TELENOR ASA (TEL.OL) Stock Fundamental Analysis
Europe - Euronext Oslo - OSL:TEL - NO0010063308 - Common Stock
145.8 NOK
-0.5 (-0.34%)
We assign a fundamental rating of 5 out of 10 to TEL. TEL was compared to 36 industry peers in the Diversified Telecommunication Services industry. TEL has an excellent profitability rating, but there are some minor concerns on its financial health. TEL has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- In the past year TEL was profitable.
- In the past year TEL had a positive cash flow from operations.
- In the past 5 years TEL has always been profitable.
- In the past 5 years TEL always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of TEL (4.47%) is better than 66.67% of its industry peers.
- TEL's Return On Equity of 14.79% is fine compared to the rest of the industry. TEL outperforms 61.11% of its industry peers.
- TEL has a Return On Invested Capital of 8.58%. This is amongst the best in the industry. TEL outperforms 80.56% of its industry peers.
- TEL had an Average Return On Invested Capital over the past 3 years of 7.81%. This is in line with the industry average of 7.93%.
- The last Return On Invested Capital (8.58%) for TEL is above the 3 year average (7.81%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.47% | ||
| ROE | 14.79% | ||
| ROIC | 8.58% |
ROA(3y)11.03%
ROA(5y)8.1%
ROE(3y)40.05%
ROE(5y)34.24%
ROIC(3y)7.81%
ROIC(5y)8.57%
1.3 Margins
- With a decent Profit Margin value of 12.26%, TEL is doing good in the industry, outperforming 69.44% of the companies in the same industry.
- In the last couple of years the Profit Margin of TEL has grown nicely.
- With an excellent Operating Margin value of 23.18%, TEL belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
- TEL's Operating Margin has been stable in the last couple of years.
- Looking at the Gross Margin, with a value of 78.29%, TEL is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
- In the last couple of years the Gross Margin of TEL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.18% | ||
| PM (TTM) | 12.26% | ||
| GM | 78.29% |
OM growth 3Y4.24%
OM growth 5Y-0.38%
PM growth 3Y144.33%
PM growth 5Y27.39%
GM growth 3Y1.85%
GM growth 5Y0.62%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TEL is creating some value.
- The number of shares outstanding for TEL has been reduced compared to 1 year ago.
- The number of shares outstanding for TEL has been reduced compared to 5 years ago.
- Compared to 1 year ago, TEL has an improved debt to assets ratio.
2.2 Solvency
- TEL has an Altman-Z score of 1.68. This is a bad value and indicates that TEL is not financially healthy and even has some risk of bankruptcy.
- With an excellent Altman-Z score value of 1.68, TEL belongs to the best of the industry, outperforming 86.11% of the companies in the same industry.
- The Debt to FCF ratio of TEL is 5.37, which is a neutral value as it means it would take TEL, 5.37 years of fcf income to pay off all of its debts.
- With an excellent Debt to FCF ratio value of 5.37, TEL belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
- A Debt/Equity ratio of 1.23 is on the high side and indicates that TEL has dependencies on debt financing.
- TEL has a Debt to Equity ratio (1.23) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 5.37 | ||
| Altman-Z | 1.68 |
ROIC/WACC1.23
WACC6.96%
2.3 Liquidity
- A Current Ratio of 0.52 indicates that TEL may have some problems paying its short term obligations.
- The Current ratio of TEL (0.52) is worse than 86.11% of its industry peers.
- A Quick Ratio of 0.51 indicates that TEL may have some problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 0.51, TEL is doing worse than 86.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
- TEL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -40.98%.
- TEL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.44% yearly.
- TEL shows a small growth in Revenue. In the last year, the Revenue has grown by 0.57%.
- The Revenue has been decreasing by -6.80% on average over the past years.
EPS 1Y (TTM)-40.98%
EPS 3Y23.32%
EPS 5Y7.44%
EPS Q2Q%-25.1%
Revenue 1Y (TTM)0.57%
Revenue growth 3Y-6.3%
Revenue growth 5Y-6.8%
Sales Q2Q%1.33%
3.2 Future
- TEL is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -3.77% yearly.
