We Forecast Telia Will Enter 2024 With Its Dividend Not Covered by Free Cash Flow Generation
During the early 2000s Telia overextended its operations, owning majority or minority
Telia Company AB TELIA
Bulls Say, Bears Say
Bulls
Telia is very strong in Sweden and Norway, where it has high market share. These regions represent around 60% of profits and revenue.
Bears
Telia is a poor capital allocator. It has extended its operations too much and its balance sheet is not optimal, also having exposure to interest-rate changes.
Trading Information
- Previous Close Price
- SEK 32.40
- Day Range
- SEK 32.27–32.81
- 52-Week Range
- SEK 22.54–34.35
- Bid/Ask
- SEK 32.54 / SEK 32.55
- Market Cap
- SEK 127.95 Bil
- Volume/Avg
- 5.6 Mil / 8.9 Mil
Key Statistics
- Price/Earnings (Normalized)
- 22.39
- Price/Sales
- 1.44
- Dividend Yield (Trailing)
- 6.15%
- Dividend Yield (Forward)
- 6.15%
- Total Yield
- 6.15%
Company Profile
Telia is the incumbent telecommunications operator in Sweden but is also present in Norway, Finland, Denmark, and the Baltic countries. In the past five years, Telia has been narrowing its business focus, divesting businesses in Asia and focusing on its core markets. In 2022 Telia had revenue of more than SEK 90 billion, with the majority of it coming from the Nordic markets.
- Sector
- Communication Services
- Industry
- Telecom Services
- Stock Style Box
- Mid Growth
- Total Number of Employees
- 17,790
- Website
- https://www.teliacompany.com
Competitors
Valuation
|
Metric
|
TELIA
|
TELNY
|
TEL2 B
|
|---|---|---|---|
Price/Earnings (Normalized) | 22.39 | 13.02 | 19.51 |
Price/Book Value | 2.42 | 2.94 | 3.94 |
Price/Sales | 1.44 | 2.30 | 2.69 |
Price/Cash Flow | 5.17 | 6.09 | 7.81 |
Price/Earnings
TELIA
TELNY
TEL2 B
Financial Strength
|
Metric
|
TELIA
|
TELNY
|
TEL2 B
|
|---|---|---|---|
Quick Ratio | 0.73 | 0.55 | 0.46 |
Current Ratio | 0.83 | 0.58 | 0.52 |
Interest Coverage | 1.49 | 5.33 | 4.76 |
Quick Ratio
TELIA
TELNY
TEL2 B
Profitability
|
Metric
|
TELIA
|
TELNY
|
TEL2 B
|
|---|---|---|---|
Return on Assets (Normalized) | 0.45% | 4.49% | 5.82% |
Return on Equity (Normalized) | 1.77% | 14.27% | 17.85% |
Return on Invested Capital (Normalized) | 3.00% | 6.58% | 8.81% |
Return on Assets
TELIA
TELNY
TEL2 B
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United States