TELKOM INDONESIA PERSERO-ADR (TLK) Stock Fundamental Analysis
USA - NYSE:TLK - US7156841063 - ADR
19.98 USD
-0.51 (-2.49%)
19.98 USD
0 (0%)
TLK gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 36 industry peers in the Diversified Telecommunication Services industry. TLK has an excellent profitability rating, but there are some minor concerns on its financial health. TLK is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year TLK was profitable.
TLK had a positive operating cash flow in the past year.
Each year in the past 5 years TLK has been profitable.
TLK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TLK's Return On Assets of 7.78% is amongst the best of the industry. TLK outperforms 94.44% of its industry peers.
TLK's Return On Equity of 17.30% is amongst the best of the industry. TLK outperforms 86.11% of its industry peers.
The Return On Invested Capital of TLK (14.39%) is better than 94.44% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TLK is significantly above the industry average of 5.86%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.78% | ||
| ROE | 17.3% | ||
| ROIC | 14.39% |
ROA(3y)8%
ROA(5y)8.27%
ROE(3y)16.93%
ROE(5y)18.29%
ROIC(3y)15.68%
ROIC(5y)16.3%
1.3 Margins
The Profit Margin of TLK (15.48%) is better than 86.11% of its industry peers.
In the last couple of years the Profit Margin of TLK has grown nicely.
Looking at the Operating Margin, with a value of 27.43%, TLK belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
In the last couple of years the Operating Margin of TLK has declined.
With an excellent Gross Margin value of 66.80%, TLK belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
TLK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.43% | ||
| PM (TTM) | 15.48% | ||
| GM | 66.8% |
OM growth 3Y-2.59%
OM growth 5Y-1.91%
PM growth 3Y-3.02%
PM growth 5Y2.75%
GM growth 3Y-0.88%
GM growth 5Y0.85%
2. Health
2.1 Basic Checks
TLK has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for TLK remains at a similar level compared to 1 year ago.
TLK has about the same amout of shares outstanding than it did 5 years ago.
TLK has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.66 indicates that TLK is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.66, TLK belongs to the top of the industry, outperforming 86.11% of the companies in the same industry.
The Debt to FCF ratio of TLK is 2.38, which is a good value as it means it would take TLK, 2.38 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 2.38, TLK belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
TLK has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
TLK has a Debt to Equity ratio of 0.43. This is amongst the best in the industry. TLK outperforms 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.38 | ||
| Altman-Z | 2.66 |
ROIC/WACC2.5
WACC5.75%
2.3 Liquidity
A Current Ratio of 0.71 indicates that TLK may have some problems paying its short term obligations.
The Current ratio of TLK (0.71) is worse than 83.33% of its industry peers.
TLK has a Quick Ratio of 0.71. This is a bad value and indicates that TLK is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.70, TLK is not doing good in the industry: 83.33% of the companies in the same industry are doing better.
TLK does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
TLK shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.97%.
TLK shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.85% yearly.
The Revenue has decreased by -2.22% in the past year.
Measured over the past years, TLK shows a small growth in Revenue. The Revenue has been growing by 2.04% on average per year.
EPS 1Y (TTM)-2.97%
EPS 3Y-1.52%
EPS 5Y4.85%
EPS Q2Q%-9.51%
Revenue 1Y (TTM)-2.22%
Revenue growth 3Y1.55%
Revenue growth 5Y2.04%
Sales Q2Q%-3.96%
3.2 Future
TLK is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.37% yearly.
Based on estimates for the next years, TLK will show a small growth in Revenue. The Revenue will grow by 1.51% on average per year.
EPS Next Y-1.05%
EPS Next 2Y2.06%
EPS Next 3Y3.37%
EPS Next 5YN/A
Revenue Next Year-1.17%
Revenue Next 2Y0.89%
Revenue Next 3Y1.51%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
Based on the Price/Earnings ratio of 14.37, the valuation of TLK can be described as correct.
80.56% of the companies in the same industry are more expensive than TLK, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of TLK to the average of the S&P500 Index (26.76), we can say TLK is valued slightly cheaper.
The Price/Forward Earnings ratio is 13.35, which indicates a correct valuation of TLK.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TLK indicates a rather cheap valuation: TLK is cheaper than 80.56% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.63, TLK is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.37 | ||
| Fwd PE | 13.35 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, TLK is valued a bit cheaper than 61.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.24 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
TLK has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.96
EPS Next 2Y2.06%
EPS Next 3Y3.37%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.32%, TLK is a good candidate for dividend investing.
TLK's Dividend Yield is rather good when compared to the industry average which is at 5.29. TLK pays more dividend than 83.33% of the companies in the same industry.
TLK's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.32% |
5.2 History
The dividend of TLK has a limited annual growth rate of 1.73%.
TLK has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of TLK decreased in the last 3 years.
Dividend Growth(5Y)1.73%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
TLK pays out 92.06% of its income as dividend. This is not a sustainable payout ratio.
