TELKOM INDONESIA PERSERO-ADR (TLK) Stock Fundamental Analysis
NYSE:TLK - US7156841063 - ADR
20.26 USD
+0.35 (+1.76%)
Taking everything into account, TLK scores 6 out of 10 in our fundamental rating. TLK was compared to 34 industry peers in the Diversified Telecommunication Services industry. While TLK belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TLK 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 TLK was profitable.
TLK had a positive operating cash flow in the past year.
TLK had positive earnings in each of the past 5 years.
In the past 5 years TLK always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 7.78%, TLK belongs to the best of the industry, outperforming 88.24% of the companies in the same industry.
TLK has a better Return On Equity (17.30%) than 85.29% of its industry peers.
TLK's Return On Invested Capital of 14.39% is amongst the best of the industry. TLK outperforms 91.18% of its industry peers.
TLK had an Average Return On Invested Capital over the past 3 years of 15.68%. This is significantly above the industry average of 7.14%.
| 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
With an excellent Profit Margin value of 15.48%, TLK belongs to the best of the industry, outperforming 82.35% of the companies in the same industry.
In the last couple of years the Profit Margin of TLK has grown nicely.
TLK has a Operating Margin of 27.43%. This is amongst the best in the industry. TLK outperforms 94.12% of its industry peers.
In the last couple of years the Operating Margin of TLK has declined.
TLK's Gross Margin of 66.80% is amongst the best of the industry. TLK outperforms 82.35% of its industry peers.
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so TLK is creating value.
The number of shares outstanding for TLK remains at a similar level compared to 1 year ago.
The number of shares outstanding for TLK remains at a similar level compared to 5 years ago.
The debt/assets ratio for TLK is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.60 indicates that TLK is not a great score, but indicates only limited risk for bankruptcy at the moment.
TLK has a Altman-Z score of 2.60. This is amongst the best in the industry. TLK outperforms 88.24% of its industry peers.
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.
TLK's Debt to FCF ratio of 2.38 is amongst the best of the industry. TLK outperforms 88.24% of its industry peers.
TLK has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.43, TLK is in the better half of the industry, outperforming 79.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.38 | ||
| Altman-Z | 2.6 |
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.
With a Current ratio value of 0.71, TLK is not doing good in the industry: 85.29% of the companies in the same industry are doing better.
A Quick Ratio of 0.70 indicates that TLK may have some problems paying its short term obligations.
TLK has a worse Quick ratio (0.70) than 85.29% of its industry peers.
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.
TLK shows a decrease in Revenue. In the last year, the revenue decreased by -2.22%.
The Revenue has been growing slightly by 2.04% on average over the past years.
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 3.76% yearly.
The Revenue is expected to grow by 1.75% on average over the next years.
EPS Next Y0.25%
EPS Next 2Y2.83%
EPS Next 3Y3.76%
EPS Next 5YN/A
Revenue Next Year-0.69%
Revenue Next 2Y1.16%
Revenue Next 3Y1.75%
Revenue Next 5YN/A
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 14.37 indicates a correct valuation of TLK.
Based on the Price/Earnings ratio, TLK is valued a bit cheaper than the industry average as 79.41% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.24, TLK is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 13.14, the valuation of TLK can be described as correct.
Based on the Price/Forward Earnings ratio, TLK is valued cheaply inside the industry as 82.35% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.81, TLK is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.37 | ||
| Fwd PE | 13.14 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, TLK is valued a bit cheaper than 61.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.24 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TLK does not grow enough to justify the current Price/Earnings ratio.
TLK has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)57.04
PEG (5Y)2.96
EPS Next 2Y2.83%
EPS Next 3Y3.76%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.54%, TLK is a good candidate for dividend investing.
TLK's Dividend Yield is rather good when compared to the industry average which is at 1803.71. TLK pays more dividend than 85.29% of the companies in the same industry.
TLK's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.54% |
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
92.06% of the earnings are spent on dividend by TLK. This is not a sustainable payout ratio.
The dividend of TLK is growing, but earnings are growing more, so the dividend growth is sustainable.
DP92.06%
EPS Next 2Y2.83%
EPS Next 3Y3.76%
NYSE:TLK (8/25/2025, 1:03:21 PM)
20.26
+0.35 (+1.76%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners24.77%
Inst Owner Change0.41%
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap20.07B
Analysts78.46
Price Target20.22 (-0.2%)
Short Float %0.54%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.54% |
Yearly Dividend1.09
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)21.83%
PT rev (3m)22.13%
EPS NQ rev (1m)-3.16%
EPS NQ rev (3m)1.16%
EPS NY rev (1m)-7.47%
EPS NY rev (3m)-7.47%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.91%
Revenue NY rev (3m)-1.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.37 | ||
| Fwd PE | 13.14 | ||
| 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)1.41
EY6.96%
EPS(NY)1.54
Fwd EY7.61%
FCF(TTM)2.19
FCFY10.83%
OCF(TTM)3.98
OCFY19.62%
SpS9.1
BVpS8.15
TBVpS7.57
PEG (NY)57.04
PEG (5Y)2.96
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%
ROICexcg growth 3Y-4.94%
ROICexcg 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 | 2.6 |
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 Y0.25%
EPS Next 2Y2.83%
EPS Next 3Y3.76%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.22%
Revenue growth 3Y1.55%
Revenue growth 5Y2.04%
Sales Q2Q%-3.96%
Revenue Next Year-0.69%
Revenue Next 2Y1.16%
Revenue Next 3Y1.75%
Revenue Next 5YN/A
EBIT growth 1Y-9.48%
EBIT growth 3Y-1.08%
EBIT growth 5Y0.09%
EBIT Next Year78.13%
EBIT Next 3Y23.06%
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%