book Value per Share (both in HUF)

= 419.5 ÷ 564.26

0.74x

* Primary Listing of Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság is good value based on assets compared to the Europe Telecom industry average.
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Value checks
We assess Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Telecom industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Telecom industry average (and greater than 0)? (1 check)
  5. Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

MTELEKOM Future Performance

 How is Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-10.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság expected to grow at an attractive rate?
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 3%.
Growth vs Market Checks
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's earnings are expected to decrease over the next 1-3 years, this is below the Hungary market average.
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's revenue growth is positive but not above the Hungary market average.
Annual Growth Rates Comparison
Raw Data
BUSE:MTELEKOM Future Growth Rates Data Sources
Data Point Source Value (per year)
BUSE:MTELEKOM Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts -10.1%
BUSE:MTELEKOM Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts 0.6%
Europe Telecom Industry Earnings Growth Rate Market Cap Weighted Average 14.6%
Europe Telecom Industry Revenue Growth Rate Market Cap Weighted Average 1.6%
Hungary Market Earnings Growth Rate Market Cap Weighted Average 5%
Hungary Market Revenue Growth Rate Market Cap Weighted Average 4.2%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BUSE:MTELEKOM Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
All numbers in HUF Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BUSE:MTELEKOM Future Estimates Data
Date (Data in HUF Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 667,913 22,931 3
2022-12-31 666,516 159,175 25,841 3
2021-12-31 665,312 163,622 37,980 6
2020-12-31 662,840 164,954 41,323 7
2019-12-31 651,090 141,794 36,228 8
BUSE:MTELEKOM Past Financials Data
Date (Data in HUF Millions) Revenue Cash Flow Net Income *
2019-03-31 665,434 147,511 37,715
2018-12-31 657,104 159,098 43,318
2018-09-30 643,412 152,776 40,539
2018-06-30 635,108 146,619 45,263
2018-03-31 620,963 139,865 41,839
2017-12-31 610,851 157,388 37,239
2017-09-30 601,266 145,865 52,065
2017-06-30 588,750 154,542 45,566
2017-03-31 576,216 156,196 45,928
2016-12-31 574,035 154,825 51,876
2016-09-30 605,062 153,778 35,717
2016-06-30 620,203 160,188 33,423

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's revenue is expected to grow by 0.6% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
BUSE:MTELEKOM Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below

All data from Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BUSE:MTELEKOM Future Estimates Data
Date (Data in HUF Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31 24.80 24.80 24.80 1.00
2021-12-31 39.96 50.39 25.20 4.00
2020-12-31 39.44 44.87 30.70 4.00
2019-12-31 34.70 34.70 34.70 1.00
BUSE:MTELEKOM Past Financials Data
Date (Data in HUF Millions) EPS *
2019-03-31 36.46
2018-12-31 41.84
2018-09-30 39.11
2018-06-30 43.62
2018-03-31 40.27
2017-12-31 35.80
2017-09-30 50.03
2017-06-30 43.75
2017-03-31 44.09
2016-12-31 49.79
2016-09-30 34.27
2016-06-30 32.06

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

MTELEKOM Past Performance

  How has Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's growth in the last year to its industry (Telecom).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's year on year earnings growth rate has been positive over the past 5 years.
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's 1-year earnings growth is negative, it can't be compared to the Europe Telecom industry average.
Earnings and Revenue History
Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BUSE:MTELEKOM Past Revenue, Cash Flow and Net Income Data
Date (Data in HUF Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 665,434.00 37,715.00 31,851.00
2018-12-31 657,104.00 43,318.00 31,143.00
2018-09-30 643,412.00 40,539.00 32,418.00
2018-06-30 635,108.00 45,263.00 30,068.00
2018-03-31 620,963.00 41,839.00 29,219.00
2017-12-31 610,851.00 37,239.00 29,314.00
2017-09-30 601,266.00 52,065.00 27,319.00
2017-06-30 588,750.00 45,566.00 27,334.00
2017-03-31 576,216.00 45,928.00 27,968.00
2016-12-31 574,035.00 51,876.00 28,955.00
2016-09-30 605,062.00 35,717.00 17,892.00
2016-06-30 620,203.00 33,423.00 25,065.00
2016-03-31 637,711.00 35,261.00 27,356.00
2015-12-31 656,342.00 27,715.00 29,118.00
2015-09-30 638,722.00 25,902.00 24,628.00
2015-06-30 638,220.00 27,226.00 26,063.00
2015-03-31 631,511.00 26,289.00 26,751.00
2014-12-31 626,447.00 28,611.00 28,762.00
2014-09-30 626,924.00 27,324.00 32,422.00
2014-06-30 627,684.00 25,969.00 28,193.00
2014-03-31 632,805.00 26,593.00 22,232.00
2013-12-31 637,521.00 23,460.00 27,035.00
2013-09-30 636,653.00 21,594.00 30,273.00
2013-06-30 628,534.00 27,064.00 29,206.00
2013-03-31 617,089.00 25,536.00 34,709.00
2012-12-31 607,128.00 36,859.00 27,389.00
2012-09-30 601,679.00 -1,851.00 180,960.00
2012-06-30 603,654.00 -3,289.00 159,384.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság used its assets less efficiently than the Europe Telecom industry average last year based on Return on Assets.
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Telecom industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