- The Revenue is expected to grow by 0.58% on average over the next years.
EPS Next Y-36.35%
EPS Next 2Y-13.07%
EPS Next 3Y-5.7%
EPS Next 5Y-3.77%
Revenue Next Year0.35%
Revenue Next 2Y0.42%
Revenue Next 3Y0.83%
Revenue Next 5Y0.58%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 19.29, the valuation of TEL can be described as rather expensive.
- TEL's Price/Earnings ratio is in line with the industry average.
- TEL's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.94.
- With a Price/Forward Earnings ratio of 14.38, TEL is valued correctly.
- TEL's Price/Forward Earnings ratio is in line with the industry average.
- When comparing the Price/Forward Earnings ratio of TEL to the average of the S&P500 Index (23.94), we can say TEL is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.29 | ||
| Fwd PE | 14.38 |
4.2 Price Multiples
- TEL's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. TEL is more expensive than 66.67% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of TEL indicates a somewhat cheap valuation: TEL is cheaper than 61.11% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.77 | ||
| EV/EBITDA | 7.96 |
4.3 Compensation for Growth
- The excellent profitability rating of TEL may justify a higher PE ratio.
- TEL's earnings are expected to decrease with -5.70% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)2.59
EPS Next 2Y-13.07%
EPS Next 3Y-5.7%
5. Dividend
5.1 Amount
- TEL has a Yearly Dividend Yield of 6.70%, which is a nice return.
- TEL's Dividend Yield is rather good when compared to the industry average which is at 3.36. TEL pays more dividend than 86.11% of the companies in the same industry.
- TEL's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.7% |
5.2 History
- The dividend of TEL has a limited annual growth rate of 2.70%.
Dividend Growth(5Y)2.7%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- TEL pays out 131.16% of its income as dividend. This is not a sustainable payout ratio.
- The Dividend Rate of TEL has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP131.16%
EPS Next 2Y-13.07%
EPS Next 3Y-5.7%
OSL:TEL (1/20/2026, 7:00:00 PM)
145.8
-0.5 (-0.34%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)10-29 2025-10-29/bmo
Earnings (Next)02-06 2026-02-06/amc
Inst Owners35.72%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap199.51B
Revenue(TTM)80.82B
Net Income(TTM)9.91B
Analysts71.82
Price Target172.02 (17.98%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.7% |
Yearly Dividend9.5
Dividend Growth(5Y)2.7%
DP131.16%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-9.26%
Min EPS beat(2)-28%
Max EPS beat(2)9.48%
EPS beat(4)2
Avg EPS beat(4)-2.48%
Min EPS beat(4)-28%
Max EPS beat(4)15.1%
EPS beat(8)5
Avg EPS beat(8)50.24%
EPS beat(12)7
Avg EPS beat(12)36.4%
EPS beat(16)9
Avg EPS beat(16)29.36%
Revenue beat(2)1
Avg Revenue beat(2)-0.56%
Min Revenue beat(2)-1.41%
Max Revenue beat(2)0.3%
Revenue beat(4)1
Avg Revenue beat(4)-1.21%
Min Revenue beat(4)-2.16%
Max Revenue beat(4)0.3%
Revenue beat(8)2
Avg Revenue beat(8)-1.34%
Revenue beat(12)4
