MILLICOM INTL CELLULAR S.A. (TIGO) Stock Fundamental Analysis
USA - NASDAQ:TIGO - LU0038705702 - Common Stock
47.48 USD
-0.28 (-0.59%)
47.48 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to TIGO. TIGO was compared to 22 industry peers in the Wireless Telecommunication Services industry. TIGO has an excellent profitability rating, but there are concerns on its financial health. TIGO is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year TIGO was profitable.
TIGO had a positive operating cash flow in the past year.
In multiple years TIGO reported negative net income over the last 5 years.
Each year in the past 5 years TIGO had a positive operating cash flow.
1.2 Ratios
The Return On Assets of TIGO (6.35%) is better than 81.82% of its industry peers.
Looking at the Return On Equity, with a value of 26.92%, TIGO belongs to the top of the industry, outperforming 90.91% of the companies in the same industry.
TIGO's Return On Invested Capital of 9.03% is amongst the best of the industry. TIGO outperforms 81.82% of its industry peers.
TIGO had an Average Return On Invested Capital over the past 3 years of 6.73%. This is in line with the industry average of 5.80%.
The 3 year average ROIC (6.73%) for TIGO is below the current ROIC(9.03%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.35% | ||
| ROE | 26.92% | ||
| ROIC | 9.03% |
ROA(3y)0.84%
ROA(5y)0.73%
ROE(3y)3.19%
ROE(5y)3.14%
ROIC(3y)6.73%
ROIC(5y)5.05%
1.3 Margins
The Profit Margin of TIGO (16.98%) is better than 90.91% of its industry peers.
TIGO's Profit Margin has improved in the last couple of years.
The Operating Margin of TIGO (24.96%) is better than 95.45% of its industry peers.
TIGO's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 76.50%, TIGO belongs to the best of the industry, outperforming 86.36% of the companies in the same industry.
TIGO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.96% | ||
| PM (TTM) | 16.98% | ||
| GM | 76.5% |
OM growth 3Y33.38%
OM growth 5Y18.32%
PM growth 3Y-31.97%
PM growth 5Y4.87%
GM growth 3Y1.43%
GM growth 5Y0.99%
2. Health
2.1 Basic Checks
TIGO has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, TIGO has about the same amount of shares outstanding.
TIGO has more shares outstanding than it did 5 years ago.
TIGO has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.29, we must say that TIGO is in the distress zone and has some risk of bankruptcy.
TIGO has a Altman-Z score of 1.29. This is in the better half of the industry: TIGO outperforms 68.18% of its industry peers.
TIGO has a debt to FCF ratio of 7.86. This is a slightly negative value and a sign of low solvency as TIGO would need 7.86 years to pay back of all of its debts.
With a Debt to FCF ratio value of 7.86, TIGO perfoms like the industry average, outperforming 45.45% of the companies in the same industry.
A Debt/Equity ratio of 2.08 is on the high side and indicates that TIGO has dependencies on debt financing.
TIGO has a Debt to Equity ratio of 2.08. This is in the lower half of the industry: TIGO underperforms 68.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.08 | ||
| Debt/FCF | 7.86 | ||
| Altman-Z | 1.29 |
ROIC/WACC1.26
WACC7.17%
2.3 Liquidity
A Current Ratio of 0.91 indicates that TIGO may have some problems paying its short term obligations.
TIGO has a Current ratio of 0.91. This is in the lower half of the industry: TIGO underperforms 63.64% of its industry peers.
A Quick Ratio of 0.87 indicates that TIGO may have some problems paying its short term obligations.
TIGO has a worse Quick ratio (0.87) than 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 153.26% over the past year.
TIGO shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.40% yearly.
Looking at the last year, TIGO shows a small growth in Revenue. The Revenue has grown by 2.53% in the last year.
Measured over the past years, TIGO shows a small growth in Revenue. The Revenue has been growing by 6.01% on average per year.
