Telstra Corporation Limited (TLS) AI Stock Analysis

• Market Cap: $51.81B
• Dividend Yield: 4.17%
• Average Volume (3M): 33.22M
• Price to Earnings (P/E): 31.1
• Beta (1Y): 0.42
• Revenue Growth: 1.24%
• EPS Growth: -16.88%
• Country: AU
• Employees: 31,876
• Sector: Communication Services
• Sector Strength: 82
• Industry: Telecommunications Services
• EPS (TTM): 0.09
• Shares Outstanding: 11,432,302,000
• 10 Day Avg. Volume: 29,068,820
• 30 Day Avg. Volume: 33,215,853
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $4.29
• Price Target Upside: -6.83% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

Telstra Corporation receives a solid score due to its stable financial performance and strong earnings call. The stock's upward technical trend and attractive dividend yield further support the score, though the high P/E ratio suggests caution. Financial challenges, particularly in cash flow, need attention to sustain growth.

Telstra Corporation Limited Business Overview & Revenue Model

Company Description

Telstra Group Limited provides telecommunications and information services to businesses, governments, and individuals in Australia and internationally. It operates in four segments: Telstra Consumer and Small Business, Telstra Enterprise, Networks and IT, and Telstra InfraCo. The company offers telecommunication, media and technology products and services in Australia using mobile and fixed network technologies, as well as operates call centers, retail stores, a dealership network, digital channels, distribution systems and Telstra Plus customer loyalty program. It also provides network capacity and management, unified communications, cloud, security, industry solutions, integrated and monitoring services to government and large enterprise and business customers; wholesale services, including voice and data; and telecommunication products and services to other carriers, carriage service providers, and internet service providers, as well as builds and manages digital platforms. In addition, the company operates the fixed passive network infrastructure, including data centers, exchanges, poles, ducts, pits and pipes, and fiber network; provides wholesale customers with access to network infrastructure; provides long-term access to components of infrastructure under the infrastructure services agreement; designs and constructs fiber, exchanges, and other infrastructure; and operates the passive and physical mobile tower assets owned or operated by the Amplitel Pty Ltd. The company was formerly known as Telstra Corporation Limited and changed its name to Telstra Group Limited in November 2022. Telstra Group Limited was founded in 1901 and is based in Melbourne, Australia.

How the Company Makes Money

Telstra makes money through several key revenue streams. Its primary source of revenue is its mobile segment, where it provides postpaid and prepaid mobile services to consumers and businesses. Fixed-line services, including broadband internet and traditional phone services, also contribute significantly to its earnings. Additionally, Telstra generates revenue from its enterprise services, which include managed network services, unified communications, cloud services, and security solutions. The company also benefits from its media and digital content offerings. Strategic partnerships with technology and media companies, along with its investments in network infrastructure, such as 5G technology, further bolster its financial performance. Telstra's focus on expanding its digital and technological capabilities plays a crucial role in driving future revenue growth.

Telstra Corporation Limited Financial Statement Overview

Summary

Telstra Corporation shows stable income with a consistent gross profit margin of 24.9% and moderate profitability with a net profit margin of 7.1%. The balance sheet indicates moderate leverage with a debt-to-equity ratio of 1.14, and cash flow challenges are evident with a negative free cash flow growth rate of -41.5%. Overall, the financials highlight stability but also suggest a need for enhanced cost management and cash flow optimization.

Income Statement

Telstra Corporation shows a stable income performance with a consistent gross profit margin of around 24.9% over the recent year. The net profit margin stands at 7.1%, reflecting moderate profitability. Revenue growth is modest at 1.0%, indicating a slight upward trend in sales. EBIT and EBITDA margins are healthy at 14.4% and 33.0%, respectively, showcasing operational efficiency. However, the slight decline in net income from the previous year suggests challenges in cost management or market conditions.

Balance Sheet

The balance sheet reveals a solid equity base with a debt-to-equity ratio of 1.14, indicating moderate leverage. Return on equity is 10.9%, which is respectable but shows room for improvement in enhancing shareholder returns. The equity ratio of 32.8% reflects a balanced capital structure, although the company could benefit from reducing its debt load to enhance financial stability.

