DEUTSCHE TELEKOM AG-REG (DTE.DE) Stock Fundamental Analysis
Europe - FRA:DTE - DE0005557508 - Common Stock
29.45 EUR
+0.01 (+0.03%)
We assign a fundamental rating of 6 out of 10 to DTE. DTE was compared to 33 industry peers in the Diversified Telecommunication Services industry. DTE scores excellent on profitability, but there are some minor concerns on its financial health. DTE has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
DTE had positive earnings in the past year.
In the past year DTE had a positive cash flow from operations.
In the past 5 years DTE has always been profitable.
DTE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DTE has a better Return On Assets (4.48%) than 75.76% of its industry peers.
DTE's Return On Equity of 21.39% is amongst the best of the industry. DTE outperforms 87.88% of its industry peers.
DTE's Return On Invested Capital of 7.91% is fine compared to the rest of the industry. DTE outperforms 78.79% of its industry peers.
DTE had an Average Return On Invested Capital over the past 3 years of 5.80%. This is in line with the industry average of 7.55%.
The last Return On Invested Capital (7.91%) for DTE is above the 3 year average (5.80%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.48% | ||
| ROE | 21.39% | ||
| ROIC | 7.91% |
ROA(3y)4.16%
ROA(5y)3.11%
ROE(3y)21.81%
ROE(5y)17.36%
ROIC(3y)5.8%
ROIC(5y)5.16%
1.3 Margins
Looking at the Profit Margin, with a value of 10.69%, DTE is in the better half of the industry, outperforming 75.76% of the companies in the same industry.
In the last couple of years the Profit Margin of DTE has grown nicely.
DTE has a better Operating Margin (22.45%) than 81.82% of its industry peers.
DTE's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 61.51%, DTE is doing good in the industry, outperforming 69.70% of the companies in the same industry.
DTE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.45% | ||
| PM (TTM) | 10.69% | ||
| GM | 61.51% |
OM growth 3Y19.59%
OM growth 5Y10.99%
PM growth 3Y35.63%
PM growth 5Y15.06%
GM growth 3Y2.66%
GM growth 5Y1.43%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DTE is creating some value.
The number of shares outstanding for DTE has been reduced compared to 1 year ago.
The number of shares outstanding for DTE has been increased compared to 5 years ago.
The debt/assets ratio for DTE has been reduced compared to a year ago.
2.2 Solvency
DTE has an Altman-Z score of 1.11. This is a bad value and indicates that DTE is not financially healthy and even has some risk of bankruptcy.
DTE has a Altman-Z score (1.11) which is in line with its industry peers.
DTE has a debt to FCF ratio of 6.53. This is a slightly negative value and a sign of low solvency as DTE would need 6.53 years to pay back of all of its debts.
DTE has a Debt to FCF ratio of 6.53. This is in the better half of the industry: DTE outperforms 72.73% of its industry peers.
DTE has a Debt/Equity ratio of 2.08. This is a high value indicating a heavy dependency on external financing.
DTE has a Debt to Equity ratio of 2.08. This is in the lower half of the industry: DTE underperforms 75.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.08 | ||
| Debt/FCF | 6.53 | ||
| Altman-Z | 1.11 |
ROIC/WACC1.39
WACC5.7%
2.3 Liquidity
DTE has a Current Ratio of 1.12. This is a normal value and indicates that DTE is financially healthy and should not expect problems in meeting its short term obligations.
With an excellent Current ratio value of 1.12, DTE belongs to the best of the industry, outperforming 87.88% of the companies in the same industry.
A Quick Ratio of 1.06 indicates that DTE should not have too much problems paying its short term obligations.
DTE has a Quick ratio of 1.06. This is amongst the best in the industry. DTE outperforms 84.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.12 | ||
| Quick Ratio | 1.06 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.28% over the past year.
DTE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.65% yearly.
DTE shows a small growth in Revenue. In the last year, the Revenue has grown by 4.06%.
Measured over the past years, DTE shows a small growth in Revenue. The Revenue has been growing by 7.53% on average per year.
EPS 1Y (TTM)16.28%
EPS 3Y15.65%
EPS 5Y12.65%
EPS Q2Q%2.62%
Revenue 1Y (TTM)4.06%
Revenue growth 3Y2.47%
Revenue growth 5Y7.53%
Sales Q2Q%0.96%
3.2 Future
DTE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.50% yearly.
DTE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.95% yearly.
EPS Next Y5.74%
EPS Next 2Y8.89%
EPS Next 3Y9.77%
EPS Next 5Y11.5%
Revenue Next Year1.82%
Revenue Next 2Y2.2%
Revenue Next 3Y2.59%
Revenue Next 5Y2.95%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 15.10, the valuation of DTE can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of DTE indicates a somewhat cheap valuation: DTE is cheaper than 78.79% of the companies listed in the same industry.
DTE is valuated rather cheaply when we compare the Price/Earnings ratio to 27.50, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 13.16 indicates a correct valuation of DTE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DTE is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.99, DTE is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.1 | ||
| Fwd PE | 13.16 |
4.2 Price Multiples
DTE's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. DTE is cheaper than 69.70% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, DTE is valued cheaply inside the industry as 87.88% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.84 | ||
| EV/EBITDA | 5.23 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
DTE has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.63
PEG (5Y)1.19
EPS Next 2Y8.89%
EPS Next 3Y9.77%
5. Dividend
5.1 Amount
DTE has a Yearly Dividend Yield of 3.03%. Purely for dividend investing, there may be better candidates out there.
