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Telecom Argentina

DB:TEO
Snowflake Description

Reasonable growth potential and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TEO
DB
ARS308B
Market Cap
  1. Home
  2. DE
  3. Telecom
Company description

Telecom Argentina S.A., together with its subsidiaries, provides telecommunications services in Argentina and internationally. The last earnings update was 17 days ago. More info.


Add to Portfolio Compare Print
  • Telecom Argentina has significant price volatility in the past 3 months.
TEO Share Price and Events
7 Day Returns
0.7%
DB:TEO
3.7%
DE Telecom
14.8%
DE Market
1 Year Returns
-42.2%
DB:TEO
-22.7%
DE Telecom
-14.1%
DE Market
TEO Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Telecom Argentina (TEO) 0.7% -28.8% -29.5% -42.2% - -
DE Telecom 3.7% -22.8% -18.2% -22.7% -31.2% -35.3%
DE Market 14.8% -20% -23.5% -14.1% -22.8% -26.7%
1 Year Return vs Industry and Market
  • TEO underperformed the Telecom industry which returned -22.7% over the past year.
  • TEO underperformed the Market in Germany which returned -14.1% over the past year.
Price Volatility
TEO
Industry
5yr Volatility vs Market

TEO Value

 Is Telecom Argentina 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 Telecom Argentina 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 Telecom Argentina.

DB:TEO Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 6 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.5%
Perpetual Growth Rate 10-Year DE Government Bond Rate -0.4%

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 DB:TEO
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate -0.4%
Equity Risk Premium S&P Global 12.4%
Telecom Unlevered Beta Simply Wall St/ S&P Global 0.36
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.359 (1 + (1- 30%) (51.38%))
0.657
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)
= -0.39% + (0.8 * 12.41%)
9.54%

Discounted Cash Flow Calculation for DB:TEO using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Telecom Argentina 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.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:TEO DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (ARS, Millions) Source Present Value
Discounted (@ 9.54%)
2020 10,327.97 Analyst x2 9,428.66
2021 7,137.98 Analyst x2 5,949.03
2022 20,687.52 Analyst x2 15,740.34
2023 81,107.71 Analyst x1 56,338.19
2024 105,237.89 Analyst x1 66,734.14
2025 122,629.34 Est @ 16.53% 70,991.37
2026 136,671.74 Est @ 11.45% 72,231.24
2027 147,467.12 Est @ 7.9% 71,150.30
2028 155,448.24 Est @ 5.41% 68,470.35
2029 161,155.52 Est @ 3.67% 64,803.30
Present value of next 10 years cash flows ARS501,836.00
DB:TEO DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= ARS161,155.52 × (1 + -0.39%) ÷ (9.54% – -0.39%)
ARS1,616,911.89
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ARS1,616,911.89 ÷ (1 + 9.54%)10
ARS650,187.00
DB:TEO Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ARS501,836.00 + ARS650,187.00
ARS1,152,023.00
Equity Value per Share
(ARS)
= Total value / Shares Outstanding
= ARS1,152,023.00 / 2,153.69
ARS534.91
DB:TEO Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:TEO represents 0.05248x of BASE:TECO2
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.05248x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (ARS) x Listing Adjustment Factor
= ARS 534.91 x 0.05248
€28.07
Value per share (EUR) From above. €28.07
Current discount Discount to share price of €7.40
= -1 x (€7.40 - €28.07) / €28.07
73.6%

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

Current Discount
Amount off the current price Telecom Argentina is available for.
Intrinsic value
>50%
Share price is €7.4 vs Future cash flow value of €28.07
Current Discount Checks
For Telecom Argentina to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Telecom Argentina's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Telecom Argentina'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 Telecom Argentina's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Telecom Argentina's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:TEO PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in ARS ARS-2.04
BASE:TECO2 Share Price ** BASE (2020-03-27) in ARS ARS141
Europe Telecom Industry PE Ratio Median Figure of 61 Publicly-Listed Telecom Companies 17.13x
Germany Market PE Ratio Median Figure of 398 Publicly-Listed Companies 16.62x

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

** Primary Listing of Telecom Argentina.

DB:TEO PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BASE:TECO2 Share Price ÷ EPS (both in ARS)

= 141 ÷ -2.04

-69.08x

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

  • Telecom Argentina is loss making, we can't compare its value to the Europe Telecom industry average.
  • Telecom Argentina is loss making, we can't compare the value of its earnings to the Germany market.
Price based on expected Growth
Does Telecom Argentina's expected growth come at a high price?
Raw Data
DB:TEO PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -69.08x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts
48.9%per year
Europe Telecom Industry PEG Ratio Median Figure of 33 Publicly-Listed Telecom Companies 1.35x
Germany Market PEG Ratio Median Figure of 251 Publicly-Listed Companies 1.24x

*Line of best fit is calculated by linear regression .