Cash Flow

Telstra's cash flow performance indicates challenges with a negative free cash flow growth rate of -41.5%, suggesting a decline in cash reserves. The operating cash flow to net income ratio is robust at 3.98, indicating strong cash generation relative to earnings. However, the free cash flow to net income ratio of 0.86 suggests limited cash available for reinvestment or debt reduction after covering capital expenditures.

Breakdown
Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
22.93B	22.70B	21.28B	21.56B	23.71B
	Gross Profit
14.49B	5.75B	5.07B	3.69B	3.89B
	EBIT
3.30B	3.22B	2.78B	2.25B	2.28B
	EBITDA
7.58B	7.99B	7.40B	8.97B	10.54B
	Net Income Common Stockholders
1.62B	1.93B	1.69B	1.86B	1.82B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.05B	932.00M	1.04B	1.13B	499.00M
	Total Assets
45.55B	45.03B	41.63B	42.52B	44.40B
	Total Debt
16.97B	15.87B	14.27B	17.44B	19.13B
	Net Debt
15.92B	14.93B	13.23B	16.32B	18.63B
	Total Liabilities
28.20B	27.21B	24.65B	27.25B	29.26B
	Stockholders Equity
14.92B	15.41B	15.49B	14.59B	14.47B
Cash Flow		Free Cash Flow
1.39B	2.37B	3.73B	3.52B	2.87B
	Operating Cash Flow
6.45B	6.24B	6.82B	6.66B	6.31B
	Investing Cash Flow
-4.99B	-6.03B	-3.50B	-2.38B	-2.39B
	Financing Cash Flow
-1.18B	-333.00M	-3.44B	-3.62B	-4.02B

Telstra Corporation Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.61
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:TLS, the sentiment is Positive. The current price of 4.61 is above the 20-day moving average (MA) of 4.47, above the 50-day MA of 4.29, and above the 200-day MA of 3.95, indicating a bullish trend. The MACD of 0.09 indicates Positive momentum. The RSI at 75.60 is Negative, neither overbought nor oversold. The STOCH value of 78.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:TLS.

Telstra Corporation Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TLS	75 Outperform	$51.81B	31.07	11.34%	4.17%	1.24%	-16.88%
Sector *	60 Neutral	$13.50B	7.33	-2.74%	3.80%	2.09%	-39.49%

Telstra Corporation Limited Corporate Events

Telstra Updates on Share Buy-Back Progress

Telstra Group Limited has announced an update regarding its ongoing share buy-back program. As of May 2, 2025, the company has repurchased a total of 134,488,283 ordinary fully paid securities, with 438,772 securities bought back on the previous day. This buy-back initiative is part of Telstra’s strategy to optimize its capital structure and enhance shareholder value.

Telstra Announces Cessation of Over 70 Million Securities

Telstra Group Limited has announced the cessation of 70,194,190 ordinary fully paid securities as part of an on-market buy-back, effective April 30, 2025. This strategic move is likely aimed at optimizing the company’s capital structure and could have implications for its market valuation and shareholder value.

Telstra Updates on Significant Share Buy-Back Progress

Telstra Group Limited has announced an update on its ongoing on-market buy-back program, with a total of 1,644,879 ordinary fully paid securities bought back on the previous day, contributing to a cumulative total of 132,843,404 securities repurchased. This buy-back initiative is part of Telstra’s strategy to optimize its capital structure and deliver value to shareholders, potentially impacting its stock performance and market perception.

Telstra Updates on Ongoing Share Buy-Back Program

Telstra Group Limited has announced an update regarding its ongoing on-market buy-back program, with a total of 4,954,382 ordinary fully paid securities bought back on the previous day, adding to the cumulative total of 127,889,022 securities repurchased. This buy-back initiative is part of Telstra’s strategic financial management, potentially enhancing shareholder value and optimizing the company’s capital structure.

Telstra Announces Strategic Issuer Substitution for Fixed Rate Notes

Telstra Corporation Limited announced an issuer substitution, where Telstra Group Limited will replace it as the issuer of certain fixed rate notes quoted on the ASX Wholesale Loan Securities Market. This change, effective from 30 April 2025, involves a change in ASX codes for the notes and signifies a strategic move in Telstra’s financial structuring, potentially impacting its market positioning and stakeholder interests.