TLK's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP92.06%
EPS Next 2Y2.06%
EPS Next 3Y3.37%
19.98
-0.51 (-2.49%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners25.6%
Inst Owner Change-1.29%
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap19.79B
Revenue(TTM)147679.00B
Net Income(TTM)22863.00B
Analysts80.8
Price Target19.26 (-3.6%)
Short Float %0.7%
Short Ratio5.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.32% |
Yearly Dividend1.07
Dividend Growth(5Y)1.73%
DP92.06%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.54%
Min EPS beat(2)-11.44%
Max EPS beat(2)2.35%
EPS beat(4)2
Avg EPS beat(4)-3.5%
Min EPS beat(4)-11.44%
Max EPS beat(4)4.43%
EPS beat(8)3
Avg EPS beat(8)-8.26%
EPS beat(12)3
Avg EPS beat(12)-14.5%
EPS beat(16)3
Avg EPS beat(16)-11.88%
Revenue beat(2)0
Avg Revenue beat(2)-5.5%
Min Revenue beat(2)-6.03%
Max Revenue beat(2)-4.98%
Revenue beat(4)0
Avg Revenue beat(4)-5.19%
Min Revenue beat(4)-6.03%
Max Revenue beat(4)-4.35%
Revenue beat(8)0
Avg Revenue beat(8)-5.17%
Revenue beat(12)0
Avg Revenue beat(12)-5.96%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.97%
PT rev (3m)16.08%
EPS NQ rev (1m)-2.1%
EPS NQ rev (3m)-5.2%
EPS NY rev (1m)0%
EPS NY rev (3m)-8.67%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)-2.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.37 | ||
| Fwd PE | 13.35 | ||
| P/S | 2.23 | ||
| P/FCF | 9.24 | ||
| P/OCF | 5.1 | ||
| P/B | 2.49 | ||
| P/tB | 2.68 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.39
EY6.96%
EPS(NY)1.5
Fwd EY7.49%
FCF(TTM)2.16
FCFY10.82%
OCF(TTM)3.92
OCFY19.61%
SpS8.97
BVpS8.03
TBVpS7.46
PEG (NY)N/A
PEG (5Y)2.96
Graham Number15.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.78% | ||
| ROE | 17.3% | ||
| ROCE | 19.4% | ||
| ROIC | 14.39% | ||
| ROICexc | 17.06% | ||
| ROICexgc | 17.96% | ||
| OM | 27.43% | ||
| PM (TTM) | 15.48% | ||
| GM | 66.8% | ||
| FCFM | 24.09% |
ROA(3y)8%
ROA(5y)8.27%
ROE(3y)16.93%
ROE(5y)18.29%
ROIC(3y)15.68%
ROIC(5y)16.3%
ROICexc(3y)18.4%
ROICexc(5y)19.71%
ROICexgc(3y)19.29%
ROICexgc(5y)20.65%
ROCE(3y)20.82%
ROCE(5y)21.63%
ROICexgc growth 3Y-4.94%
ROICexgc growth 5Y-4.99%
ROICexc growth 3Y-5.1%
ROICexc growth 5Y-5.09%
OM growth 3Y-2.59%
OM growth 5Y-1.91%
PM growth 3Y-3.02%
PM growth 5Y2.75%
GM growth 3Y-0.88%
GM growth 5Y0.85%
F-Score5
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.38 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 19.58% | ||
| Interest Coverage | -7.35 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 155.6% | ||
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 2.66 |
F-Score5
WACC5.75%
ROIC/WACC2.5
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)23.42%
Cap/Sales(5y)22.53%
Profit Quality(3y)133.95%
Profit Quality(5y)145.96%
High Growth Momentum
Growth
EPS 1Y (TTM)-2.97%
EPS 3Y-1.52%
EPS 5Y4.85%
EPS Q2Q%-9.51%
EPS Next Y-1.05%
EPS Next 2Y2.06%
EPS Next 3Y3.37%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.22%
Revenue growth 3Y1.55%
Revenue growth 5Y2.04%
Sales Q2Q%-3.96%
Revenue Next Year-1.17%
Revenue Next 2Y0.89%
Revenue Next 3Y1.51%
Revenue Next 5YN/A
EBIT growth 1Y-9.48%
EBIT growth 3Y-1.08%
EBIT growth 5Y0.09%
EBIT Next Year73.68%
EBIT Next 3Y22.9%
EBIT Next 5YN/A
FCF growth 1Y16.34%
FCF growth 3Y-6.16%
FCF growth 5Y10.11%
OCF growth 1Y0.71%
OCF growth 3Y-3.41%
OCF growth 5Y2.31%
TELKOM INDONESIA PERSERO-ADR / TLK FAQ
What is the ChartMill fundamental rating of TELKOM INDONESIA PERSERO-ADR (TLK) stock?
ChartMill assigns a fundamental rating of 6 / 10 to TLK.
What is the valuation status for TLK stock?
ChartMill assigns a valuation rating of 5 / 10 to TELKOM INDONESIA PERSERO-ADR (TLK). This can be considered as Fairly Valued.
Can you provide the profitability details for TELKOM INDONESIA PERSERO-ADR?
TELKOM INDONESIA PERSERO-ADR (TLK) has a profitability rating of 8 / 10.
What are the PE and PB ratios of TELKOM INDONESIA PERSERO-ADR (TLK) stock?
The Price/Earnings (PE) ratio for TELKOM INDONESIA PERSERO-ADR (TLK) is 14.37 and the Price/Book (PB) ratio is 2.49.
Can you provide the expected EPS growth for TLK stock?
The Earnings per Share (EPS) of TELKOM INDONESIA PERSERO-ADR (TLK) is expected to decline by -1.05% in the next year.