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

  • Unable to calculate PEG ratio for Telecom Argentina, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Telecom Argentina's assets?
Raw Data
DB:TEO PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in ARS ARS141.65
BASE:TECO2 Share Price * BASE (2020-03-27) in ARS ARS141
Germany Telecom Industry PB Ratio Median Figure of 7 Publicly-Listed Telecom Companies 1.12x
Germany Market PB Ratio Median Figure of 572 Publicly-Listed Companies 1.43x
DB:TEO PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BASE:TECO2 Share Price ÷ Book Value per Share (both in ARS)

= 141 ÷ 141.65

1x

* Primary Listing of Telecom Argentina.

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

  • Telecom Argentina is good value based on assets compared to the DE Telecom industry average.
X
Value checks
We assess Telecom Argentina'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. Telecom Argentina has a total score of 3/6, 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.

TEO Future Performance

 How is Telecom Argentina expected to perform in the next 1 to 3 years based on estimates from 6 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
48.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Telecom Argentina expected to grow at an attractive rate?
  • Telecom Argentina's earnings growth is expected to exceed the low risk savings rate of -0.4%.
Growth vs Market Checks
  • Telecom Argentina's earnings growth is expected to exceed the Germany market average.
  • Telecom Argentina's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:TEO Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:TEO Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts 48.9%
DB:TEO Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 6 Analysts 15.6%
Germany Telecom Industry Earnings Growth Rate Market Cap Weighted Average 19.2%
Germany Telecom Industry Revenue Growth Rate Market Cap Weighted Average 1.5%
Germany Market Earnings Growth Rate Market Cap Weighted Average 14.7%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4%

*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
DB:TEO Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
All numbers in ARS Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:TEO Future Estimates Data
Date (Data in ARS Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-12-31 581,398 91,846 1
2023-12-31 507,365 73,085 1
2022-12-31 324,241 51,482 2
2021-12-31 320,432 60,328 16,614 6
2020-12-31 254,119 62,267 -4,485 4
2020-03-27
DB:TEO Past Financials Data
Date (Data in ARS Millions) Revenue Cash Flow Net Income *
2019-12-31 237,024 81,933 -4,396
2019-09-30 149,847 59,188 4,111
2019-06-30 154,185 50,992 9,000
2019-03-31 163,233 43,387 -5,804
2018-12-31 258,518 51,699 8,145
2018-09-30 214,769 52,158 -6,530
2018-06-30 167,870 43,315 10,310
2018-03-31 110,550 33,725 20,305
2017-12-31 102,531 35,096 14,969
2017-09-30 38,112 13,074 5,345
2017-06-30 35,562 12,517 5,122
2017-03-31 32,936 11,286 4,729

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Telecom Argentina's earnings are expected to grow significantly at over 20% yearly.
  • Telecom Argentina's revenue is expected to grow by 15.6% 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
DB:TEO 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 6 Analyst Estimates (S&P Global) See Below

All data from Telecom Argentina Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:TEO Future Estimates Data
Date (Data in ARS Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-12-31
2023-12-31
2022-12-31
2021-12-31 10.65 10.65 10.65 1.00
2020-12-31 -2.08 -2.08 -2.08 1.00
2020-03-27
DB:TEO Past Financials Data
Date (Data in ARS Millions) EPS *
2019-12-31 -2.04
2019-09-30 1.91
2019-06-30 4.18
2019-03-31 -2.70
2018-12-31 3.78
2018-09-30 -3.42
2018-06-30 6.18
2018-03-31 11.78
2017-12-31 12.64
2017-09-30 44,544.41
2017-06-30 42,680.72
2017-03-31 39,404.87

*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.
  • Telecom Argentina is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Telecom Argentina'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 Germany market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Germany 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.
Telecom Argentina has a total score of 4/6, 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.