Telstra Updates on Share Buy-Back Progress

Telstra Group Limited has announced an update regarding its ongoing share buy-back program, with a total of 5,763,120 ordinary fully paid securities bought back on the previous day. This buy-back initiative reflects Telstra’s strategy to optimize its capital structure and potentially enhance shareholder value, indicating a proactive approach to managing its financial resources.

Telstra Updates on Share Buy-Back Program

Telstra Group Limited has announced an update regarding its ongoing share buy-back program. As of April 28, 2025, the company has repurchased a total of 117,815,672 ordinary fully paid securities, with an additional 4,310,230 securities bought back on the previous day. This buy-back initiative is part of Telstra’s strategy to manage its capital structure and potentially enhance shareholder value.

Telstra Updates on Market Buy-Back Program

Telstra Group Limited has announced an update regarding its ongoing on-market buy-back program. As of April 24, 2025, the company has repurchased a total of 117,815,672 ordinary fully paid securities, including 4,828,062 securities bought back on the previous day. This buy-back initiative is part of Telstra’s strategy to manage its capital structure and potentially enhance shareholder value.

Telstra Updates on Significant Buy-Back Progress

Telstra Group Limited has announced an update on its ongoing buy-back program, revealing that it has repurchased a total of 107,765,252 securities before the previous day and an additional 5,222,358 securities on the previous day. This buy-back initiative is part of Telstra’s strategy to optimize its capital structure and enhance shareholder value, reflecting the company’s robust financial position and commitment to returning capital to its investors.

Telstra Updates on Share Buy-Back Program

Telstra Group Limited has announced an update on its ongoing share buy-back program, revealing that a total of 103,942,759 securities were bought back before the previous day, with an additional 3,822,493 securities acquired on the previous day. This buy-back initiative is part of Telstra’s strategy to optimize its capital structure and enhance shareholder value, reflecting the company’s commitment to returning capital to its investors.

Telstra Updates on Daily Buy-Back Activity

Telstra Group Limited has announced an update regarding its ongoing on-market buy-back program, with a daily notification revealing the purchase of 8,511,567 ordinary fully paid securities on the previous day. This buy-back initiative is part of Telstra’s strategy to manage its capital structure and enhance shareholder value, reflecting the company’s commitment to optimizing its financial operations and maintaining a strong market position.

Telstra Updates on Market Buy-Back Progress

Telstra Corporation Limited has announced an update regarding its ongoing on-market buy-back program. As of April 15, 2025, the company has repurchased a total of 95,431,192 ordinary fully paid securities, including 6,157,171 securities bought back on the previous day. This buy-back initiative is part of Telstra’s strategy to optimize its capital structure and enhance shareholder value.

Telstra Updates on Share Buy-Back Progress

Telstra Group Limited has announced an update on its ongoing share buy-back program, revealing that a total of 6,128,909 ordinary fully paid securities were bought back on the previous day, contributing to a cumulative total of 83,145,112 securities repurchased. This buy-back initiative is part of Telstra’s strategy to optimize its capital structure and enhance shareholder value, reflecting positively on its market positioning and operational efficiency.

Telstra Continues Strategic Buy-Back of Securities

Telstra Group Limited has announced a daily update on its ongoing on-market buy-back of ordinary fully paid securities, with a total of 5,659,265 securities bought back on the previous day. This buy-back initiative is part of Telstra’s strategy to manage its capital structure and potentially enhance shareholder value, reflecting a proactive approach in optimizing financial operations.

Telstra Updates on Ongoing Securities Buy-Back

Telstra Group Limited has announced an update regarding its ongoing on-market buy-back of ordinary fully paid securities. As of April 10, 2025, the company has bought back a total of 73,923,427 securities, with an additional 3,562,420 securities purchased on the previous day. This buy-back initiative is part of Telstra’s strategy to manage its capital structure and potentially enhance shareholder value.