MTELEKOM Health

 How is Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság Company Filings, last reported 2 months ago.

BUSE:MTELEKOM Past Debt and Equity Data
Date (Data in HUF Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 618,604.00 308,021.00 16,536.00
2018-12-31 614,932.00 287,814.00 11,850.00
2018-09-30 607,869.00 322,772.00 12,815.00
2018-06-30 594,405.00 341,800.00 17,775.00
2018-03-31 606,364.00 332,986.00 14,861.00
2017-12-31 580,073.00 319,029.00 10,012.00
2017-09-30 575,527.00 352,214.00 8,489.00
2017-06-30 556,671.00 369,603.00 12,181.00
2017-03-31 575,628.00 353,320.00 15,007.00
2016-12-31 581,333.00 386,644.00 13,002.00
2016-09-30 559,829.00 410,731.00 12,073.00
2016-06-30 548,803.00 431,446.00 27,340.00
2016-03-31 556,767.00 427,637.00 27,629.00
2015-12-31 544,931.00 429,623.00 27,071.00
2015-09-30 543,406.00 457,659.00 31,962.00
2015-06-30 533,560.00 467,338.00 20,125.00
2015-03-31 520,551.00 478,673.00 32,487.00
2014-12-31 524,398.00 472,754.00 31,870.00
2014-09-30 518,940.00 449,040.00 30,597.00
2014-06-30 506,951.00 402,970.00 28,387.00
2014-03-31 494,135.00 429,998.00 47,664.00
2013-12-31 489,576.00 411,558.00 40,437.00
2013-09-30 489,211.00 376,805.00 40,276.00
2013-06-30 476,226.00 353,693.00 46,127.00
2013-03-31 521,970.00 354,766.00 77,359.00
2012-12-31 522,083.00 333,250.00 55,888.00
2012-09-30 517,613.00 313,924.00 53,905.00
2012-06-30 501,691.00 322,009.00 48,453.00
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's level of debt (68.1%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (86.9% vs 68.1% today).
  • Debt is well covered by operating cash flow (35%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 5.2x coverage).
X
Financial health checks
We assess Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

MTELEKOM Dividends

 What is Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
5.96%
Current annual income from Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság dividends. Estimated to be 6.78% next year.
If you bought HUF2,000 of Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság shares you are expected to receive HUF119 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's pays a higher dividend yield than the bottom 25% of dividend payers in Hungary (2.28%).
  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's dividend is above the markets top 25% of dividend payers in Hungary (5.67%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BUSE:MTELEKOM Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
Europe Telecom Industry Average Dividend Yield Market Cap Weighted Average of 48 Stocks 4.9%
Hungary Market Average Dividend Yield Market Cap Weighted Average of 14 Stocks 3%
Hungary Minimum Threshold Dividend Yield 10th Percentile 1.9%
Hungary Bottom 25% Dividend Yield 25th Percentile 2.3%
Hungary Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BUSE:MTELEKOM Future Dividends Estimate Data
Date (Data in HUF) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 35.00 1.00
2022-12-31 27.50 2.00
2021-12-31 29.81 8.00
2020-12-31 28.31 8.00
2019-12-31 26.65 8.00
BUSE:MTELEKOM Past Annualized Dividends Data
Date (Data in HUF) Dividend per share (annual) Avg. Yield (%)
2019-02-27 25.000 5.607
2019-02-20 25.000 5.361
2018-02-22 25.000 5.860
2017-02-22 25.000 5.264
2016-04-12 15.000 3.217
2015-02-25 0.000 0.000
2014-11-05 0.000 0.000
2014-08-07 0.000 0.000
2014-05-08 0.000 0.000
2014-03-04 0.000 0.000
2013-04-12 50.000 15.623
2012-08-09 50.000 12.346
2012-02-24 50.000 10.449
2010-12-13 50.000 9.332
2010-02-26 74.000 11.141
2009-04-02 74.000 10.849