TEO Past Performance

  How has Telecom Argentina 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 Telecom Argentina'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.
  • Telecom Argentina does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
  • Unable to compare Telecom Argentina's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Telecom Argentina's 1-year growth to the Europe Telecom industry average as it is not currently profitable.
Earnings and Revenue History
Telecom Argentina'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 Telecom Argentina Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:TEO Past Revenue, Cash Flow and Net Income Data
Date (Data in ARS Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 237,024.00 -4,396.00 21,077.00
2019-09-30 149,847.00 4,111.00 13,847.00
2019-06-30 154,185.00 9,000.00 14,139.00
2019-03-31 163,233.00 -5,804.00 15,479.00
2018-12-31 258,518.00 8,145.00 22,782.00
2018-09-30 214,769.00 -6,530.00 17,689.00
2018-06-30 167,870.00 10,310.00 13,472.00
2018-03-31 110,550.00 20,305.00 15,774.00
2017-12-31 102,531.00 14,969.00 7,064.00
2017-09-30 38,111.82 5,345.33 4,241.47
2017-06-30 35,561.52 5,121.69 5,612.72
2017-03-31 32,935.71 4,728.58 8,443.45
2016-12-31 60,405.00 10,457.00 4,205.00
2016-09-30 27,739.16 3,251.71 7,364.55
2016-06-30 25,136.36 2,958.21 6,567.18
2016-03-31 22,634.74 2,829.50 5,868.53
2015-12-31 20,125.36 2,473.37 5,152.88
2015-09-30 18,667.12 2,952.58 4,466.15
2015-06-30 17,066.44 2,566.83 4,094.43
2015-03-31 15,797.12 2,143.15 3,835.25
2014-12-31 14,226.13 1,287.19 3,530.42
2014-09-30 12,913.33 995.23 3,250.43
2014-06-30 11,663.21 746.81 3,002.15
2014-03-31 10,556.79 545.09 2,748.10
2013-12-31 9,749.11 710.58 2,596.22
2013-09-30 9,109.66 290.02 2,443.33
2013-06-30 8,514.70 231.92 2,261.57
2013-03-31 8,042.83 293.86 2,085.16

*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.
  • It is difficult to establish if Telecom Argentina has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • Telecom Argentina used its assets less efficiently than the Europe Telecom industry average last year based on Return on Assets.
  • It is difficult to establish if Telecom Argentina improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Telecom Argentina'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.
Telecom Argentina has a total score of 0/6, 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.

TEO Health

 How is Telecom Argentina'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 Telecom Argentina's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Telecom Argentina's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Telecom Argentina's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Telecom Argentina'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 0.3x 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 Telecom Argentina Company Filings, last reported 2 months ago.

DB:TEO Past Debt and Equity Data
Date (Data in ARS Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 309,846.00 151,996.00 26,011.00
2019-09-30 286,149.00 146,230.00 38,805.00
2019-06-30 277,708.00 98,374.00 20,102.00
2019-03-31 256,731.00 91,357.00 15,376.00
2018-12-31 352,150.00 122,012.00 12,710.00
2018-09-30 110,931.00 90,880.00 16,351.00
2018-06-30 122,179.00 64,091.00 11,263.00
2018-03-31 129,252.00 45,866.00 10,911.00
2017-12-31 55,028.00 16,009.00 6,679.00
2017-09-30 14,783.70 10,426.89 3,339.12
2017-06-30 13,258.79 9,989.90 1,838.06
2017-03-31 11,894.65 9,460.81 3,323.02
2016-12-31 11,707.58 9,558.54 3,248.85
2016-09-30 10,734.65 9,429.18 3,296.63
2016-06-30 9,368.49 10,217.41 4,446.32
2016-03-31 9,970.25 7,173.97 4,618.30
2015-12-31 8,726.27 6,621.17 2,688.61
2015-09-30 8,392.47 4,908.07 2,189.83
2015-06-30 7,438.46 4,922.32 3,367.64
2015-03-31 7,145.41 4,700.65 3,148.28
2014-12-31 6,506.28 4,106.97 1,991.51
2014-09-30 6,080.99 4,011.76 1,734.28
2014-06-30 5,392.70 4,199.90 1,526.15
2014-03-31 5,370.36 4,015.12 1,178.82
2013-12-31 5,222.81 3,555.21 1,067.37
2013-09-30 4,836.47 3,163.63 765.10
2013-06-30 4,501.70 3,081.10 644.96
2013-03-31 4,704.96 2,880.55 851.20
  • Telecom Argentina's level of debt (49.1%) 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 (63.2% vs 49.1% today).
  • Debt is well covered by operating cash flow (53.9%, greater than 20% of total debt).
  • Telecom Argentina is making a loss, therefore interest payments are not well covered by earnings.
X
Financial health checks
We assess Telecom Argentina'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. Telecom Argentina has a total score of 2/6, 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.

