Morningstar

Telecom Italia SpA TIT

Morningstar Rating
Unlock
Stock XMIL Rating as of
—
View Full Chart
As of Delayed Price

Company Report

View Archive

Poste Italiane’s Tender Offer for Telecom Italia Now Looks Substantially Derisked

Javier Correonero, Andrea Burigana

Telecom Italia is the incumbent telecom operator in the Italian market. Since the entrance of Iliad in the mobile market in 2018, the Italian mobile market has become irrational, with extreme discounts that do not allow operators to earn their cost of capital. Iliad and mobile virtual network operators own almost 30% of the mobile market, bringing constant pressure to larger operators like TIM and Vodafone. The Italian mobile market offers one of the lowest average revenue per user in Europe, with monthly prices of around EUR 10 and some MVNOs offering monthly plans for EUR 5 or less.

Read Analysis

Price vs Fair Value

View History
TIT is trading at a LOCK|?<W<pC premium.
Price
€6.57
Fair Value
LOCK|^&
Uncertainty
LOCK|>y
1-Star Price
LOCK|#z
5-Star Price
LOCK|X&z
Economic Moat
LOCK|t&
Capital Allocation
LOCK|n?&#@m

Bulls Say, Bears Say

Bulls

Telecom Italia is doing acceptably in the Italian consumer market, with low-single-digit service revenue declines despite the tough competitive environment.

Bears

The competitive environment in Italy is fierce in mobile and broadband. We expect TIM to continue to lose market share in both.

Show More

News

View All

Trading Information

Previous Close Price
—
Day Range
—–—
52-Week Range
—–—
Bid/Ask
— / —
Shares Outstanding
2.13B
Market Cap
—
Volume/Avg
— / —

Key Statistics

Price/Earnings (Normalized)
34.27
Price/Sales
1.00
Dividend Yield (Trailing)
0.00%
Dividend Yield (Forward)
0.00%
Dividend Payment Schedule
—
Total Yield
5.11%

Company Profile

Telecom Italia is the incumbent telecommunications operator in Italy, with 23% share in the Italian mobile market and 35% share in broadband. In the mobile market, it competes with Vodafone, WindTre, and Iliad. After the sale of its fixed network to KKR for EUR 18.8 billion in 2024, TIM has become a pure service provider with no network ownership. TIM Brazil is significantly smaller than its peers, Telefonica and America Movil, with 25% wireless market share.
Sector
Communication Services
Industry
Telecom Services
Stock Style Box
Mid Growth
Total Number of Employees
9,005
Website
https://www.gruppotim.it

Competitors

Valuation

View More
Metric
TIT
00001
SCMN
Price/Earnings (Normalized)
 34.2712.4323.33
Price/Book Value
 1.210.452.84
Price/Sales
 1.000.952.21
Price/Cash Flow
 3.983.915.43
Price/Earnings
TIT
00001
SCMN

Financial Strength

Metric
TIT
00001
SCMN
Quick Ratio
 0.611.630.44
Current Ratio
 0.902.240.62
Interest Coverage
 1.435.855.60
Quick Ratio
TIT
00001
SCMN

Profitability

Metric
TIT
00001
SCMN
Return on Assets (Normalized)
 −0.03%2.05%3.65%
Return on Equity (Normalized)
 −0.09%4.17%11.14%
Return on Invested Capital (Normalized)
 2.12%3.32%10.29%
Return on Assets
TIT
00001
SCMN

Telecom Services Industry Comparables

Screen With Investor
1-Day Chart
Name
Price
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
Verizon Communications Inc
VZ
LOCK|Qb%<p@LOCK|R&b?S$191B
 T-Mobile US Inc
TMUS
LOCK|?%<gfzw@LOCK|Bgbp$173B
 AT&T Inc
T
LOCK|^gLOCK|n<?w$167B
 Deutsche Telekom AG ADR
DTEGY
LOCK|>$%>TxPLOCK|>LJqc$141B
 Comcast Corp Class A
CMCSA
LOCK|@RH?&h&LOCK|T$qpv$77B
 KDDI Corp ADR
KDDIY
LOCK|Kpq<k$>LOCK|#&&Gv$69B
 America Movil SAB de CV ADR - Series B
AMX
LOCK|%d<B>VJLOCK|w@#N$63B
 Orange SA ADR
ORANY
LOCK|r&^#fkLOCK|XX$42B
 Vodafone Group PLC ADR
VOD
LOCK|V&!>sQLOCK|h&$38B
 EchoStar Corp Class A
ECHO
LOCK|LTLOCK|B!y$26B

Sponsor Center