Market Cap
US$9.4b
Last Updated
2020/04/10 09:04 UTC
Data Sources
Company Financials +
Executive Summary
Tele2 AB (publ), a telecom operator, provides telecommunication services for residential and business customers.
Rewards
Risk Analysis
Dividend of 4.02% is not well covered by earnings or forecast to be in the next 3 years
Snowflake Analysis
Proven track record and slightly overvalued.
Similar Companies
Share Price & News
How has Tele2's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: TLTZ.F has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0%
TLTZ.F
4.3%
US Wireless Telecom
9.4%
US Market
1 Year Return
n/a
TLTZ.F
13.5%
US Wireless Telecom
-6.8%
US Market
Return vs Industry: Insufficient data to determine how TLTZ.F performed against the US Wireless Telecom industry.
Return vs Market: Insufficient data to determine how TLTZ.F performed against the US Market.
Shareholder returns
| TLTZ.F | Industry | Market | |
|---|---|---|---|
| 7 Day | 0% | 4.3% | 9.4% |
| 30 Day | -17.1% | -2.1% | -3.9% |
| 90 Day | n/a | 11.1% | -16.5% |
| 1 Year | n/a | 14.8%13.5% | -4.8%-6.8% |
| 3 Year | 30.4%30.4% | 16.4%12.7% | 23.4%15.2% |
| 5 Year | 4.3%4.3% | 83.8%68.1% | 41.3%25.7% |
Price Volatility Vs. Market
How volatile is Tele2's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is Tele2 undervalued compared to its fair value and its price relative to the market?
34.9%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: TLTZ.F ($12.42) is trading below our estimate of fair value ($18.92)
Significantly Below Fair Value: TLTZ.F is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: TLTZ.F is poor value based on its PE Ratio (38x) compared to the Wireless Telecom industry average (20.4x).
PE vs Market: TLTZ.F is poor value based on its PE Ratio (38x) compared to the US market (13x).
Price to Earnings Growth Ratio
PEG Ratio: TLTZ.F is poor value based on its PEG Ratio (2.5x)
Price to Book Ratio
PB vs Industry: TLTZ.F is overvalued based on its PB Ratio (2.7x) compared to the US Wireless Telecom industry average (1.5x).
Next Steps
Future Growth
How is Tele2 forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?
15.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: TLTZ.F's forecast earnings growth (15.2% per year) is above the savings rate (1.7%).
Earnings vs Market: TLTZ.F's earnings (15.2% per year) are forecast to grow faster than the US market (13.3% per year).
High Growth Earnings: TLTZ.F's earnings are forecast to grow, but not significantly.
Revenue vs Market: TLTZ.F's revenue (0.7% per year) is forecast to grow slower than the US market (7% per year).
High Growth Revenue: TLTZ.F's revenue (0.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: TLTZ.F's Return on Equity is forecast to be low in 3 years time (17.1%).
Next Steps
Past Performance
How has Tele2 performed over the past 5 years?
1.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: TLTZ.F has a large one-off loss of SEK1.1B impacting its December 31 2019 financial results.
Growing Profit Margin: TLTZ.F's current net profit margins (8.9%) are higher than last year (4.5%).
Past Earnings Growth Analysis
Earnings Trend: TLTZ.F's earnings have grown by 1.1% per year over the past 5 years.
Accelerating Growth: TLTZ.F's earnings growth over the past year (154.7%) exceeds its 5-year average (1.1% per year).
Earnings vs Industry: TLTZ.F earnings growth over the past year (154.7%) exceeded the Wireless Telecom industry -10.4%.
Return on Equity
High ROE: TLTZ.F's Return on Equity (7.5%) is considered low.
Next Steps
Financial Health
How is Tele2's financial position?
Financial Position Analysis
Short Term Liabilities: TLTZ.F's short term assets (SEK9.6B) do not cover its short term liabilities (SEK12.9B).
Long Term Liabilities: TLTZ.F's short term assets (SEK9.6B) do not cover its long term liabilities (SEK32.1B).
Debt to Equity History and Analysis
Debt Level: TLTZ.F's debt to equity ratio (73%) is considered high.
Reducing Debt: TLTZ.F's debt to equity ratio has increased from 36.6% to 73% over the past 5 years.
Debt Coverage: TLTZ.F's debt is well covered by operating cash flow (38.3%).
Interest Coverage: TLTZ.F's interest payments on its debt are well covered by EBIT (11.5x coverage).
Balance Sheet
Next Steps
Dividend
What is Tele2's current dividend yield, its reliability and sustainability?
4.06%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: TLTZ.F's dividend (4.02%) is higher than the bottom 25% of dividend payers in the US market (1.93%).
High Dividend: TLTZ.F's dividend (4.02%) is low compared to the top 25% of dividend payers in the US market (5.46%).
Stability and Growth of Payments
Stable Dividend: TLTZ.F's dividend payments have been volatile in the past 10 years.