Telstra Updates on Share Buy-Back Progress

Telstra Group Limited has announced an update on its ongoing share buy-back program, with a total of 6,123,371 ordinary fully paid securities bought back on the previous day, adding to the 67,800,056 securities already bought back. This buy-back initiative is part of Telstra’s strategy to optimize its capital structure and potentially enhance shareholder value, reflecting its commitment to returning capital to shareholders.

Telstra Continues Strategic Share Buy-Back Program

Telstra Group Limited has announced an update regarding its ongoing on-market buy-back program. As of April 8, 2025, the company has repurchased a total of 67,800,056 ordinary fully paid securities, with 5,117,704 bought back on the previous day. This buy-back initiative is part of Telstra’s strategy to optimize its capital structure and deliver value to its shareholders.

Telstra Announces Cessation of Over 51 Million Securities in Buy-Back Move

Telstra Group Limited announced the cessation of 51,931,712 ordinary fully paid securities as part of an on-market buy-back, effective April 7, 2025. This move is part of Telstra’s capital management strategy, potentially impacting its share value and signaling a focus on optimizing shareholder returns.

Telstra Updates on Share Buy-Back Progress

Telstra Group Limited has announced an update regarding its ongoing share buy-back program. As of April 7, 2025, the company reported the buy-back of 8,404,874 ordinary fully paid securities on the previous day, adding to a total of 54,277,478 securities bought back prior. This move is part of Telstra’s strategy to manage its capital structure and return value to shareholders, potentially impacting its market positioning and investor relations.

Telstra Updates on Market Buy-Back Progress

Telstra Group Limited has announced an update regarding its ongoing on-market buy-back program. As of April 3, 2025, the company has repurchased a total of 51,931,712 ordinary fully paid securities, including 1,839,221 securities bought back on the previous day. This buy-back initiative is part of Telstra’s strategy to manage its capital structure and potentially enhance shareholder value.

Telstra Continues Strategic Buy-Back Program

Telstra Group Limited has announced a daily update on its ongoing buy-back program, revealing that a total of 48,538,717 securities have been bought back before the previous day, with an additional 1,553,774 securities purchased on the previous day. This buy-back initiative is part of Telstra’s strategy to optimize its capital structure and enhance shareholder value, reflecting its commitment to returning capital to shareholders and strengthening its financial position in the competitive telecommunications industry.

Telstra Updates on Share Buy-Back Progress

Telstra Group Limited has announced an update on its ongoing share buy-back program. As part of this initiative, the company has repurchased a total of 48,538,717 ordinary fully paid securities, with 3,447,765 bought back on the previous day alone. This buy-back is part of Telstra’s strategy to optimize its capital structure and enhance shareholder value.

Telstra Updates on Significant Buy-Back Progress

Telstra Group Limited has announced an update regarding its ongoing on-market buy-back program, revealing that a total of 6,578,971 ordinary fully paid securities were bought back on the previous day, adding to the cumulative total of 38,511,981 securities repurchased. This buy-back initiative is part of Telstra’s strategy to enhance shareholder value and optimize its capital structure, reflecting confidence in its financial position and future growth prospects.

Telstra Updates on Ongoing Share Buy-Back Program

Telstra Group Limited has announced an update regarding its ongoing on-market buy-back program, with a total of 2,555,595 ordinary fully paid securities bought back on the previous day. This buy-back initiative, which began on February 20, 2025, reflects the company’s strategy to manage its capital structure and potentially enhance shareholder value.

Telstra Updates on Share Buy-Back Program

Telstra Group Limited has announced an update on its ongoing share buy-back program, reporting the purchase of 3,526,818 ordinary fully paid securities on the previous day. This move is part of a broader strategy to manage the company’s capital structure and potentially enhance shareholder value, reflecting Telstra’s commitment to returning value to its investors.

Telstra Updates on Ongoing Buy-Back Program

Telstra Group Limited has announced an update regarding its ongoing on-market buy-back program. As of March 24, 2025, the company reported buying back a total of 4,040,750 ordinary fully paid securities on the previous day, adding to the cumulative total of 22,166,651 securities bought back before that day. This buy-back initiative is part of Telstra’s strategy to manage its capital structure and potentially enhance shareholder value.