EPS 1Y (TTM)153.26%
EPS 3Y-37.04%
EPS 5Y-0.4%
EPS Q2Q%93.33%
Revenue 1Y (TTM)2.53%
Revenue growth 3Y10.85%
Revenue growth 5Y6.01%
Sales Q2Q%-0.77%
3.2 Future
Based on estimates for the next years, TIGO will show a very strong growth in Earnings Per Share. The EPS will grow by 23.14% on average per year.
Based on estimates for the next years, TIGO will show a small growth in Revenue. The Revenue will grow by 1.70% on average per year.
EPS Next Y212.18%
EPS Next 2Y63.9%
EPS Next 3Y39.36%
EPS Next 5Y23.14%
Revenue Next Year-4.03%
Revenue Next 2Y1.72%
Revenue Next 3Y0.11%
Revenue Next 5Y1.7%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 20.38 indicates a rather expensive valuation of TIGO.
TIGO's Price/Earnings is on the same level as the industry average.
TIGO's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.06.
A Price/Forward Earnings ratio of 12.02 indicates a correct valuation of TIGO.
TIGO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. TIGO is cheaper than 63.64% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 32.73. TIGO is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.38 | ||
| Fwd PE | 12.02 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TIGO is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TIGO indicates a somewhat cheap valuation: TIGO is cheaper than 68.18% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.87 | ||
| EV/EBITDA | 5.63 |
4.3 Compensation for Growth
TIGO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TIGO has an outstanding profitability rating, which may justify a higher PE ratio.
TIGO's earnings are expected to grow with 39.36% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.1
PEG (5Y)N/A
EPS Next 2Y63.9%
EPS Next 3Y39.36%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.28%, TIGO is a good candidate for dividend investing.
TIGO's Dividend Yield is comparable with the industry average which is at 8.92.
TIGO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.28% |
5.2 History
TIGO has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y63.9%
EPS Next 3Y39.36%
47.48
-0.28 (-0.59%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners41.09%
Inst Owner Change19.14%
Ins Owners0.19%
Ins Owner ChangeN/A
Market Cap7.93B
Revenue(TTM)5.80B
Net Income(TTM)952.00M
Analysts76.67
Price Target47.96 (1.01%)
Short Float %2.77%
Short Ratio2.9
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.28% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.04%
Min EPS beat(2)-37.08%
Max EPS beat(2)27.01%
EPS beat(4)1
Avg EPS beat(4)-33.79%
Min EPS beat(4)-74.67%
Max EPS beat(4)27.01%
EPS beat(8)2
Avg EPS beat(8)15.23%
EPS beat(12)3
Avg EPS beat(12)-21.16%
EPS beat(16)6
Avg EPS beat(16)125.02%
Revenue beat(2)0
Avg Revenue beat(2)-6.1%
Min Revenue beat(2)-8.89%
Max Revenue beat(2)-3.31%
Revenue beat(4)0
Avg Revenue beat(4)-5.16%
Min Revenue beat(4)-8.89%
Max Revenue beat(4)-3.31%
Revenue beat(8)1
Avg Revenue beat(8)-3.36%
Revenue beat(12)1
Avg Revenue beat(12)-3.68%
Revenue beat(16)1
Avg Revenue beat(16)-8.82%
PT rev (1m)7.79%
