Telefonica Sa Adr Stock Buy Hold or Sell Recommendation
| TEF Stock | USD 4.22 0.05 1.20% |
Considering the 90-day investment horizon and your typical level of risk aversion, our recommendation regarding Telefonica SA ADR is 'Strong Hold'. Macroaxis provides Telefonica buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding TEF positions. The advice algorithm takes into account all of Telefonica's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Telefonica's buy or sell advice are summarized below:
Real Value 4.46 | Target Price 4.75 | Hype Value 4.22 | Market Value 4.22 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Telefonica SA ADR given historical horizon and risk tolerance towards Telefonica. When Macroaxis issues a 'buy' or 'sell' recommendation for Telefonica SA ADR, the advice is generated through an automated system that utilizes algorithms and statistical models.
Telefonica |
Execute Telefonica Buy or Sell Advice
The Telefonica recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Telefonica SA ADR. Macroaxis does not own or have any residual interests in Telefonica SA ADR or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Telefonica's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | Weak | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Inapplicable | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Telefonica Trading Alerts and Improvement Suggestions
| The company has 44.12 B in debt with debt to equity (D/E) ratio of 1.55, which is OK given its current industry classification. Telefonica SA ADR has a current ratio of 0.9, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Debt can assist Telefonica until it has trouble settling it off, either with new capital or with free cash flow. So, Telefonica's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Telefonica SA ADR sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Telefonica to invest in growth at high rates of return. When we think about Telefonica's use of debt, we should always consider it together with cash and equity. | |
| The entity reported the last year's revenue of 40.65 B. Reported Net Loss for the year was (1.15 B) with profit before taxes, overhead, and interest of 22.35 B. |
Telefonica Returns Distribution Density
The distribution of Telefonica's historical returns is an attempt to chart the uncertainty of Telefonica's future price movements. The chart of the probability distribution of Telefonica daily returns describes the distribution of returns around its average expected value. We use Telefonica SA ADR price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Telefonica returns is essential to provide solid investment advice for Telefonica.
| Mean Return | 0.04 | Value At Risk | -1.64 | Potential Upside | 1.47 | Standard Deviation | 0.95 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Telefonica historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Telefonica Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Telefonica is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Telefonica SA ADR backward and forwards among themselves. Telefonica's institutional investor refers to the entity that pools money to purchase Telefonica's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Cibc World Markets Inc. | 2023-12-31 | 914.4 K | Bank Of Montreal | 2023-12-31 | 848.6 K | Bmo Capital Markets Corp. | 2023-12-31 | 848.6 K | First Trust Advisors L.p. | 2023-12-31 | 838.4 K | Arrowstreet Capital Limited Partnership | 2023-12-31 | 722.1 K | Ethic Inc. | 2023-12-31 | 665.7 K | Stifel Financial Corp | 2023-12-31 | 478.6 K | Crossmark Global Holdings, Inc. | 2023-12-31 | 373.9 K | Susquehanna International Securities Ltd | 2023-12-31 | 360 K | Morgan Stanley - Brokerage Accounts | 2023-12-31 | 19.3 M | Goldman Sachs Group Inc | 2023-12-31 | 10.7 M |
Telefonica Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change In Cash | 350M | (438M) | 3.0B | (1.3B) | (94M) | (89.3M) | |
| Free Cash Flow | 6.6B | 6.2B | 4.1B | 5.3B | 5.5B | 5.8B | |
| Depreciation | 10.6B | 9.4B | 8.4B | 8.8B | 8.8B | 8.5B | |
| Other Non Cash Items | (11.7B) | (10.9B) | (16.5B) | (10.8B) | 4.0B | 4.2B | |
| Dividends Paid | 2.7B | 1.3B | 3.6B | 1.4B | (1.7B) | (1.6B) | |
| Capital Expenditures | 8.4B | 7.0B | 6.2B | 5.5B | 6.2B | 7.1B | |
| Net Income | 1.7B | 1.6B | 8.1B | 2.0B | (1.1B) | (1.1B) | |
| End Period Cash Flow | 6.0B | 5.6B | 8.6B | 7.2B | 7.2B | 5.5B | |
| Investments | (5.6B) | (7.8B) | (98M) | (5.3B) | (5.9B) | (6.2B) | |
| Net Borrowings | (5.6B) | (2.8B) | (8.1B) | (6.0B) | (5.4B) | (5.7B) | |
| Change To Netincome | 3.3B | 2.3B | (6.3B) | 956M | 860.4M | 887.6M |
Telefonica Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Telefonica or Diversified Telecommunication Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Telefonica's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Telefonica stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | 0.01 | |
β | Beta against NYSE Composite | 0.51 | |
σ | Overall volatility | 0.96 | |
Ir | Information ratio | -0.01 |
