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Telecom Italia SPA (IT:TITR)
:TITR

Telecom Italia SPA (TITR) AI Stock Analysis

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Telecom Italia SPA

(LSE:TITR)

Rating:55Neutral
Price Target:
€0.50
▲(11.11%Upside)
The overall stock score reflects significant financial challenges, including declining revenues and high leverage, which are partially offset by strong technical momentum. However, valuation concerns with a negative P/E ratio and no dividend yield weigh on the stock's attractiveness.

Telecom Italia SPA (TITR) vs. iShares MSCI Italy ETF (EWI)

Telecom Italia SPA Business Overview & Revenue Model

Company DescriptionTelecom Italia S.p.A. (TITR), commonly known as TIM, is a leading telecommunications and ICT (Information and Communications Technology) company in Italy. It offers a wide range of services including fixed and mobile telecommunications, internet, digital services, and cloud solutions. TIM operates primarily in Italy and Brazil, serving residential, business, and wholesale customers with a focus on innovation and digital transformation.
How the Company Makes MoneyTelecom Italia S.p.A. generates revenue through multiple streams. The primary source of income is from providing mobile and fixed-line telecommunication services to individual and business customers. This includes voice calls, data services, and broadband internet. Additionally, the company earns revenue from digital services, such as cloud computing, Internet of Things (IoT) solutions, and managed IT services. TIM also has a significant presence in the wholesale market, offering network infrastructure and services to other telecommunications operators. In Brazil, TIM Brasil contributes significantly to the company's overall earnings, serving as a major player in the mobile telecommunications market there. Strategic partnerships and investments in technology and infrastructure also play a crucial role in enhancing TIM's service offerings and expanding its market reach.

Telecom Italia SPA Financial Statement Overview

Summary
Telecom Italia SPA faces financial challenges with declining revenues, persistent net losses, and high leverage. Despite moderate operational efficiency and improvements in free cash flow, the company struggles with profitability and financial stability. The high debt levels reflect the capital-intensive nature of the telecommunications industry.
Income Statement
52
Neutral
Telecom Italia SPA's income statement shows a declining revenue trend with a decrease from the previous year and a current TTM revenue of €13.79 billion. The gross profit margin is approximately 42.52%, which is moderate for the industry. However, the company has been experiencing consistent net losses, with a net profit margin of -2.42% in the TTM period, indicating challenges in profitability. EBIT and EBITDA margins are 11.22% and 30.88%, respectively, showing some operational efficiency but insufficient to offset overall losses.
Balance Sheet
45
Neutral
The balance sheet indicates a high level of debt, with a debt-to-equity ratio of 1.27, which poses a risk of financial leverage. The equity ratio stands at 31.54%, suggesting a moderate level of equity financing compared to total assets. Return on equity is negative due to net losses, which is concerning for shareholders seeking returns. Despite improvements in net debt position, overall financial stability is challenged by high leverage.
Cash Flow
58
Neutral
The cash flow statement reveals positive operating cash flow, which is a positive sign, with an operating cash flow to net income ratio of -9.57, indicating cash generation despite accounting losses. The free cash flow has shown improvement with a growth rate of 130.85% compared to the previous year, suggesting better cash management. However, the free cash flow to net income ratio is -2.77, reflecting challenges in translating cash flows into profitability.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue13.79B14.44B14.31B15.79B15.32B15.80B
Gross Profit5.86B6.73B7.23B9.13B9.25B10.13B
EBITDA4.26B4.80B4.81B5.51B1.16B7.25B
Net Income-334.00M-610.00M-1.44B-2.92B-8.65B7.22B
Balance Sheet
Total Assets37.95B37.66B62.16B62.03B69.19B73.23B
Cash, Cash Equivalents and Short-Term Investments3.79B4.46B4.97B5.00B9.15B5.92B
Total Debt15.20B15.54B31.55B31.19B32.10B29.95B
Total Liabilities24.63B24.30B44.65B43.30B47.15B44.39B
Stockholders Equity11.97B11.96B13.65B15.06B17.41B26.21B
Cash Flow
Free Cash Flow927.00M402.00M-25.00M-1.41B323.00M1.85B
Operating Cash Flow3.20B3.25B3.94B4.89B4.34B6.55B
Investing Cash Flow5.45B5.36B-4.15B-5.33B-5.12B-3.08B
Financing Cash Flow-6.32B-7.25B-456.00M-2.87B3.16B-2.01B