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have fallen over the past 10 years.
Current Payout to shareholders
What portion of Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.5x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.4x coverage).
X
Income/ dividend checks
We assess Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

MTELEKOM Management

 What is the CEO of Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Tibor Rékasi
AGE 45
TENURE AS CEO 0.9 years
CEO Bio

Mr. Tibor Rékasi has been Chief Executive Officer, Chief Technology & IT Officer and Director of Magyar Telekom Plc. d/b/a T-Home since 2013 and July 1, 2018 respectively, and served as its Chief Commercial Officer of Residential & Chairman of T-Systems Magyarorszag until July 1, 2018. Mr. Rekasi has been the Chief Executive Officer and Chairman of T-Systems Magyarország Zrt since October 1, 2013 and January 10, 2017 respectively. Mr. Rékasi has been the Chief Commercial Officer of Residential at Magyar Telekom Telecommunications Public Limited Company since January 10, 2017. Mr. Rekasi serves as General Manager of IQSYS. He served as the Chief Commercial Officer for Enterprise at Magyar Telekom Telecommunications Public Limited Company since October 1, 2013 until January 10, 2017. Mr. Rekasi served as Chief Sales Officer of T-Systems Magyarország Zrt until October 1, 2013. He joined Magyar Telekom Group on September 15, 2008, as the Managing Director of IQSYS Zrt., a member company of the Services Division, where he served as Sales Director along with directing the entire company. Mr. Rékasi served as Chief Officer of Business Services of Magyar Telekom Telecommunications Public Limited Company from December 2010 to June 1, 2011 and served as its Chief Operating Officer until June 1, 2011. Since December 1, 2010, he served as Head of Magyar Telekom Plc's Business Services Division on an interim basis. He started his career at Integra Kft, as account manager. Since 1997, he served for Unisys Hungary as a relationship manager dealing with financial business partners and then as Director for Customer Relations. In 2000, he joined Cisco Systems Hungary, where first he served as Key Account Manager and then as the Director of the Large Corporations Business Unit. Since February 2007, he served as Managing Director of Cisco Systems Hungary and in this position he was responsible for the coordination of all sales activities in Hungary along with operating management. Mr. Rékasi graduated from the Budapest Foreign Trade College.

CEO Compensation
  • Insufficient data for Tibor to compare compensation growth.
  • Insufficient data for Tibor to establish whether their remuneration is reasonable compared to companies of similar size in .
Management Team Tenure

Average tenure and age of the Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság management team in years:

2.1
Average Tenure
47
Average Age
  • The tenure for the Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság management team is about average.
Management Team

Tibor Rékasi

TITLE
CEO, Chief Technology & IT Officer and Director
AGE
45
TENURE
0.9 yrs

Melinda Szabó

TITLE
Chief Commercial Officer for Residential Services
AGE
47
TENURE
0.9 yrs

János Szabó

TITLE
Chief Financial Officer
AGE
57
TENURE
6.2 yrs

Melinda Modok

TITLE
Director of Accounting & Tax

Peter Bauer

TITLE
Head of Investor Relations

Szabo Bela

TITLE
Director of Communication
TENURE
2.1 yrs

Zsuzsanna Friedl

TITLE
Chief Human Resources Officer
AGE
41
TENURE
2.1 yrs

Zoltán Kaszás

TITLE
Chief Commercial Officer of Enterprise
AGE
50
TENURE
2.4 yrs

Rudriger Schulcz

TITLE
Chief Executive Officer of Montenegro Unit

Rita Walfisch

TITLE
Investor Relations Manager
Board of Directors Tenure

Average tenure and age of the Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság board of directors in years:

2.2
Average Tenure
56
Average Age
  • The average tenure for the Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság board of directors is less than 3 years, this suggests a new board.
Board of Directors

