DEUTSCHE TELEKOM AG-REG (DTE.DE) Stock Fundamental Analysis
Europe - FRA:DTE - DE0005557508 - Common Stock
28.65 EUR
+0.02 (+0.07%)
Overall DTE gets a fundamental rating of 5 out of 10. We evaluated DTE against 30 industry peers in the Diversified Telecommunication Services industry. DTE scores excellent on profitability, but there are some minor concerns on its financial health. DTE has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year DTE was profitable.
In the past year DTE had a positive cash flow from operations.
DTE had positive earnings in each of the past 5 years.
In the past 5 years DTE always reported a positive cash flow from operatings.
1.2 Ratios
DTE has a better Return On Assets (4.48%) than 63.33% of its industry peers.
DTE has a Return On Equity of 21.39%. This is in the better half of the industry: DTE outperforms 80.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 7.91%, DTE is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
DTE had an Average Return On Invested Capital over the past 3 years of 5.80%. This is below the industry average of 7.83%.
The last Return On Invested Capital (7.91%) for DTE is above the 3 year average (5.80%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.48% | ||
| ROE | 21.39% | ||
| ROIC | 7.91% |
ROA(3y)4.16%
ROA(5y)3.11%
ROE(3y)21.81%
ROE(5y)17.36%
ROIC(3y)5.8%
ROIC(5y)5.16%
1.3 Margins
With a decent Profit Margin value of 10.69%, DTE is doing good in the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Profit Margin of DTE has grown nicely.
The Operating Margin of DTE (22.45%) is better than 73.33% of its industry peers.
DTE's Operating Margin has improved in the last couple of years.
The Gross Margin of DTE (61.51%) is better than 63.33% of its industry peers.
In the last couple of years the Gross Margin of DTE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.45% | ||
| PM (TTM) | 10.69% | ||
| GM | 61.51% |
OM growth 3Y19.59%
OM growth 5Y10.99%
PM growth 3Y35.63%
PM growth 5Y15.06%
GM growth 3Y2.66%
GM growth 5Y1.43%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DTE is creating some value.
Compared to 1 year ago, DTE has less shares outstanding
Compared to 5 years ago, DTE has more shares outstanding
The debt/assets ratio for DTE has been reduced compared to a year ago.
2.2 Solvency
DTE has an Altman-Z score of 1.10. This is a bad value and indicates that DTE is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.10, DTE is in line with its industry, outperforming 46.67% of the companies in the same industry.
DTE has a debt to FCF ratio of 6.53. This is a slightly negative value and a sign of low solvency as DTE would need 6.53 years to pay back of all of its debts.
DTE's Debt to FCF ratio of 6.53 is fine compared to the rest of the industry. DTE outperforms 63.33% of its industry peers.
DTE has a Debt/Equity ratio of 2.08. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of DTE (2.08) is worse than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.08 | ||
| Debt/FCF | 6.53 | ||
| Altman-Z | 1.1 |
ROIC/WACC1.39
WACC5.68%
2.3 Liquidity
DTE has a Current Ratio of 1.12. This is a normal value and indicates that DTE is financially healthy and should not expect problems in meeting its short term obligations.
With an excellent Current ratio value of 1.12, DTE belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
A Quick Ratio of 1.06 indicates that DTE should not have too much problems paying its short term obligations.
DTE has a better Quick ratio (1.06) than 90.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.12 | ||
| Quick Ratio | 1.06 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.28% over the past year.
Measured over the past years, DTE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.65% on average per year.
The Revenue has been growing slightly by 4.06% in the past year.
DTE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.53% yearly.
EPS 1Y (TTM)16.28%
EPS 3Y15.65%
EPS 5Y12.65%
EPS Q2Q%2.62%
Revenue 1Y (TTM)4.06%
Revenue growth 3Y2.47%
Revenue growth 5Y7.53%
Sales Q2Q%0.96%
3.2 Future
Based on estimates for the next years, DTE will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.59% on average per year.
DTE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.03% yearly.
EPS Next Y5.74%
EPS Next 2Y8.89%
EPS Next 3Y9.77%
EPS Next 5Y11.59%
Revenue Next Year1.81%
Revenue Next 2Y2.08%
Revenue Next 3Y2.43%
Revenue Next 5Y3.03%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 14.69, DTE is valued correctly.
Based on the Price/Earnings ratio, DTE is valued a bit cheaper than 70.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.32, DTE is valued a bit cheaper.
The Price/Forward Earnings ratio is 12.80, which indicates a correct valuation of DTE.
DTE's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of DTE to the average of the S&P500 Index (22.89), we can say DTE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.69 | ||
| Fwd PE | 12.8 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DTE is valued a bit cheaper than the industry average as 63.33% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, DTE is valued a bit cheaper than 76.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.65 | ||
| EV/EBITDA | 5.15 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of DTE may justify a higher PE ratio.
PEG (NY)2.56
PEG (5Y)1.16
EPS Next 2Y8.89%
EPS Next 3Y9.77%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.08%, DTE has a reasonable but not impressive dividend return.
DTE's Dividend Yield is comparable with the industry average which is at 208786.82.
Compared to an average S&P500 Dividend Yield of 2.38, DTE pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
5.2 History
On average, the dividend of DTE grows each year by 8.56%, which is quite nice.
