OTCPK:MGYT.F

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság

Executive Summary

Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság provides fixed line and mobile telecommunication services for residential and business customers in Hungary. More Details


Snowflake Analysis

Undervalued average dividend payer.


Similar Companies

Share Price & News

How has Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MGYT.F has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

MGYT.F

0.9%

US Telecom

1.0%

US Market


1 Year Return

-5.1%

MGYT.F

-11.2%

US Telecom

13.6%

US Market

Return vs Industry: MGYT.F exceeded the US Telecom industry which returned -8.1% over the past year.

Return vs Market: MGYT.F underperformed the US Market which returned 16.3% over the past year.


Shareholder returns

MGYT.FIndustryMarket
7 Day0%0.9%1.0%
30 Day0%-0.04%-0.4%
90 Dayn/a2.1%8.9%
1 Year-5.1%-5.1%-6.7%-11.2%16.2%13.6%
3 Year-27.4%-27.4%8.0%-7.5%40.2%30.8%
5 Yearn/a32.8%3.0%89.6%68.2%

Price Volatility Vs. Market

How volatile is Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MGYT.F ($1.31) is trading below our estimate of fair value ($3.56)

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


Price To Earnings Ratio

PE vs Industry: MGYT.F is good value based on its PE Ratio (10.9x) compared to the US Telecom industry average (11.9x).

PE vs Market: MGYT.F is good value based on its PE Ratio (10.9x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: MGYT.F's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: MGYT.F is good value based on its PB Ratio (0.6x) compared to the US Telecom industry average (1.3x).


Next Steps

Future Growth

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

-1.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MGYT.F's earnings are forecast to decline over the next 3 years (-1.9% per year).

Earnings vs Market: MGYT.F's earnings are forecast to decline over the next 3 years (-1.9% per year).

High Growth Earnings: MGYT.F's earnings are forecast to decline over the next 3 years.

Revenue vs Market: MGYT.F's revenue (0.6% per year) is forecast to grow slower than the US market (9.6% per year).

High Growth Revenue: MGYT.F's revenue (0.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MGYT.F's Return on Equity is forecast to be low in 3 years time (5.9%).


Next Steps

Past Performance

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

3.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MGYT.F has high quality earnings.

Growing Profit Margin: MGYT.F's current net profit margins (5.1%) are lower than last year (5.7%).


Past Earnings Growth Analysis

Earnings Trend: MGYT.F's earnings have grown by 3.3% per year over the past 5 years.

Accelerating Growth: MGYT.F's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: MGYT.F had negative earnings growth (-10%) over the past year, making it difficult to compare to the Telecom industry average (-12.9%).


Return on Equity

High ROE: MGYT.F's Return on Equity (5.9%) is considered low.


Next Steps

Financial Health

How is Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's financial position?


Financial Position Analysis

Short Term Liabilities: MGYT.F's short term assets (HUF220.3B) do not cover its short term liabilities (HUF337.1B).

Long Term Liabilities: MGYT.F's short term assets (HUF220.3B) do not cover its long term liabilities (HUF339.2B).


Debt to Equity History and Analysis

Debt Level: MGYT.F's debt to equity ratio (62.5%) is considered high.

Reducing Debt: MGYT.F's debt to equity ratio has reduced from 86% to 62.5% over the past 5 years.

Debt Coverage: MGYT.F's debt is well covered by operating cash flow (48.4%).

Interest Coverage: MGYT.F's interest payments on its debt are well covered by EBIT (4.2x coverage).


Balance Sheet


Next Steps

Dividend

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

5.63%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MGYT.F's dividend (5.63%) is higher than the bottom 25% of dividend payers in the US market (1.63%).

High Dividend: MGYT.F's dividend (5.63%) is in the top 25% of dividend payers in the US market (4.6%)


Stability and Growth of Payments

Stable Dividend: MGYT.F's dividend payments have been volatile in the past 10 years.

Growing Dividend: MGYT.F's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (61.5%), MGYT.F's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MGYT.F's dividends in 3 years are forecast to be covered by earnings (75.5% payout ratio).


