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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:54Neutral
Price Target:
€0.50
▲(19.05%Upside)
Telecom Italia SPA's overall score reflects significant financial challenges, including declining revenues and high leverage. While technical indicators show positive momentum, the stock's valuation remains unattractive. Financial performance is the most crucial factor, with technical analysis providing moderate support.

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

Telecom Italia SPA Business Overview & Revenue Model

Company DescriptionTelecom Italia S.p.A., together with its subsidiaries, provides fixed and mobile telecommunications services in Italy and internationally. The company operates through Domestic, Brazil, and Other Operations segments. It offers fixed and mobile voice and Internet, and public telephony services, as well as products managed and developed for individuals and families; and voice, data, and Internet services and products, and information and communications technology solutions for small and medium-size enterprises, small offices/home offices, the public sector, large accounts, and enterprises in the fixed and mobile telecommunications markets. The company also manages and develops a portfolio of regulated and unregulated wholesale services for fixed-line and mobile telecommunications operators; and development, engineering, construction, and operation of network infrastructures, information technology (IT), and systems and properties. In addition, it is involved in customer care, operating credit support, loyalty, and retention activities. The company has a strategic partnership with Google Cloud. Telecom Italia S.p.A. was incorporated in 1908 and is headquartered in Rome, Italy.
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 is navigating through financial challenges, characterized by declining revenue, persistent net losses, and high financial leverage. Positive developments in cash flow generation and a reduction in net loss are encouraging signs, but the company's financial health remains fragile. Strategic focus on revenue growth and debt management is crucial for long-term stability.
Income Statement
45
Neutral
Telecom Italia SPA has experienced a consistent decline in revenue over the past two years, with a significant revenue reduction of 11.4% from 2023 to 2024. The net profit margin remains negative, reflecting ongoing losses, although the net loss decreased from 2023 to 2024. Despite a positive EBITDA margin indicating operational efficiency, the negative EBIT margin highlights challenges in covering operational costs.
Balance Sheet
50
Neutral
The company's balance sheet shows a high debt-to-equity ratio, indicating significant leverage, although the total debt has decreased from 2023 to 2024. Return on Equity (ROE) is negative, driven by net losses, but the equity ratio remains stable, signaling a balanced asset management approach. Overall, the balance sheet portrays a high-risk financial leverage scenario.
Cash Flow
55
Neutral
Telecom Italia SPA's cash flow position shows improvement with a return to positive free cash flow in 2024 compared to previous years. The operating cash flow to net income ratio is high, highlighting effective cash generation from operations despite net losses. However, the company faces challenges in achieving sustainable free cash flow growth.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
14.44B14.31B15.79B15.32B15.80B
Gross Profit
6.73B7.23B9.13B9.25B10.13B
EBIT
1.54B1.34B1.10B1.37B2.10B
EBITDA
4.80B4.81B5.51B1.16B7.25B
Net Income Common Stockholders
-610.00M-1.44B-2.65B-8.40B7.22B
Balance SheetCash, Cash Equivalents and Short-Term Investments
4.46B4.97B5.00B9.15B5.92B
Total Assets
37.66B62.16B62.03B69.19B73.23B
Total Debt
15.54B31.55B31.19B32.10B29.95B
Net Debt
12.62B28.64B27.63B25.20B25.12B
Total Liabilities
24.30B44.65B43.30B47.15B44.39B
Stockholders Equity
11.96B13.65B15.06B17.41B26.21B
Cash FlowFree Cash Flow
402.00M-25.00M-1.41B323.00M1.85B
Operating Cash Flow
3.25B3.94B4.89B4.34B6.55B
Investing Cash Flow
5.36B-4.15B-5.33B-5.12B-3.08B
Financing Cash Flow
-7.25B-456.00M-2.87B3.16B-2.01B

Telecom Italia SPA Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.42
Price Trends
50DMA
0.39
Positive
100DMA
0.35
Positive
200DMA
0.31
Positive
Market Momentum
MACD
<0.01
Positive
RSI
56.30
Neutral
STOCH
14.91
Positive
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 0.42 is above the 20-day moving average (MA) of 0.42, above the 50-day MA of 0.39, and above the 200-day MA of 0.31, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 56.30 is Neutral, neither overbought nor oversold. The STOCH value of 14.91 is Positive, 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 (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$14.35B5.84-4.31%3.69%2.75%-35.67%
54
Neutral
€8.27B1.06%-15.82%86.90%
€37.28M-1145.46%
DE0A7
€27.59M20.815.69%3.04%
DE7E0
€13.79M10.8820.46%1.08%
ITITD
€161.48M23.62
0.98%
ITUD
€88.64M10.01
0.35%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IT:TITR
Telecom Italia SPA
0.42
0.16
63.42%
GB:0LLP
Tiscali SPA
0.14
-0.63
-81.82%
DE:0A7
Planetel S.p.A.
3.90
-0.85
-17.89%
DE:7E0
Convergenze SpA Societa Benefit
1.81
0.14
8.38%
IT:ITD
Intred SpA
10.20
0.44
4.51%
IT:UD
Unidata S.P.A.
2.83
-0.97
-25.53%

Telecom Italia SPA Corporate Events

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.

Telecom Italia Releases 2024 Annual Financial Report
Mar 25, 2025

Telecom Italia S.p.A. has made available the English versions of its Annual Financial Report for the year ending December 31, 2024, in preparation for the upcoming Shareholders’ Meeting on June 24, 2025. The release of these documents, including financial statements and governance reports, is a crucial step for transparency and compliance, impacting stakeholders by providing insights into the company’s financial health and operational strategies.

Telecom Italia Board Member Discloses Share Sale
Mar 14, 2025

Telecom Italia S.p.A. has disclosed a transaction involving the sale of ordinary shares by Stefano Siragusa, a member of its Board of Directors. The transaction involved the sale of 850,000 shares at an average price of €0.2952, conducted on the Borsa Italiana. This notification is part of regulatory compliance for transactions by persons in managerial positions, reflecting transparency in corporate governance.

TIM Approves Sale of Telecom Italia Sparkle Stake
Mar 13, 2025

TIM has announced the approval of a binding offer from the Ministry of Economy and Finance (MEF) and Retelit S.p.A. for the acquisition of its entire shareholding in Telecom Italia Sparkle S.p.A. This move is part of TIM’s strategic efforts to streamline its operations and potentially enhance its market positioning by divesting non-core assets, which could have significant implications for its stakeholders.

Telecom Italia Manager Executes Significant Share Sale
Mar 12, 2025

Telecom Italia S.P.A. announced a transaction involving the sale of 113,000 ordinary shares by Agostino Nuzzolo, a key manager within the company. This transaction, conducted on the Euronext Milan, may impact the company’s stock performance and stakeholder perceptions, reflecting internal managerial decisions.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.