Telia Company AB (TELIA) AI Stock Analysis

• Market Cap: $144.42B
• Dividend Yield: 5.32%
• Average Volume (3M): 6.13M
• Price to Earnings (P/E): 34.6
• Beta (1Y): 0.08
• Revenue Growth: -5.76%
• EPS Growth: -10.05%
• Country: SE
• Employees: 15,040
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): 0.59
• Shares Outstanding: 3,932,109,400
• 10 Day Avg. Volume: 5,648,899
• 30 Day Avg. Volume: 6,130,517
• PEG Ratio: <0.01
• Price to Book (P/B): 2.18
• Price to Sales (P/S): 1.35
• P/FCF Ratio: 16.50
• Enterprise Value/Market Cap: 1.54
• Enterprise Value/Revenue: 1.08
• Enterprise Value/Gross Profit: 1.66
• Enterprise Value/Ebitda: 2.83
• 1Y Price Target: $40.86
• Price Target Upside: 8.78% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5
• EPS Forecast (FY): 1.89
• Revenue Forecast (FY): $81.00B

• Rating: 66 Neutral
• Price Target: kr41.00 ▲(9.16% Upside)

Telia Company AB's overall stock score is driven by strong technical indicators and positive earnings call sentiment, despite financial performance challenges and a high P/E ratio. The robust cash flow and attractive dividend yield further support the stock's appeal.

Positive Factors

Cash Flow Growth

The robust growth in free cash flow indicates strong cash generation ability, supporting financial stability and enabling future investments.

Customer Satisfaction

Improving customer satisfaction enhances brand loyalty and can lead to increased market share and revenue growth over time.

Operational Efficiency

Enhanced operational efficiency through cost savings strengthens margins and competitiveness, supporting long-term profitability.

Negative Factors

Revenue Decline

Negative revenue growth indicates difficulty in expanding market presence, which could impact future profitability and market position.

High Leverage

High leverage can increase financial risk and limit flexibility, potentially affecting the company's ability to invest in growth opportunities.

Profit Margin Decline

A declining profit margin reduces profitability, which can hinder the company's ability to reinvest in the business and maintain competitive advantages.

Telia Company AB Business Overview & Revenue Model

Company Description

Telia Company AB (publ) provides communication services in Sweden, Finland, Norway, Denmark, Lithuania, Estonia, and Latvia. The company offers mobile, broadband, television, and fixed-line services to businesses, individuals, families, and communities. It provides networking, cloud and security, mobility, enterprise mobile network, contact center, managed mobility services, collaboration solutions, enterprise telephony, Internet of Things (IoT), carrier ethernet, dedicated internet access, wavelengths, IP Transit, dark fiber, colocation, and IoT connectivity solutions, as well as broadcasting and content production services, and customer financing services. The company markets its products and services under the Telia, halebop, Fello, TV4, C More, MTV, MyCall, OneCall, Phonero, Call me, Mit tele, Diil, Lmt Okarte, Telia Latvija, Cloudy, Tet, and Ezys brands for logistics, public transport, manufacturing, retail, utilities, building, and public sector industries. It has 18.1 million mobile subscriptions, 1.0 million fixed telephony subscriptions, 2.9 fixed million broadband subscriptions, and 3.4 million TV subscriptions. The company was formerly known as TeliaSonera AB (publ) and changed its name to Telia Company AB (publ) in April 2016. Telia Company AB (publ) was founded in 1853 and is headquartered in Solna, Sweden.

How the Company Makes Money

Telia generates revenue through multiple key streams, primarily from mobile services, fixed-line telephony, broadband, and digital TV subscriptions. Mobile services, including voice and data plans, contribute significantly to its income, bolstered by a large customer base across its operating regions. Fixed-line services provide steady revenue from both residential and business customers, while broadband subscriptions capitalize on the growing demand for high-speed internet access. Additionally, Telia earns money from value-added services such as cloud computing, cybersecurity solutions, and IoT (Internet of Things) applications for businesses. Strategic partnerships with technology providers and content distributors further enhance its offerings, driving additional revenue through bundled services and promotional packages. Overall, Telia's diversified service portfolio and focus on innovation play a crucial role in its financial performance.

Telia Company AB Financial Statement Overview

Summary

Telia Company AB shows strong operational efficiency with a high gross profit margin, but faces challenges with declining net profit margin and negative revenue growth. The balance sheet indicates high leverage, posing potential financial risks, while cash flow is robust, supporting financial stability.