Robert Hauber

TITLE
Chairman of the Board
AGE
47
TENURE
2.2 yrs

Tibor Rékasi

TITLE
CEO, Chief Technology & IT Officer and Director
AGE
45
TENURE
0.9 yrs

László Pap

TITLE
Chairman of Supervisory Board
COMPENSATION
HUF8M
AGE
75

Frank Odzuck

TITLE
Director
COMPENSATION
HUF5M
AGE
59
TENURE
12.6 yrs

Eva Somorjai-Tamássy

TITLE
Director
AGE
52
TENURE
0.2 yrs

Ralf Nejedl

TITLE
Director
AGE
48
TENURE
3.2 yrs

Guido Menzel

TITLE
Director
AGE
57
TENURE
2.2 yrs

Péter Ratatics

TITLE
Director
TENURE
0.2 yrs

János Illéssy

TITLE
Member of Supervisory Board
COMPENSATION
HUF9M
AGE
56
TENURE
12.6 yrs

Sándor Kerekes

TITLE
Member of Supervisory Board
COMPENSATION
HUF6M
AGE
70
TENURE
12.6 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (HUF) Value (HUF)
X
Management checks
We assess Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

MTELEKOM News

Simply Wall St News

Are Investors Undervaluing Magyar Telekom Telecommunications Public Limited Company (BUSE:MTELEKOM) By 45%?

Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. … We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. … Generally we assume that a dollar today is more valuable than a dollar in the future, and so the sum of these future cash flows is then discounted to today's value: 10-year free cash flow (FCF) estimate 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF (HUF, Millions) HUF12.52k HUF75.92k HUF85.02k HUF39.83k HUF76.80k HUF74.19k HUF73.08k HUF72.96k HUF73.53k HUF74.58k Growth Rate Estimate Source Analyst x2 Analyst x5 Analyst x2 Analyst x2 Analyst x2 Est @ -3.41% Est @ -1.5% Est @ -0.16% Est @ 0.78% Est @ 1.43% Present Value (HUF, Millions) Discounted @ 10.18% HUF11.36k HUF62.54k HUF63.57k HUF27.03k HUF47.31k HUF41.48k HUF37.08k HUF33.60k HUF30.74k HUF28.30k Present Value of 10-year Cash Flow (PVCF)= HUF383.02b "Est" = FCF growth rate estimated by Simply Wall St After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage.

Simply Wall St -

Magyar Telekom Telecommunications Public Limited Company (BUSE:MTELEKOM): A Fundamentally Attractive Investment

If you're interested in understanding beyond my broad commentary, take a look at the report on Magyar Telekom Telecommunications here. … BUSE:MTELEKOM Intrinsic value, June 5th 2019 MTELEKOM's high dividend payments make it one of the best dividend stocks on the market, and it has also been able to maintain it at a level in which net income is able to cover dividend payments. … BUSE:MTELEKOM Historical Dividend Yield, June 5th 2019 Next Steps: For Magyar Telekom Telecommunications, there are three relevant factors you should look at: Future Outlook: What are well-informed industry analysts predicting for MTELEKOM’s future growth?

Simply Wall St -

Here's How P/E Ratios Can Help Us Understand Magyar Telekom Telecommunications Public Limited Company (BUSE:MTELEKOM)

Magyar Telekom Telecommunications has a price to earnings ratio of 11.52, based on the last twelve months. … Check out our latest analysis for Magyar Telekom Telecommunications How Do I Calculate Magyar Telekom Telecommunications's Price To Earnings Ratio? … The formula for price to earnings is: Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS) Or for Magyar Telekom Telecommunications: P/E of 11.52 = HUF420 ÷ HUF36.46 (Based on the year to March 2019.) Is A High P/E Ratio Good?

Simply Wall St -

Is Magyar Telekom Telecommunications Public Limited Company's (BUSE:MTELEKOM) Balance Sheet Strong Enough To Weather A Storm?

Moreover, MTELEKOM has produced cash from operations of Ft159b over the same time period, resulting in an operating cash to total debt ratio of 55%, signalling that MTELEKOM’s current level of operating cash is high enough to cover debt. … Looking at MTELEKOM’s Ft341b in current liabilities, it appears that the company arguably has a rather low level of current assets relative its obligations, with the current ratio last standing at 0.68x. … We can check to see whether MTELEKOM is able to meet its debt obligations by looking at the net interest coverage ratio.

Simply Wall St -

Does Magyar Telekom Telecommunications Public Limited Company (BUSE:MTELEKOM) Create Value For Shareholders?

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Understanding Return On Capital Employed (ROCE). … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

What Does Magyar Telekom Telecommunications Public Limited Company's (BUSE:MTELEKOM) Balance Sheet Tell Us About It?

However, an important fact which most ignore is: how financially healthy is the business? … Understanding the company's financial health becomes. … The following basic checks can help you get a picture of the company's balance sheet strength.

Simply Wall St -

What Should We Expect From Magyar Telekom Telecommunications Public Limited Company's (BUSE:MTELEKOM) Earnings In The Next Couple Of Years?