Telecom Italia SPA Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.45
Price Trends
50DMA
0.42
Positive
100DMA
0.38
Positive
200DMA
0.33
Positive
Market Momentum
MACD
0.01
Negative
RSI
57.85
Neutral
STOCH
60.39
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:TITR, the sentiment is Positive. The current price of 0.45 is above the 20-day moving average (MA) of 0.44, above the 50-day MA of 0.42, and above the 200-day MA of 0.33, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 57.85 is Neutral, neither overbought nor oversold. The STOCH value of 60.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:TITR.

Telecom Italia SPA Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
60
Neutral
€3.19B-10.8044.79%6.63%-4.42%21.19%
55
Neutral
€8.97B1.06%-15.82%86.90%
ITTSL
40
Underperform
€33.53M-1150.83%-6.15%22.26%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IT:TITR
Telecom Italia SPA
0.45
0.20
79.28%
IT:TSL
Tiscali SPA
0.11
-0.53
-83.44%

Telecom Italia SPA Corporate Events

Telecom Italia SPA Announces Shareholder Withdrawal Rights Post-Resolution
Jun 25, 2025

Telecom Italia SPA has announced the registration of a resolution from its Extraordinary Shareholders’ Meeting, allowing shareholders who did not support the resolution to exercise their right of withdrawal. This decision impacts shareholders holding ordinary and savings shares, offering them a specified liquidation value for their shares if they choose to withdraw. The process for exercising this right is detailed, requiring shareholders to submit a withdrawal declaration by July 10, 2025. This move may affect the company’s shareholder structure and financial strategy, as it provides an option for dissenting shareholders to exit their investment.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.36 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

Telecom Italia Appoints Emanuele Rimini as Common Representative for Savings Shareholders
Jun 24, 2025

Telecom Italia S.p.A. has announced the appointment of Emanuele Rimini as the common representative for its savings shareholders, following a special meeting conducted in compliance with Decree Law 18/2020. Rimini, a seasoned lawyer and professor with extensive experience in corporate and commercial law, will serve a three-year term, potentially influencing the company’s governance and shareholder relations.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.36 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

TIM Approves 2024 Financial Statements Amidst Governance Changes
Jun 24, 2025

TIM’s Shareholders’ Meeting approved the 2024 financial statements, revealing a significant net loss of over 1.24 billion euros, which was covered using the legal reserve. The meeting also endorsed various remuneration policies and long-term incentive plans to align management and shareholder interests. Additionally, several amendments to the Articles of Association were discussed, with some approved and others rejected, impacting corporate governance and shareholder rights. The company also addressed the right of withdrawal for shareholders dissenting on specific amendments, with conditions set for its execution.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.38 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

TIM Receives Government Approval for Corporate Statute Amendment
Jun 20, 2025

Telecom Italia SPA (TIM) announced that the Italian government has decided not to exercise its special powers regarding the proposed amendment to the company’s corporate statute. This decision, related to the Golden Power regulations, allows TIM to proceed with its planned changes, potentially impacting its strategic direction and operations without government intervention.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.36 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

Telecom Italia Prepares for Savings Shareholders’ Meeting
Jun 6, 2025

Telecom Italia SPA has announced the availability of proposals for appointing the Common Representative for the upcoming Special Meeting of savings shareholders. This announcement is part of the preparations for the meeting scheduled for June 24, 2025, and reflects the company’s ongoing efforts to engage with its shareholders and ensure transparent governance processes.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.38 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

Telecom Italia Releases 2025 Remuneration Policy Report
Jun 3, 2025

Telecom Italia SPA has published its 2025 remuneration policy report and 2024 fees for directors and executives, approved by the Board of Directors. This publication is part of the company’s compliance with legislative requirements, providing transparency to stakeholders about executive compensation.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.36 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

