Teleperformance SE (FR:TEP)
:TEP
Top Page
Teleperformance
(TEP)
Select Model
Select Model
Rating:62Neutral
Price Target:
€49.00
▼(-22.35% Downside)
Action:DowngradedDate:03/01/26
The score is supported by very attractive valuation (low P/E and high dividend yield) and solid underlying cash generation, but is held back by weakening fundamentals (negative 2025 revenue growth, net margin compression, rising leverage) and bearish technical trend (price below key moving averages with negative MACD).
Positive Factors
Strong free cash flow generation
Consistent, high free cash flow (FCF €1.18B in 2025) provides durable capacity to fund dividends, invest in automation and technology, and service debt. Sustained cash generation underpins strategic flexibility and resilience across economic cycles.
Negative Factors
Recent revenue slowdown/decline
Revenue contraction in 2025 marks a material shift from prior growth and signals demand or volume pressure. Prolonged top-line weakness can erode scale advantages, limit cross-sell expansion, and reduce headroom for margin recovery and reinvestment in digital capabilities.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong free cash flow generation
Consistent, high free cash flow (FCF €1.18B in 2025) provides durable capacity to fund dividends, invest in automation and technology, and service debt. Sustained cash generation underpins strategic flexibility and resilience across economic cycles.
Read all positive factors
Teleperformance (TEP) vs. iShares MSCI France ETF (EWQ)
Market Cap
€2.81B
Dividend Yield6.86%
Average Volume (3M)309.25K
Price to Earnings (P/E)7.3
Beta (1Y)0.98
Revenue Growth9.08%
EPS Growth-22.55%
CountryFR
Employees446,052
SectorGeneral
Sector StrengthN/A
IndustrySpecialty Business Services
Share Statistics
EPS (TTM)6.51
Shares Outstanding59,874,367
10 Day Avg. Volume228,213
30 Day Avg. Volume309,249
Financial Highlights & Ratios
PEG Ratio-2.21
Price to Book (P/B)0.89
Price to Sales (P/S)0.36
P/FCF Ratio3.08
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
€69.67Price Target Upside10.41% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering6
EPS Forecast (FY)13.72
Revenue Forecast (FY)€10.10B
Teleperformance Business Overview & Revenue Model
Company Description
Teleperformance SE, together with its subsidiaries, provides outsourced customer and citizen experience management, and related services in France and internationally. The company operates in two segments, Core Services and Digital Integrated Busi...
How the Company Makes Money
Teleperformance primarily makes money by selling outsourced services to corporate and public-sector clients under multi-month to multi-year contracts. Revenue is generated mainly from: (1) Customer experience and contact center services: Clients p...
Teleperformance Financial Statement Overview
Summary
Income Statement
63
Positive
Balance Sheet
54
Neutral
Cash Flow
60
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 10.21B | 10.28B | 8.35B | 8.15B | 7.12B |
| Gross Profit | 1.20B | 3.35B | 2.60B | 1.81B | 2.17B |
| EBITDA | 1.89B | 1.93B | 1.61B | 1.63B | 1.37B |
| Net Income | 497.00M | 523.00M | 592.00M | 643.00M | 557.00M |
Balance Sheet | |||||
| Total Assets | 11.48B | 12.07B | 12.07B | 8.89B | 8.35B |
| Cash, Cash Equivalents and Short-Term Investments | 1.12B | 1.10B | 882.00M | 817.00M | 837.00M |
| Total Debt | 5.55B | 4.91B | 5.43B | 3.42B | 3.50B |
| Total Liabilities | 7.38B | 7.52B | 7.84B | 5.22B | 5.19B |
| Stockholders Equity | 4.10B | 4.56B | 4.22B | 3.67B | 3.16B |
Cash Flow | |||||
| Free Cash Flow | 1.18B | 1.59B | 1.14B | 947.00M | 876.00M |
| Operating Cash Flow | 1.43B | 1.81B | 1.38B | 1.29B | 1.14B |
| Investing Cash Flow | -737.00M | -221.00M | -2.59B | -602.00M | -1.16B |
| Financing Cash Flow | -648.00M | -1.40B | 1.41B | -715.00M | -173.00M |
Teleperformance Technical Analysis
Negative
63.10
Price Trends
52.87
Negative
56.47
Negative
64.28
Negative
Market Momentum
-1.57
Positive
40.48
Neutral
11.58
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:TEP, the sentiment is Negative. The current price of 63.1 is above the 20-day moving average (MA) of 51.61, above the 50-day MA of 52.87, and below the 200-day MA of 64.28, indicating a bearish trend. The MACD of -1.57 indicates Positive momentum. The RSI at 40.48 is Neutral, neither overbought nor oversold. The STOCH value of 11.58 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:TEP.
Teleperformance Peers Comparison
UnderperformOutperform
Sector (55)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
70 Outperform | €2.08B | 6.30 | ― | 2.91% | 6.36% | 48.97% | |
63 Neutral | €5.61B | 15.45 | 10.25% | 1.88% | 4.83% | 52.47% | |
63 Neutral | €859.08M | 10.36 | 17.70% | 3.03% | 9.51% | 26.07% | |
62 Neutral | €2.81B | 7.30 | 11.73% | 6.86% | 9.08% | -22.55% | |
61 Neutral | €6.23B | 7.25 | 18.37% | 6.20% | 1.16% | 314.94% | |
55 Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% | |
52 Neutral | €2.07B | 42.52 | 10.54% | ― | 18.03% | 3.43% |
* General Sector Average
FR:TEP
Teleperformance
47.01
-44.87
-48.83%
FR:ELIS
Elis SA
24.12
3.62
17.67%
FR:GLO
GL EVENTS
29.45
9.14
45.02%
FR:IDL
ID LOGISTICS
316.50
-51.50
-13.99%
FR:SW
Sodexo SA
42.60
-13.89
-24.59%
FR:PLX
PLUXEE N.V.
9.97
-9.90
-49.83%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.