Telstra Updates on Share Buy-Back Progress

Telstra Group Limited has announced an update on its ongoing share buy-back program, revealing that a total of 2,970,108 ordinary fully paid securities were bought back on the previous day, adding to the 12,296,561 securities already acquired. This buy-back initiative is part of Telstra’s strategy to optimize its capital structure and enhance shareholder value, reflecting its strong financial position and commitment to returning capital to shareholders.

Telstra Announces Daily Share Buy-Back to Enhance Shareholder Value

Telstra Corporation Limited has announced a daily buy-back of its ordinary fully paid securities, purchasing 4,962,935 shares on the previous day. This move is part of an ongoing strategy to optimize capital management and potentially enhance shareholder value, reflecting Telstra’s commitment to maintaining a strong market position and delivering returns to its investors.

Telstra Director Increases Stake with Significant Share Purchase

Telstra Group Limited announced a change in the director’s interest notice for David Lamont, reflecting the purchase of 100,000 ordinary shares by Lamfam Investco Pty Ltd. This change indicates an increase in indirect interest, potentially signaling confidence in the company’s future prospects and impacting stakeholder perceptions positively.

Telstra Updates Dividend Distribution Details for 2024

Telstra Group Limited has announced an update regarding its dividend distribution for the period ending December 31, 2024. The update includes details on the Dividend Reinvestment Plan (DRP) price, which is relevant for stakeholders tracking the company’s financial performance and shareholder returns.

Telstra’s Half-Year Results: Strong Growth and AI Leadership

Telstra Corporation Limited announced its half-year results, highlighting a strong performance with underlying growth for the fourth consecutive year, driven by business momentum, cost control, and capital management. The company emphasized the importance of AI in its operations, with a joint venture with Accenture to enhance AI capabilities and meet future connectivity demands, positioning Telstra as a leader in AI and digital infrastructure, crucial for Australia’s technological resilience and prosperity.

Telstra Announces On-Market Buy-Back to Enhance Shareholder Value

Telstra Group Limited has announced a new on-market buy-back of its ordinary fully paid shares, as disclosed in the latest announcement dated February 20, 2025. This move reflects the company’s strategy to enhance shareholder value, indicating a strong financial position that enables it to return capital to its shareholders, potentially impacting its stock performance and investor confidence positively.

Telstra Releases Half-Year 2024 Financial Results

Telstra Corporation Limited has released its financial results for the half-year ended December 31, 2024. The announcement includes a presentation of the results, operations review, and financial tables, which are significant for stakeholders, including noteholders of Telstra Corporation Limited. The company will hold a live webcast briefing to discuss the results, providing stakeholders with insights into its operational performance and financial health.

Telstra Announces Strategic Share Buy-Back

Telstra Corporation Limited has announced an on-market share buy-back, a strategic financial move that is likely to impact its market positioning by potentially increasing shareholder value. This announcement, authorized by the Telstra Group Limited Board, reflects the company’s commitment to optimizing its capital structure and returning value to its investors.

Telstra Reports Strong Growth in H1 FY25

Telstra Group Limited has announced continued growth in the first half of the fiscal year 2025. This achievement reflects positively on Telstra’s operational performance and market strategy, potentially boosting confidence among stakeholders and strengthening its position in the telecommunications industry.

Telstra Announces New Dividend Distribution

Telstra Group Limited has announced a new dividend distribution of AUD 0.095 per share for ordinary fully paid securities. The dividend is related to the six-month financial period ending December 31, 2024, with key dates being the ex-date on February 26, 2025, record date on February 27, 2025, and payment date on March 28, 2025. This announcement may reflect Telstra’s financial stability and commitment to returning value to shareholders, potentially influencing investor sentiment positively.

Telstra Reports Increased Revenue and Profit in Half-Year Results

Telstra Group Limited has released its financial results for the half-year ending 31 December 2024, reporting a 1.5% increase in revenue to $11.602 billion and a 7.1% rise in profit to $1.115 billion compared to the same period last year. The company attributes the decrease in net tangible assets per security to recent software and spectrum licence acquisitions, demonstrating a strategic investment in enhancing its technological capabilities, which may have long-term benefits for its market position and stakeholder interests.