Telefonica (Spain) Buy Hold or Sell Recommendation
| TEF Stock | EUR 3.96 0.05 1.28% |
Assuming the 90 days trading horizon and your above-average risk tolerance, our recommendation regarding Telefonica is '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 3.89 | Hype Value 3.96 | Market Value 3.96 | Naive Value 3.91 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Telefonica given historical horizon and risk tolerance towards Telefonica. When Macroaxis issues a 'buy' or 'sell' recommendation for Telefonica, 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. Macroaxis does not own or have any residual interests in Telefonica 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
 |  |
Hold
Market Performance | Modest | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Barely shadows the market | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Inapplicable | Details |
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 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 | 0.07 | Value At Risk | -1.31 | Potential Upside | 1.34 | Standard Deviation | 0.86 |
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 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 | 0.06 | |
β | Beta against NYSE Composite | 0.04 | |
σ | Overall volatility | 0.85 | |
Ir | Information ratio | 0.01 |
Telefonica Volatility Alert
Telefonica has low volatility with Treynor Ratio of 1.78, Maximum Drawdown of 3.94 and kurtosis of -0.3. 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 | 0.0196 | -0.31 |
| Return On Asset | 0.0081 | -0.14 |
| Profit Margin | 0.01 % | (1.27) % |
| Operating Margin | 0.04 % | (5.51) % |
| Current Valuation | 58.51 B | 16.62 B |
| Shares Outstanding | 5.78 B | 571.82 M |
| Shares Owned By Insiders | 9.76 % | 10.09 % |
| Shares Owned By Institutions | 19.35 % | 39.21 % |
| Price To Earning | 11.40 X | 28.72 X |
| Price To Book | 0.78 X | 9.51 X |
| Price To Sales | 0.47 X | 11.42 X |
| Revenue | 39.28 B | 9.43 B |
| Gross Profit | 21.1 B | 27.38 B |
| EBITDA | 19.94 B | 3.9 B |
| Net Income | 8.14 B | 570.98 M |
| Cash And Equivalents | 17.26 B | 2.7 B |
| Cash Per Share | 3.08 X | 5.01 X |
| Total Debt | 33.45 B | 5.32 B |
| Debt To Equity | 1.64 % | 48.70 % |
| Current Ratio | 1.21 X | 2.16 X |
| Book Value Per Share | 4.50 X | 1.93 K |
| Cash Flow From Operations | 10.27 B | 971.22 M |
| Earnings Per Share | 0.05 X | 3.12 X |
| Price To Earnings To Growth | 2.16 X | 4.89 X |
| Target Price | 4.67 | |
| Number Of Employees | 102.31 K | 18.84 K |
| Beta | 0.72 | -0.15 |
| Market Capitalization | 21.15 B | 19.03 B |
| Total Asset | 109.21 B | 29.47 B |
| Working Capital | (3.29 B) | 1.48 B |
| Current Asset | 31.58 B | 9.34 B |
| Current Liabilities | 34.87 B | 7.9 B |
| Annual Yield | 0.08 % |
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? 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.
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?
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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 Plastics 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 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 Commodity Directory module to find actively traded commodities issued by global exchanges.
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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