Telefonica Volatility Alert
Telefonica SA ADR has low volatility with Treynor Ratio of 0.06, Maximum Drawdown of 4.23 and kurtosis of 0.1. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Telefonica's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Telefonica's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Telefonica Fundamentals Vs Peers
Comparing Telefonica's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Telefonica's direct or indirect competition across all of the common fundamentals between Telefonica and the related equities. This way, we can detect undervalued stocks with similar characteristics as Telefonica or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Telefonica's fundamental indicators could also be used in its relative valuation, which is a method of valuing Telefonica by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Telefonica to competition |
| Fundamentals | Telefonica | Peer Average |
| Return On Equity | -0.0195 | -0.31 |
| Return On Asset | 0.0137 | -0.14 |
| Profit Margin | (0.02) % | (1.27) % |
| Operating Margin | (0.05) % | (5.51) % |
| Current Valuation | 66.93 B | 16.62 B |
| Shares Outstanding | 5.64 B | 571.82 M |
| Shares Owned By Insiders | 0.01 % | 10.09 % |
| Shares Owned By Institutions | 6.28 % | 39.21 % |
| Number Of Shares Shorted | 3.32 M | 4.71 M |
| Price To Earning | 13.11 X | 28.72 X |
| Price To Book | 1.01 X | 9.51 X |
| Price To Sales | 0.59 X | 11.42 X |
| Revenue | 40.65 B | 9.43 B |
| Gross Profit | 22.35 B | 27.38 B |
| EBITDA | 10.13 B | 3.9 B |
| Net Income | (1.15 B) | 570.98 M |
| Cash And Equivalents | 7.25 B | 2.7 B |
| Cash Per Share | 1.14 X | 5.01 X |
| Total Debt | 44.12 B | 5.32 B |
| Debt To Equity | 1.55 % | 48.70 % |
| Current Ratio | 0.92 X | 2.16 X |
| Book Value Per Share | 3.88 X | 1.93 K |
| Cash Flow From Operations | 11.65 B | 971.22 M |
| Short Ratio | 4.88 X | 4.00 X |
| Earnings Per Share | (0.21) X | 3.12 X |
| Price To Earnings To Growth | 2.14 X | 4.89 X |
| Target Price | 4.98 | |
| Number Of Employees | 104.14 K | 18.84 K |
| Beta | 0.7 | -0.15 |
| Market Capitalization | 23.29 B | 19.03 B |
| Total Asset | 104.32 B | 29.47 B |
| Retained Earnings | 24.89 B | 9.33 B |
| Working Capital | (2.64 B) | 1.48 B |
Telefonica Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Telefonica . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Telefonica Buy or Sell Advice
When is the right time to buy or sell Telefonica SA ADR? Buying financial instruments such as Telefonica Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Short and Long Term Debt Total | 8.1B | 8.7B | 44.1B | 34.7B | Total Assets | 109.2B | 109.6B | 104.3B | 88.4B |
Use Investing Ideas to Build Portfolios
In addition to having Telefonica in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Cleaning Thematic Idea Now
Cleaning
Compnanies producing and distributing cleaning products, supplies, and accessories. The Cleaning theme has 39 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Cleaning Theme or any other thematic opportunities.
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Check out Telefonica Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Telefonica SA ADR information on this page should be used as a complementary analysis to other Telefonica's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
Complementary Tools for Telefonica Stock analysis
When running Telefonica's price analysis, check to measure Telefonica's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Telefonica is operating at the current time. Most of Telefonica's value examination focuses on studying past and present price action to predict the probability of Telefonica's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Telefonica's price. Additionally, you may evaluate how the addition of Telefonica to your portfolios can decrease your overall portfolio volatility.
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Is Telefonica's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Telefonica. If investors know Telefonica will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Telefonica listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.105 | Dividend Share 0.3 | Earnings Share (0.21) | Revenue Per Share 7.172 | Quarterly Revenue Growth 0.072 |
The market value of Telefonica SA ADR is measured differently than its book value, which is the value of Telefonica that is recorded on the company's balance sheet. Investors also form their own opinion of Telefonica's value that differs from its market value or its book value, called intrinsic value, which is Telefonica's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Telefonica's market value can be influenced by many factors that don't directly affect Telefonica's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Telefonica's value and its price as these two are different measures arrived at by different means. Investors typically determine if Telefonica is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Telefonica's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.