Next Steps

Management

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

2.2yrs

Average management tenure


CEO

Tibor Rékasi (47 yo)

2.17yrs

Tenure

Mr. Tibor Rékasi has been Chief Executive Officer and Director of Magyar Telekom Plc. d/b/a T-Home since 2013 and July 1, 2018 respectively, and served as its Chief Technology & IT Officer & Chief Commerc ...


Leadership Team

NamePositionTenureCompensationOwnership
Tibor Rékasi
CEO & Director2.17yrsno datano data
Daria Dodonova
CFO & Director0.42yrno datano data
Melinda Modok
Director of Accounting & Taxno datano datano data
Lubor Zatko
Chief Technology & IT Officer0.92yrno datano data
Peter Bauer
Head of Investor Relationsno datano datano data
Szabo Bela
Director of Communication3.33yrsno datano data
Zsuzsanna Friedl
Chief Human Resources Officer3.33yrsno datano data
Zoltán Kaszás
Chief Commercial Officer of Enterprise3.67yrsno datano data
Melinda Szabó
Chief Commercial Officer2.17yrsno datano data
Rudriger Schulcz
Chief Executive Officer of Montenegro Unitno datano datano data
Gabor Fekete
Consultant & Director0.42yrno datano data
Rita Walfisch
Investor Relations Managerno datano datano data

2.2yrs

Average Tenure

48yo

Average Age

Experienced Management: MGYT.F's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Tibor Rékasi
CEO & Director2.17yrsno datano data
Daria Dodonova
CFO & Director0.42yrno datano data
Gabor Fekete
Consultant & Director0.42yrno datano data
Krisztina Dorogházi
Independent Member of Supervisory Board0.67yrno datano data
Frank Odzuck
Director13.83yrsFt4.80mno data
Eva Somorjai-Tamássy
Director1.42yrsno datano data
Ralf Nejedl
Director4.42yrsno datano data
Zsoltné Varga
Member of Supervisory Board12.67yrsFt3.53mno data
Robert Hauber
Chairman of the Board3.42yrsno datano data
Lichnovszky Tamás
Member of Supervisory Board10.42yrsFt3.53mno data
Péter Ratatics
Director1.42yrsno datano data
András Szakonyi
Independent Member of Supervisory Board0.67yrno datano data

1.8yrs

Average Tenure

50.5yo

Average Age

Experienced Board: MGYT.F's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


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

Company Information

Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság
  • Ticker: MGYT.F
  • Exchange: OTCPK
  • Founded: 1991
  • Industry: Integrated Telecommunication Services
  • Sector: Telecom
  • Market Cap: Ft367.037b
  • Listing Market Cap: Ft1.199b
  • Shares outstanding: 1.03b
  • Website: https://www.telekom.hu/about_us

Number of Employees


Location

  • Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság
  • Könyves Kálmán körút 36
  • Budapest
  • 1097
  • Hungary

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MYTA.YOTCPK (Pink Sheets LLC)SPON ADR REP 5 SHS HUF100USUSDNov 1997
MGYADUSE (Dusseldorf Stock Exchange)SPON ADR REP 5 SHS HUF100DEEURNov 1997
MAVDLSE (London Stock Exchange)SPON ADR REP 5 SHS HUF100GBUSDNov 1997
MTELEKOMBUSE (Budapest Stock Exchange)YesSeries A Ordinary SharesHUHUFNov 1997
0NUGLSE (London Stock Exchange)YesSeries A Ordinary SharesGBHUFNov 1997
MGYT.FOTCPK (Pink Sheets LLC)YesSeries A Ordinary SharesUSUSDNov 1997
MGYBDB (Deutsche Boerse AG)YesSeries A Ordinary SharesDEEURNov 1997

Biography

Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság provides fixed line and mobile telecommunication services for residential and business customers in Hungary. The company offers mobile telecomm ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/06 06:48
End of Day Share Price2020/06/09 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.