Telecom Italia S.P.A. Announces Managerial Share Purchase
May 29, 2025

Telecom Italia S.P.A. has announced a transaction involving the purchase of 100,000 ordinary shares at a price of 0.38 EUR each, conducted on the Euronext Milan. This transaction reflects internal managerial activities and may indicate confidence in the company’s market position and future prospects.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.36 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

Telecom Italia Calls Shareholders’ Meeting to Address Financial and Governance Matters
May 24, 2025

Telecom Italia S.p.A. has announced an upcoming ordinary shareholders’ meeting scheduled for June 24, 2025, in Milan. The agenda includes approval of the financial statements for 2024, discussions on remuneration policies, and several stock and share plans. Additionally, there are proposals for amendments to the Articles of Association and resolutions to handle financial losses from previous years. This meeting reflects the company’s ongoing efforts to manage its financial health and governance structure, which could have significant implications for its strategic direction and stakeholder engagement.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.36 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

Telecom Italia Announces Savings Shareholders’ Meeting for June 2025
May 24, 2025

Telecom Italia S.p.A. has announced the convening of a Savings Shareholders’ Meeting on June 24, 2025, in Milan, to discuss the protection of common interests and appoint a Common Representative. This meeting, conducted through a designated representative, reflects the company’s commitment to shareholder engagement and governance, potentially impacting its operational transparency and stakeholder relations.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.36 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

Telecom Italia SPA Announces Shareholders’ Meeting to Address Key Financial and Governance Changes
May 23, 2025

Telecom Italia SPA’s Board of Directors has convened a Shareholders’ Meeting for June 24, 2025, to address both ordinary and extraordinary matters. Key agenda items include covering the 2024 financial loss using the legal reserve, approving remuneration policies, and implementing long-term incentive plans to align management and shareholder interests. Additionally, amendments to the Articles of Association are proposed to streamline governance and adapt to market conditions. These changes are aimed at improving operational efficiency and aligning company objectives with shareholder value, potentially impacting stakeholder interests and company strategy.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.38 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

TIM Proposes Amendments to Corporate Statute
May 18, 2025

Telecom Italia SPA (TIM) has announced that proposed amendments to its corporate statute, including an expansion of its corporate purpose, will be reviewed by its Board of Directors on May 23. If approved, these changes could allow shareholders who did not support the resolution the right to withdraw, potentially impacting shareholder dynamics and corporate governance.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.36 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

Telecom Italia Manager Sells Shares on Euronext Milan
May 14, 2025

Telecom Italia S.p.A. announced a transaction involving the sale of 90,000 ordinary shares by a key manager, Agostino Nuzzolo, at a price of 0.367 per share. This transaction, conducted on the Euronext Milan, may impact the company’s stock performance and reflects managerial decisions that could influence stakeholder perceptions.

The most recent analyst rating on (IT:TITR) stock is a Hold with a EUR0.36 price target. To see the full list of analyst forecasts on Telecom Italia SPA stock, see the IT:TITR Stock Forecast page.

Telecom Italia Reports Revenue and Margin Growth in Q1 2025
May 7, 2025

Telecom Italia SPA reported a positive financial performance in the first quarter of 2025, with total group revenues increasing by 2.7% year-on-year to €3.3 billion. The company’s EBITDA after lease also saw a rise of 5.4% year-on-year to €0.8 billion. The growth was driven by strong performances in both the domestic and Brazilian markets, with TIM Brasil showing a notable 4.9% increase in revenues. The company also highlighted the entry of Poste Italiane into its shareholding, which is expected to increase to 24.81%. The quarter was marked by strategic transformations aimed at enhancing structural efficiency, contributing to a €40 million benefit in EBITDA AL – CAPEX.

Telecom Italia SPA Signs Agreement to Sell Sparkle for 700 Million Euros
Apr 14, 2025

Telecom Italia SPA has signed an agreement with the Ministry of Economy and Finance and Retelit for the sale of its subsidiary, Sparkle, valued at 700 million euros. The transaction, expected to complete by the last quarter of 2025, includes provisions for price adjustments based on Sparkle’s financial performance and requires regulatory approvals, impacting the company’s strategic positioning and operational dynamics.

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.Date of analysis: Jun 21, 2025