Avg Revenue beat(12)-4.16%
Revenue beat(16)6
Avg Revenue beat(16)-5.9%
PT rev (1m)-0.42%
PT rev (3m)0.63%
EPS NQ rev (1m)2.71%
EPS NQ rev (3m)-0.57%
EPS NY rev (1m)-2.65%
EPS NY rev (3m)-4.66%
Revenue NQ rev (1m)0.02%
Revenue NQ rev (3m)-0.49%
Revenue NY rev (1m)-0.36%
Revenue NY rev (3m)-0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.29 | ||
| Fwd PE | 14.38 | ||
| P/S | 2.47 | ||
| P/FCF | 10.77 | ||
| P/OCF | 6.51 | ||
| P/B | 2.98 | ||
| P/tB | 6.37 | ||
| EV/EBITDA | 7.96 |
EPS(TTM)7.56
EY5.19%
EPS(NY)10.14
Fwd EY6.95%
FCF(TTM)13.53
FCFY9.28%
OCF(TTM)22.39
OCFY15.36%
SpS59.07
BVpS48.96
TBVpS22.89
PEG (NY)N/A
PEG (5Y)2.59
Graham Number91.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.47% | ||
| ROE | 14.79% | ||
| ROCE | 11.15% | ||
| ROIC | 8.58% | ||
| ROICexc | 9.22% | ||
| ROICexgc | 11.95% | ||
| OM | 23.18% | ||
| PM (TTM) | 12.26% | ||
| GM | 78.29% | ||
| FCFM | 22.91% |
ROA(3y)11.03%
ROA(5y)8.1%
ROE(3y)40.05%
ROE(5y)34.24%
ROIC(3y)7.81%
ROIC(5y)8.57%
ROICexc(3y)8.51%
ROICexc(5y)9.43%
ROICexgc(3y)10.87%
ROICexgc(5y)12.22%
ROCE(3y)10.15%
ROCE(5y)11.13%
ROICexgc growth 3Y-8.62%
ROICexgc growth 5Y-8.89%
ROICexc growth 3Y-6.85%
ROICexc growth 5Y-8.18%
OM growth 3Y4.24%
OM growth 5Y-0.38%
PM growth 3Y144.33%
PM growth 5Y27.39%
GM growth 3Y1.85%
GM growth 5Y0.62%
F-Score7
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 5.37 | ||
| Debt/EBITDA | 2.28 | ||
| Cap/Depr | 69.96% | ||
| Cap/Sales | 14.99% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.98% | ||
| Profit Quality | 186.87% | ||
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z | 1.68 |
F-Score7
WACC6.96%
ROIC/WACC1.23
Cap/Depr(3y)82.64%
Cap/Depr(5y)73.98%
Cap/Sales(3y)22.07%
Cap/Sales(5y)20.53%
Profit Quality(3y)79.16%
Profit Quality(5y)374.89%
High Growth Momentum
Growth
EPS 1Y (TTM)-40.98%
EPS 3Y23.32%
EPS 5Y7.44%
EPS Q2Q%-25.1%
EPS Next Y-36.35%
EPS Next 2Y-13.07%
EPS Next 3Y-5.7%
EPS Next 5Y-3.77%
Revenue 1Y (TTM)0.57%
Revenue growth 3Y-6.3%
Revenue growth 5Y-6.8%
Sales Q2Q%1.33%
Revenue Next Year0.35%
Revenue Next 2Y0.42%
Revenue Next 3Y0.83%
Revenue Next 5Y0.58%
EBIT growth 1Y2.9%
EBIT growth 3Y-2.33%
EBIT growth 5Y-7.16%
EBIT Next Year91.79%
EBIT Next 3Y26.39%
EBIT Next 5Y15.98%
FCF growth 1Y109.68%
FCF growth 3Y-7.44%
FCF growth 5Y10.14%
OCF growth 1Y3.62%
OCF growth 3Y-9.36%
OCF growth 5Y-1.66%
TELENOR ASA / TEL.OL FAQ
Can you provide the ChartMill fundamental rating for TELENOR ASA?
ChartMill assigns a fundamental rating of 5 / 10 to TEL.OL.
What is the valuation status for TEL stock?
ChartMill assigns a valuation rating of 4 / 10 to TELENOR ASA (TEL.OL). This can be considered as Fairly Valued.
Can you provide the profitability details for TELENOR ASA?
TELENOR ASA (TEL.OL) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for TEL stock?
The Price/Earnings (PE) ratio for TELENOR ASA (TEL.OL) is 19.29 and the Price/Book (PB) ratio is 2.98.
How sustainable is the dividend of TELENOR ASA (TEL.OL) stock?
The dividend rating of TELENOR ASA (TEL.OL) is 6 / 10 and the dividend payout ratio is 131.16%.