TEO Dividends

 What is Telecom Argentina'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
2.07%
Current annual income from Telecom Argentina dividends.
If you bought €2,000 of Telecom Argentina shares you are expected to receive €41 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?
  • Telecom Argentina's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.66%).
  • Telecom Argentina's dividend is below the markets top 25% of dividend payers in Germany (4.86%).
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
DB:TEO 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 6 Analyst Estimates (S&P Global) See Below
Germany Telecom Industry Average Dividend Yield Market Cap Weighted Average of 5 Stocks 5.1%
Germany Market Average Dividend Yield Market Cap Weighted Average of 319 Stocks 3.7%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.9%
Germany Bottom 25% Dividend Yield 25th Percentile 1.7%
Germany Top 25% Dividend Yield 75th Percentile 4.9%

Industry and Market average data is calculated daily.

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

DB:TEO Future Dividends Estimate Data
Date (Data in ARS) Dividend per Share (annual) Avg. No. Analysts
2024-12-31
2023-12-31
2022-12-31
2021-12-31
2020-12-31
2020-03-27
DB:TEO Past Annualized Dividends Data
Date (Data in ARS) Dividend per share (annual) Avg. Yield (%)
2019-04-25 2.925 1.975

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

  • It is too early to tell whether Telecom Argentina has stable dividend payments.
  • Telecom Argentina only just started paying a dividend, it is too early to tell if payments are increasing.
Current Payout to shareholders
What portion of Telecom Argentina's earnings are paid to the shareholders as a dividend.
  • The company is paying a dividend however it is incurring a loss.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Telecom Argentina's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - 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 Telecom Argentina afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Telecom Argentina has a total score of 1/6, see the detailed checks below.


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

TEO Management

 What is the CEO of Telecom Argentina'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
Roberto Daniel Nóbile
AGE 52
TENURE AS CEO 0.2 years
CEO Bio

Mr. Roberto Daniel Nóbile is Chief Executive Officer at Telecom Argentina S.A since January 1, 2020. Mr. Nóbile served as Deputy Director General of Telecom Argentina S.A since November 16, 2017 until January 1, 2020. Mr. Nóbile served as Chief Operating Officer at Telecom Argentina S.A. since May 12, 2016. Mr. Nóbile served as General Sub-Manager at Cablevisión S.A. and served as its Chief Operating Officer and Assistant General Manager. Before this, he served as Chief Financial Officer of AGEA, since December 1999. Prior to that, he served as Administration Manager at AGEA. He worked for six years at Pistrelli, Diaz y Asociados, an Arthur Andersen affiliate, where he served as Manager of the Audit and Commercial Advisory Division. He then worked as Financial and Administration Manager of Honeywell of Argentina S.A.I.C. and later as Controller for the Southern Region (Brazil, Argentina and Chile) thereof. He was appointed as General Sub - Director of the Company on November 27, 2017. In October 2006, he joined Cablevisión S.A., where he worked for 10 years, as COO and Deputy Managing Director. He joined Arthur Andersen in 1989. Subsequently, he worked at Honeywell as South Regional Controller (Brazil, Argentina and Chile). In 1997, he was CFO of Grupo Clarín. He holds a CPA and a Master's Degree in Financial Management. He is an accountant with a degree from the Universidad de Buenos Aires and an AMP (Advanced Management Program) at Harvard Business School.

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

Average tenure and age of the Telecom Argentina management team in years:

2.3
Average Tenure
53
Average Age
  • The tenure for the Telecom Argentina management team is about average.
Management Team

Roberto Daniel Nóbile

TITLE
Chief Executive Officer
AGE
52
TENURE
0.2 yrs

Gabriel Blasi

TITLE
Chief Financial Officer
AGE
59
TENURE
2.5 yrs

Gonzalo Hita

TITLE
Chief Operating Officer
AGE
49
TENURE
2.3 yrs

Miguel Angel Fernández

TITLE
Chief Technology Officer
AGE
56
TENURE
2.3 yrs

Pablo Esses

TITLE
Chief Information Officer
AGE
52
TENURE
1.8 yrs

Solange Barthe Dennin

TITLE
Investor Relations Manager

Pablo César Casey

TITLE
Director of Legal & Institutional
AGE
52
TENURE
2.3 yrs

Alejandro Miralles

TITLE
Chief Audit & Compliance Officer
AGE
56
TENURE
2.3 yrs

Pedro L. Lopez Matheu

TITLE
Director of Government Relations
AGE
53
TENURE
3.8 yrs

Sergio D. Faraudo

TITLE
Director of Human Capital
AGE
55
TENURE
2.3 yrs
Board of Directors Tenure

Average tenure and age of the Telecom Argentina board of directors in years:

2.2
Average Tenure
53
Average Age
  • The average tenure for the Telecom Argentina board of directors is less than 3 years, this suggests a new board.
Board of Directors

Alejandro Alberto Urricelqui

TITLE
Chairman of the Board
AGE
60
TENURE
2.2 yrs

Mariano Marcelo Ibáñez

TITLE
Vice Chairman
AGE
60

Carlos Alberto Moltini

TITLE
CEO & Non Independent Director
AGE
59
TENURE
0.2 yrs

Luca Luciani

TITLE
Director
AGE
52
TENURE
2.2 yrs

Carlos Harrison

TITLE
Independent Director
AGE
56
TENURE
4 yrs

Sebastian Bardengo

TITLE
Director
AGE
53
TENURE
2.2 yrs

Alejo Maxit

TITLE
Director
AGE
45
TENURE
2.9 yrs

María Pía Arce Paniagua

TITLE
Director

Damián Fabio Cassino

TITLE
Director
AGE
50
TENURE
2.2 yrs

Martín Héctor D'Ambrosio

TITLE
Independent Director
AGE
45
TENURE
4 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
16. Apr 19 Buy Fintech Telecom, LLC Company 15. Feb 19 04. Apr 19 8,974,980 €2.85 €25,595,207
X
Management checks
We assess Telecom Argentina'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. Telecom Argentina 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.

TEO News

Simply Wall St News

TEO Company Info

Description

Telecom Argentina S.A., together with its subsidiaries, provides telecommunications services in Argentina and internationally. The company offers telephone services, including local, domestic, and international long-distance telephone services, as well as public telephone services; interconnection services, such as access, termination, and long-distance transport of calls; information and communication technology services comprising datacenter services, and telecommunications consulting and value-added solutions; and call waiting, call forwarding, conference calls, caller ID, voice mail, itemized billing, and maintenance services, as well as sells equipment. It also provides mobile telecommunications services that include voice communications, high-speed mobile Internet content and applications download, mobile multimedia, short message, online streaming, corporate email, social network access, and other services; and sells mobile communication devices that include handsets, Modems mifi and wingles, smart watches under the Personal brand. In addition, the company offers data transmission and Internet services comprising broadband, Internet dedicated lines, private networks, national and international video streaming, transportation of radio and TV signals, and video conferencing services; and programming and other cable television services. The company was formerly known as Cablevisión S.A. and changed its name to Telecom Argentina S.A. in January 2018. Telecom Argentina S.A. was founded in 1979 and is based in Buenos Aires, Argentina. Cablevisión S.A. operates independently of Grupo Clarín S.A. as of August 31, 2017.

Details
Name: Telecom Argentina S.A.
TEO
Exchange: DB
Founded: 1979
ARS4,313,755,369
2,153,688,011
Website: http://hogares.telecom.com.ar
Address: Telecom Argentina S.A.
Alicia Moreau de Justo 50,
Buenos Aires,
Capital Federal, 1107,
Argentina
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BASE TECO2 Class B Shares Buenos Aires Stock Exchange AR ARS 02. Jan 2018
OTCPK TCMF.F Class B Shares Pink Sheets LLC US USD 02. Jan 2018
NYSE TEO ADR EACH REP 5'B'(MGT) New York Stock Exchange US USD 02. Jan 2018
DB TEO ADR EACH REP 5'B'(MGT) Deutsche Boerse AG DE EUR 02. Jan 2018
BMV TEO N ADR EACH REP 5'B'(MGT) Bolsa Mexicana de Valores MX MXN 02. Jan 2018
Number of employees
Current staff
Staff numbers
23,728
Telecom Argentina employees.
Industry
Integrated Telecommunication Services
Telecom
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/03/27 23:52
End of day share price update: 2020/03/27 00:00
Last estimates confirmation: 2020/03/17
Last earnings filing: 2020/03/10
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


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.