Dividend Growth(5Y)8.56%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
50.54% of the earnings are spent on dividend by DTE. This is a bit on the high side, but may be sustainable.
DTE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP50.54%
EPS Next 2Y8.89%
EPS Next 3Y9.77%
FRA:DTE (9/26/2025, 7:00:00 PM)
28.65
+0.02 (+0.07%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners32.63%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap140.53B
Analysts82.31
Price Target38.31 (33.72%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
Yearly Dividend1.13
Dividend Growth(5Y)8.56%
DP50.54%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.48%
Min EPS beat(2)3.97%
Max EPS beat(2)7%
EPS beat(4)3
Avg EPS beat(4)4.48%
Min EPS beat(4)-3.25%
Max EPS beat(4)10.21%
EPS beat(8)5
Avg EPS beat(8)3.04%
EPS beat(12)8
Avg EPS beat(12)14.9%
EPS beat(16)10
Avg EPS beat(16)16.01%
Revenue beat(2)0
Avg Revenue beat(2)-0.96%
Min Revenue beat(2)-1.2%
Max Revenue beat(2)-0.72%
Revenue beat(4)0
Avg Revenue beat(4)-0.69%
Min Revenue beat(4)-1.2%
Max Revenue beat(4)-0.23%
Revenue beat(8)2
Avg Revenue beat(8)-0.43%
Revenue beat(12)5
Avg Revenue beat(12)3.92%
Revenue beat(16)6
Avg Revenue beat(16)8.58%
PT rev (1m)-0.21%
PT rev (3m)0.83%
EPS NQ rev (1m)-1.26%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.1%
EPS NY rev (3m)-4.28%
Revenue NQ rev (1m)0.15%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)-1.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.69 | ||
| Fwd PE | 12.8 | ||
| P/S | 1.19 | ||
| P/FCF | 6.65 | ||
| P/OCF | 3.43 | ||
| P/B | 2.39 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.15 |
EPS(TTM)1.95
EY6.81%
EPS(NY)2.24
Fwd EY7.81%
FCF(TTM)4.31
FCFY15.03%
OCF(TTM)8.34
OCFY29.12%
SpS24.03
BVpS12.01
TBVpS-14.63
PEG (NY)2.56
PEG (5Y)1.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.48% | ||
| ROE | 21.39% | ||
| ROCE | 10.81% | ||
| ROIC | 7.91% | ||
| ROICexc | 8.43% | ||
| ROICexgc | 19.57% | ||
| OM | 22.45% | ||
| PM (TTM) | 10.69% | ||
| GM | 61.51% | ||
| FCFM | 17.92% |
ROA(3y)4.16%
ROA(5y)3.11%
ROE(3y)21.81%
ROE(5y)17.36%
ROIC(3y)5.8%
ROIC(5y)5.16%
ROICexc(3y)5.98%
ROICexc(5y)5.34%
ROICexgc(3y)13.68%
ROICexgc(5y)12.16%
ROCE(3y)7.94%
ROCE(5y)7.05%
ROICexcg growth 3Y18.94%
ROICexcg growth 5Y6.74%
ROICexc growth 3Y18.32%
ROICexc growth 5Y4.18%
OM growth 3Y19.59%
OM growth 5Y10.99%
PM growth 3Y35.63%
PM growth 5Y15.06%
GM growth 3Y2.66%
GM growth 5Y1.43%
F-Score9
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.08 | ||
| Debt/FCF | 6.53 | ||
| Debt/EBITDA | 2.44 | ||
| Cap/Depr | 83.42% | ||
| Cap/Sales | 16.8% | ||
| Interest Coverage | 3.33 | ||
| Cash Conversion | 81.53% | ||
| Profit Quality | 167.64% | ||
| Current Ratio | 1.12 | ||
| Quick Ratio | 1.06 | ||
| Altman-Z | 1.1 |
F-Score9
WACC5.68%
ROIC/WACC1.39
Cap/Depr(3y)74.69%
Cap/Depr(5y)79.23%
Cap/Sales(3y)17.88%
Cap/Sales(5y)19.33%
Profit Quality(3y)146.72%
Profit Quality(5y)140.1%
High Growth Momentum
Growth
EPS 1Y (TTM)16.28%
EPS 3Y15.65%
EPS 5Y12.65%
EPS Q2Q%2.62%
EPS Next Y5.74%
EPS Next 2Y8.89%
EPS Next 3Y9.77%
EPS Next 5Y11.59%
Revenue 1Y (TTM)4.06%
Revenue growth 3Y2.47%
Revenue growth 5Y7.53%
Sales Q2Q%0.96%
Revenue Next Year1.81%
Revenue Next 2Y2.08%
Revenue Next 3Y2.43%
Revenue Next 5Y3.03%
EBIT growth 1Y12.65%
EBIT growth 3Y22.54%
EBIT growth 5Y19.35%
EBIT Next Year79.76%
EBIT Next 3Y26.2%
EBIT Next 5Y16.41%
FCF growth 1Y37.04%
FCF growth 3Y52.18%
FCF growth 5Y18.89%
OCF growth 1Y11.48%
OCF growth 3Y7.34%
OCF growth 5Y11.56%