Magyar Telekom Telecommunications Public Limited Company's (BUSE:MTELEKOM) announced its latest earnings update in December 2018, whicha

Simply Wall St -

One Factor To Consider Before Investing In Magyar Telekom Telecommunications Public Limited Company (BUSE:MTELEKOM)

If you are currently a shareholder in Magyar Telekom Telecommunications Public Limited Company (BUSE:MTELEKOM), or considering investing in the stock, you need to examine how the business generates cash, and how it is reinvested. … I’ve analysed below, the health and outlook of Magyar Telekom Telecommunications’s cash flow, which will help you understand the stock from a cash standpoint. … Magyar Telekom Telecommunications’s free cash flow (FCF) is the level of cash flow the business generates from its operational activities, after it reinvests in the company as capital expenditure.

Simply Wall St -

The Magyar Telekom Telecommunications (BUSE:MTELEKOM) Share Price Is Up 51% And Shareholders Are Holding On

But Magyar Telekom Telecommunications Public Limited Company (BUSE:MTELEKOM) has fallen short of that second goal, with a share price rise of 51% over five years, which is below the market return. … While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. … During five years of share price growth, Magyar Telekom Telecommunications achieved compound earnings per share (EPS) growth of 13% per year.

Simply Wall St -

Did Magyar Telekom Telecommunications Public Limited Company's (BUSE:MTELEKOM) Recent Earnings Growth Beat The Trend?

When Magyar Telekom Telecommunications Public Limited Company's (BUSE:MTELEKOM) announced its latest earnings (31 December 2018), I wanted to understand how these figures stacked up against its past performance. … The two benchmarks I used were Magyar Telekom Telecommunications's average earnings over the past couple of years, and its industry performance. … Furthermore, this one-year growth rate has exceeded its 5-year annual growth average of 14%, indicating the rate at which MTELEKOM is growing has accelerated

Simply Wall St -

MTELEKOM Company Info

Description

Magyar Telekom Telecommunications Public Limited Company provides fixed line and mobile telecommunication services for public and business customers in Hungary and internationally. The company’s mobile services include voice and non-voice mobile services, such as SMS, MMS, Internet, data, and content; and fixed line services comprise voice, data, Internet, and TV services. It also sells equipment for using fixed line and mobile services, including telephones, tablets, notebooks, TV sets, etc. In addition, the company provides fixed line wholesale services comprising leased line and IP, wholesale bit stream access and local loop unbundling services, wholesale voice and associated network access and other commercial services, and wholesale products designed for the retail services of CATV companies and individual solutions; mobile wholesale services, such as mobile interconnect and interworking products, and roaming services; and international wholesale voice and data services, as well as offers IPv6 dual-stack services to its residential customers. Further, it offers Internet Exchange (MT-IX), a physical infrastructure to facilitate the exchange of Internet traffic among the members of the MT-IX in various autonomous systems; and system integration and IT services. Additionally, the company provides electricity and natural gas services. The company was founded in 1991 and is headquartered in Budapest, Hungary. Magyar Telekom Telecommunications PLC is a subsidiary of Deutsche Telekom Europe B.V.

Details
Name: Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság
MTELEKOM
Exchange: BUSE
Founded: 1991
HUF433,723,648,802
1,033,906,195
Website: http://www.telekom.hu
Address: Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság
Könyves Kálmán körút 36,
Budapest,
1097,
Hungary
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BUSE MTELEKOM Series A Ordinary Shares Budapest Stock Exchange HU HUF 27. Nov 1997
OTCPK MGYT.F Series A Ordinary Shares Pink Sheets LLC US USD 27. Nov 1997
DB MGYB Series A Ordinary Shares Deutsche Boerse AG DE EUR 27. Nov 1997
LSE 0NUG Series A Ordinary Shares London Stock Exchange GB HUF 27. Nov 1997
OTCPK MYTA.Y SPON ADR REP 5 SHS HUF100 Pink Sheets LLC US USD 14. Nov 1997
DUSE MGYA SPON ADR REP 5 SHS HUF100 Dusseldorf Stock Exchange DE EUR 14. Nov 1997
LSE MAVD SPON ADR REP 5 SHS HUF100 London Stock Exchange GB USD 14. Nov 1997
Number of employees
Current staff
Staff numbers
8,507
Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság employees.
Industry
Integrated Telecommunication Services
Telecom
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/26 20:44
End of day share price update: 2019/06/26 00:00
Last estimates confirmation: 2019/06/18
Last earnings filing: 2019/05/08
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.