PT rev (3m)18.61%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13.48%
EPS NY rev (1m)15.01%
EPS NY rev (3m)53.81%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.63%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)0.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.38 | ||
| Fwd PE | 12.02 | ||
| P/S | 1.41 | ||
| P/FCF | 7.87 | ||
| P/OCF | 4.73 | ||
| P/B | 2.24 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.63 |
EPS(TTM)2.33
EY4.91%
EPS(NY)3.95
Fwd EY8.32%
FCF(TTM)6.03
FCFY12.71%
OCF(TTM)10.04
OCFY21.14%
SpS33.55
BVpS21.17
TBVpS-20.8
PEG (NY)0.1
PEG (5Y)N/A
Graham Number33.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.35% | ||
| ROE | 26.92% | ||
| ROCE | 11.43% | ||
| ROIC | 9.03% | ||
| ROICexc | 10.09% | ||
| ROICexgc | 28.01% | ||
| OM | 24.96% | ||
| PM (TTM) | 16.98% | ||
| GM | 76.5% | ||
| FCFM | 17.98% |
ROA(3y)0.84%
ROA(5y)0.73%
ROE(3y)3.19%
ROE(5y)3.14%
ROIC(3y)6.73%
ROIC(5y)5.05%
ROICexc(3y)7.23%
ROICexc(5y)5.46%
ROICexgc(3y)21.48%
ROICexgc(5y)16.59%
ROCE(3y)8.52%
ROCE(5y)6.4%
ROICexgc growth 3Y24.05%
ROICexgc growth 5Y36.67%
ROICexc growth 3Y43.68%
ROICexc growth 5Y21.14%
OM growth 3Y33.38%
OM growth 5Y18.32%
PM growth 3Y-31.97%
PM growth 5Y4.87%
GM growth 3Y1.43%
GM growth 5Y0.99%
F-Score7
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.08 | ||
| Debt/FCF | 7.86 | ||
| Debt/EBITDA | 2.85 | ||
| Cap/Depr | 56.22% | ||
| Cap/Sales | 11.94% | ||
| Interest Coverage | 2.49 | ||
| Cash Conversion | 64.77% | ||
| Profit Quality | 105.88% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 1.29 |
F-Score7
WACC7.17%
ROIC/WACC1.26
Cap/Depr(3y)66.21%
Cap/Depr(5y)68%
Cap/Sales(3y)15.35%
Cap/Sales(5y)17.27%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)153.26%
EPS 3Y-37.04%
EPS 5Y-0.4%
EPS Q2Q%93.33%
EPS Next Y212.18%
EPS Next 2Y63.9%
EPS Next 3Y39.36%
EPS Next 5Y23.14%
Revenue 1Y (TTM)2.53%
Revenue growth 3Y10.85%
Revenue growth 5Y6.01%
Sales Q2Q%-0.77%
Revenue Next Year-4.03%
Revenue Next 2Y1.72%
Revenue Next 3Y0.11%
Revenue Next 5Y1.7%
EBIT growth 1Y31.73%
EBIT growth 3Y47.85%
EBIT growth 5Y25.43%
EBIT Next Year109.55%
EBIT Next 3Y29.6%
EBIT Next 5Y16.4%
FCF growth 1Y327.12%
FCF growth 3Y125.44%
FCF growth 5YN/A
OCF growth 1Y39.29%
OCF growth 3Y18.8%
OCF growth 5Y15.14%
MILLICOM INTL CELLULAR S.A. / TIGO FAQ
What is the ChartMill fundamental rating of MILLICOM INTL CELLULAR S.A. (TIGO) stock?
ChartMill assigns a fundamental rating of 5 / 10 to TIGO.
What is the valuation status for TIGO stock?
ChartMill assigns a valuation rating of 6 / 10 to MILLICOM INTL CELLULAR S.A. (TIGO). This can be considered as Fairly Valued.
Can you provide the profitability details for MILLICOM INTL CELLULAR S.A.?
MILLICOM INTL CELLULAR S.A. (TIGO) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for TIGO stock?
The Price/Earnings (PE) ratio for MILLICOM INTL CELLULAR S.A. (TIGO) is 20.38 and the Price/Book (PB) ratio is 2.24.
What is the expected EPS growth for MILLICOM INTL CELLULAR S.A. (TIGO) stock?
The Earnings per Share (EPS) of MILLICOM INTL CELLULAR S.A. (TIGO) is expected to grow by 212.18% in the next year.