Income Statement

Telia Company AB's income statement shows mixed results. The TTM (Trailing-Twelve-Months) gross profit margin is strong at 64%, indicating efficient cost management. However, the net profit margin has declined to 5% from 7.9% in the previous year, reflecting reduced profitability. Revenue growth is negative at -2.2%, suggesting challenges in maintaining sales momentum. Despite these issues, the EBIT and EBITDA margins remain healthy, indicating operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.81 in the TTM, indicating significant leverage and potential financial risk. The return on equity has decreased to 7.98% from 12.77% in the previous year, reflecting reduced profitability for shareholders. The equity ratio is stable, suggesting a balanced asset structure. However, the high leverage could pose risks if not managed carefully.

Cash Flow

Cash flow analysis shows a positive trend with a 16.7% growth in free cash flow in the TTM, indicating improved cash generation. The operating cash flow to net income ratio is stable, suggesting consistent cash conversion efficiency. The free cash flow to net income ratio is healthy at 40.8%, reflecting strong cash flow relative to earnings. Overall, the cash flow position is robust, supporting financial stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	206.54B	89.13B	88.78B	90.83B	88.34B	89.19B
Gross Profit	134.06B	55.65B	40.22B	30.88B	30.03B	32.16B
EBITDA	78.56B	35.11B	29.53B	14.02B	40.15B	14.06B
Net Income	13.32B	7.08B	303.00M	-14.16B	11.68B	-22.48B
Balance Sheet
Total Assets	193.54B	204.27B	226.47B	222.79B	237.03B	226.68B
Cash, Cash Equivalents and Short-Term Investments	15.50B	10.93B	19.85B	9.18B	20.45B	10.96B
Total Debt	89.20B	94.38B	112.57B	53.72B	40.58B	47.63B
Total Liabilities	137.05B	144.91B	169.47B	155.12B	153.48B	162.73B
Stockholders Equity	52.74B	55.44B	53.47B	64.24B	80.73B	62.84B
Cash Flow
Free Cash Flow	30.17B	7.31B	9.21B	8.09B	11.73B	15.11B
Operating Cash Flow	64.88B	21.20B	24.67B	24.00B	27.38B	28.82B
Investing Cash Flow	4.93B	4.11B	-22.06B	-9.94B	-10.91B	-3.47B
Financing Cash Flow	-41.26B	-27.34B	2.65B	-21.78B	-10.60B	-23.10B

Telia Company AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 37.56
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:TELIA, the sentiment is Positive. The current price of 37.56 is below the 20-day moving average (MA) of 37.59, above the 50-day MA of 36.89, and above the 200-day MA of 35.09, indicating a neutral trend. The MACD of 0.24 indicates Positive momentum. The RSI at 50.91 is Neutral, neither overbought nor oversold. The STOCH value of 19.05 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:TELIA.

Telia Company AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TEL2.B	73 Outperform	kr104.34B	24.03	20.60%	4.31%	0.51%	14.15%
TELIA	66 Neutral	$144.42B	34.65	10.93%	5.32%	-5.76%	-10.05%
BRE2	66 Neutral	kr2.79B	25.37	―	5.13%	9.72%	4.26%
ACAST	63 Neutral	€5.19B	-133.19	-3.84%	―	26.82%	76.68%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
IVSO	57 Neutral	€13.76B	64.91	21.88%	0.86%	5.69%	4.82%
SINCH	51 Neutral	$28.74B	-4.46	-1.23%	―	-1.62%	94.01%

Telia Company AB Corporate Events

Telia Extends Offer for Bredband2 with New Supplement

Telia Company AB has announced a supplement to its offer document regarding a cash offer to acquire all shares of Bredband2 i Skandinavien AB. The supplement includes Bredband2’s interim report for January to September 2025, and the acceptance period for the offer has been extended until January 30, 2026. This move is part of Telia’s strategic efforts to expand its market presence and enhance its service offerings in the telecommunications sector.

Telia Extends Offer Period for Bredband2 Acquisition Amid Regulatory Review

Telia Company AB has extended the acceptance period for its cash offer to acquire all shares of Bredband2 i Skandinavien AB until January 30, 2026, due to a pending competition review by the Swedish Competition Authority. This extension reflects Telia’s strategic move to strengthen its market position in the Nordic telecommunications sector, while awaiting regulatory approvals necessary to finalize the acquisition.

Telia Company to Announce Q3 2025 Financial Results

Telia Company has announced it will release its Q3 2025 financial results on October 23, 2025, followed by a presentation and conference call hosted by CEO Patrik Hofbauer and CFO Eric Hageman. This announcement is a routine disclosure aimed at keeping stakeholders informed about the company’s financial performance and strategic direction.