Growing Dividend: TLTZ.F's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (153%), TLTZ.F's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: TLTZ.F's dividends in 3 years are not forecast to be well covered by earnings (110.1% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.4yrs
Average management tenure
CEO
Anders Nilsson (52yo)
1.42s
Tenure
kr2,700,000
Compensation
Mr. Anders Nilsson has been the President and Chief Executive Officer of Tele2 AB (publ) since November 05, 2018. He has been Chief Executive Officer of NorCell Sweden Holding 2 AB (publ), Com Hem Holding ...
CEO Compensation Analysis
Compensation vs Market: Anders's total compensation ($USD269.32K) is below average for companies of similar size in the US market ($USD7.52M).
Compensation vs Earnings: Insufficient data to compare Anders's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President & CEO | 1.42yrs | kr2.70m | 0.032% SEK3.0m | |
| Executive VP & Group CFO | 1.42yrs | no data | 0.012% SEK1.1m | |
| Executive VP & Chief of Operations | 1.42yrs | no data | 0.0034% SEK321.5k | |
| Head of Investor Relations | 1.25yrs | no data | no data | |
| Executive VP & Group General Counsel | 1.42yrs | no data | 0.0020% SEK184.2k | |
| Head of Corporate Communications | no data | no data | no data | |
| Marketing Director | no data | no data | no data | |
| Executive VP and Chief of People & Change | 1.42yrs | no data | 0.0013% SEK122.2k | |
| Head of Audit | 13.92yrs | no data | no data | |
| Chief Technical Officer of South Macro Region | 5.83yrs | no data | no data |
1.4yrs
Average Tenure
52yo
Average Age
Experienced Management: TLTZ.F's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Independent Board Member | 2.92yrs | kr620.00k | 0.0010% SEK94.9k | |
| Independent Board Member | 1.42yrs | kr342.50k | 0.00042% SEK39.5k | |
| Independent Deputy Chairman | 0.92yr | kr310.00k | 0.0081% SEK764.2k | |
| Board Member | 3.92yrs | kr630.00k | 0.00029% SEK27.3k | |
| Independent Board Member | 1.58yrs | kr456.25k | no data | |
| Independent Chairman | 0.92yr | kr795.00k | 0.00024% SEK22.6k | |
| Board Member | 3.92yrs | kr1.78m | 0.00015% SEK14.1k |
1.6yrs
Average Tenure
54yo
Average Age
Experienced Board: TLTZ.F's board of directors are not considered experienced ( 1.6 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: TLTZ.F insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 29.5%.
Top Shareholders
Company Information
Tele2 AB (publ)'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Tele2 AB (publ)
- Ticker: TLTZ.F
- Exchange: OTCPK
- Founded: 1993
- Industry: Wireless Telecommunication Services
- Sector: Telecom
- Market Cap: kr93.597b
- Listing Market Cap: kr9.399b
- Shares outstanding: 690.34m
- Website: https://www.tele2.com
Number of Employees
Location
- Tele2 AB (publ)
- Skeppsbron 18
- PO Box 2094
- Stockholm
- Stockholm County
- 103 13
- Sweden
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| TLTZ.F | OTCPK (Pink Sheets LLC) | Yes | Class B Shares | US | USD | May 1996 |
| TEL2 A | OM (OMX Nordic Exchange Stockholm) | Class A Shares | SE | SEK | May 1996 | |
| TEL2 B | OM (OMX Nordic Exchange Stockholm) | Yes | Class B Shares | SE | SEK | May 1996 |
| NCYD | DB (Deutsche Boerse AG) | Yes | Class B Shares | DE | EUR | May 1996 |
| 0QE6 | LSE (London Stock Exchange) | Yes | Class B Shares | GB | SEK | May 1996 |
| TEL2BS | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Class B Shares | GB | SEK | May 1996 |
| 0QE5 | LSE (London Stock Exchange) | Class A Shares | GB | SEK | May 1996 | |
| TLTZ.Y | OTCPK (Pink Sheets LLC) | UNSPONSORED ADR | US | USD | Oct 2008 |
Biography
Tele2 AB (publ), a telecom operator, provides telecommunication services for residential and business customers. The company offers mobile voice telephony, handset data, and messaging services, as well as value-added services, such as handset insurance, antivirus, and content services; mobile broadband services; and fixed voice and broadband, TV, and fixed and mobile telephony services. It also provides business-to-business telecommunication services, such as secure and encrypted connections, company-specific mobile network access points, etc.; cloud services comprising voice switching, data center services, business productivity solutions, etc.; and Internet of things solutions, such as connectivity solutions, APN/VPN connections, SIM cards, professional services, and education and training services. It has operations in Sweden, Lithuania, Latvia, Estonia, and Germany. Tele2 AB (publ) was founded in 1993 and is based in Stockholm, Sweden.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/10 09:04 |
| End of Day Share Price | 2020/03/24 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.