Is Kyivstar Group Still a Bargain After Recent Market Volatility in 2025?

If you’ve been watching Kyivstar Group stock lately, you know it is a bit of a conversation starter. With a closing price of $10.95 and a small gain of 1.0% over the past week, investors are left wondering if this is just a blip or the first sign of real momentum. If we look a little further back, there was a 4.9% dip in the past month, but the year-to-date return stands at a solid 9.5%. This makes it one of those stocks that keeps people guessing.

There’s some buzz swirling in the market about changes in risk perception around Kyivstar Group, likely tied to recent regional developments impacting telecom operators in Eastern Europe. While none of this news has directly moved the needle in a dramatic way, it seems to have made investors more aware of the company’s growth potential and the volatility that can come from uncertainty in this part of the world.

Now, if you are the type of investor who leans on numbers, I've got something for you: our valuation scorecard gives Kyivstar Group a 4 out of 6. In plain terms, it ticks the box for being undervalued in four key checks. That is a strong result compared to peers in the sector, and it makes the stock worth a closer look for value seekers.

So, what do all these valuation checks really mean? Is traditional analysis enough, or is there an even smarter way to gauge value? Let’s break down the major valuation approaches. Then, stick around, because there is a fresh perspective that could make your investment decision a whole lot clearer.

Kyivstar Group delivered 0.0% returns over the last year. See how this stacks up to the rest of the Wireless Telecom industry.

Approach 1: Kyivstar Group Discounted Cash Flow (DCF) Analysis

The Discounted Cash Flow (DCF) model is widely used to estimate a company’s true worth by projecting future cash flows and then discounting those figures back to today’s value. This approach aims to capture the intrinsic value of a company based on its ability to generate cash over time, making it a cornerstone of value investing analysis.

For Kyivstar Group, the latest twelve-month Free Cash Flow stands at $271.2 million. Analysts provide forecasts through 2029, with Free Cash Flow expected to steadily rise each year, reaching $304 million by the end of that period. Beyond 2029, projections continue with extrapolated figures based on modest annual growth. This reflects a balanced view between optimism and realistic sector dynamics. All projections here are expressed in US dollars, matching the listing currency for easy comparison.

After crunching these numbers through a two-stage Free Cash Flow to Equity model, the estimated intrinsic value per share comes in at $30.79. Compared to the current closing price of $10.95, this suggests Kyivstar Group trades at a 64.4% discount to its fair value. This indicates it may be significantly undervalued.

Result: UNDERVALUED

Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Kyivstar Group.

Our Discounted Cash Flow (DCF) analysis suggests Kyivstar Group is undervalued by 64.4%. Track this in your watchlist or portfolio, or discover more undervalued stocks.

Approach 2: Kyivstar Group Price vs Earnings

For companies with consistent profitability, the Price-to-Earnings (PE) ratio is often the go-to tool to judge value. This metric shows how much investors are willing to pay for every dollar of earnings, which makes it a quick way to see if a stock looks cheap, expensive, or somewhere in between compared to others.

A “reasonable” PE ratio depends on several things. Companies expected to grow faster or facing less risk usually command higher PE ratios, since investors are paying for future growth. On the other hand, stocks in riskier sectors or with muted prospects typically see lower PE multiples, reflecting uncertainty or slowdowns ahead. The PE ratio is unique in capturing these trade-offs between reward and risk in a single number.

Kyivstar Group currently trades at a PE ratio of 8.28x. This is noticeably below the wireless telecom industry average of 18.48x and also under the peer group average of 53.33x. At face value, this may suggest a bargain, but comparing multiples directly has its limitations, as every company has different growth rates, risk profiles, and market situations. That is where Simply Wall St’s Fair Ratio comes in. This proprietary metric estimates what the PE should be for Kyivstar Group, taking into account its earnings growth, profit margins, market cap, and sector-specific risks. This approach is more reliable than a simple comparison because it adjusts for nuances unique to the business and its environment.

By weighing the Fair Ratio alongside Kyivstar Group’s current PE, we can get a more refined view of value. In this case, if the gap between the current PE and the Fair Ratio is small, the stock is probably close to fairly valued.

Result: ABOUT RIGHT

PE ratios tell one story, but what if the real opportunity lies elsewhere? Discover companies where insiders are betting big on explosive growth.

Upgrade Your Decision Making: Choose your Kyivstar Group Narrative

Earlier we mentioned there is an even better way to understand valuation. Let’s introduce you to Narratives. A Narrative is simply your story about a company, built around your expectations for its future revenue, earnings, and margins. This leads to your own view of fair value. Narratives connect what you believe about Kyivstar Group’s potential with a clear financial forecast, letting you see exactly how your personal perspective translates into numbers.

On Simply Wall St’s Community page, Narratives are an accessible tool used by millions of investors. They make it easier than ever to create, adjust, and share your take on a stock. Narratives help you decide when to buy or sell by comparing your Fair Value to the current Price, so you are always making informed moves based on what matters most to you. The real advantage is that Narratives are dynamic, automatically updating as new information such as news or earnings is released. This ensures your viewpoint stays relevant in a fast-changing market. For example, within the Community, the highest Narrative for Kyivstar Group sees a much brighter outlook than the lowest, showing just how much perspectives can differ between investors.

Do you think there's more to the story for Kyivstar Group? Create your own Narrative to let the Community know!

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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