DTE's Dividend Yield is comparable with the industry average which is at 4.42.
Compared to an average S&P500 Dividend Yield of 2.44, DTE pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.03% |
5.2 History
On average, the dividend of DTE grows each year by 8.56%, which is quite nice.
Dividend Growth(5Y)8.56%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
50.54% of the earnings are spent on dividend by DTE. This is a bit on the high side, but may be sustainable.
The dividend of DTE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP50.54%
EPS Next 2Y8.89%
EPS Next 3Y9.77%
FRA:DTE (10/14/2025, 5:36:15 PM)
29.45
+0.01 (+0.03%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners32.63%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap144.46B
Analysts82.31
Price Target38.15 (29.54%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.03% |
Yearly Dividend1.13
Dividend Growth(5Y)8.56%
DP50.54%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.48%
Min EPS beat(2)3.97%
Max EPS beat(2)7%
EPS beat(4)3
Avg EPS beat(4)4.48%
Min EPS beat(4)-3.25%
Max EPS beat(4)10.21%
EPS beat(8)5
Avg EPS beat(8)3.04%
EPS beat(12)8
Avg EPS beat(12)14.9%
EPS beat(16)10
Avg EPS beat(16)16.01%
Revenue beat(2)0
Avg Revenue beat(2)-0.96%
Min Revenue beat(2)-1.2%
Max Revenue beat(2)-0.72%
Revenue beat(4)0
Avg Revenue beat(4)-0.69%
Min Revenue beat(4)-1.2%
Max Revenue beat(4)-0.23%
Revenue beat(8)2
Avg Revenue beat(8)-0.43%
Revenue beat(12)5
Avg Revenue beat(12)3.92%
Revenue beat(16)6
Avg Revenue beat(16)8.58%
PT rev (1m)-0.42%
PT rev (3m)0.55%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.46%
EPS NY rev (1m)-0.1%
EPS NY rev (3m)-4.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.25%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-1.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.1 | ||
| Fwd PE | 13.16 | ||
| P/S | 1.23 | ||
| P/FCF | 6.84 | ||
| P/OCF | 3.53 | ||
| P/B | 2.45 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.23 |
EPS(TTM)1.95
EY6.62%
EPS(NY)2.24
Fwd EY7.6%
FCF(TTM)4.31
FCFY14.62%
OCF(TTM)8.34
OCFY28.33%
SpS24.03
BVpS12.01
TBVpS-14.63
PEG (NY)2.63
PEG (5Y)1.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.48% | ||
| ROE | 21.39% | ||
| ROCE | 10.81% | ||
| ROIC | 7.91% | ||
| ROICexc | 8.43% | ||
| ROICexgc | 19.57% | ||
| OM | 22.45% | ||
| PM (TTM) | 10.69% | ||
| GM | 61.51% | ||
| FCFM | 17.92% |
ROA(3y)4.16%
ROA(5y)3.11%
ROE(3y)21.81%
ROE(5y)17.36%
ROIC(3y)5.8%
ROIC(5y)5.16%
ROICexc(3y)5.98%
ROICexc(5y)5.34%
ROICexgc(3y)13.68%
ROICexgc(5y)12.16%
ROCE(3y)7.94%
ROCE(5y)7.05%
ROICexcg growth 3Y18.94%
ROICexcg growth 5Y6.74%
ROICexc growth 3Y18.32%
ROICexc growth 5Y4.18%
OM growth 3Y19.59%
OM growth 5Y10.99%
PM growth 3Y35.63%
PM growth 5Y15.06%
GM growth 3Y2.66%
GM growth 5Y1.43%
F-Score9
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.08 | ||
| Debt/FCF | 6.53 | ||
| Debt/EBITDA | 2.44 | ||
| Cap/Depr | 83.42% | ||
| Cap/Sales | 16.8% | ||
| Interest Coverage | 3.33 | ||
| Cash Conversion | 81.53% | ||
| Profit Quality | 167.64% | ||
| Current Ratio | 1.12 | ||
| Quick Ratio | 1.06 | ||
| Altman-Z | 1.11 |
F-Score9
WACC5.7%
ROIC/WACC1.39
Cap/Depr(3y)74.69%
Cap/Depr(5y)79.23%
Cap/Sales(3y)17.88%
Cap/Sales(5y)19.33%
Profit Quality(3y)146.72%
Profit Quality(5y)140.1%
High Growth Momentum
Growth
EPS 1Y (TTM)16.28%
EPS 3Y15.65%
EPS 5Y12.65%
EPS Q2Q%2.62%
EPS Next Y5.74%
EPS Next 2Y8.89%
EPS Next 3Y9.77%
EPS Next 5Y11.5%
Revenue 1Y (TTM)4.06%
Revenue growth 3Y2.47%
Revenue growth 5Y7.53%
Sales Q2Q%0.96%
Revenue Next Year1.82%
Revenue Next 2Y2.2%
Revenue Next 3Y2.59%
Revenue Next 5Y2.95%
EBIT growth 1Y12.65%
EBIT growth 3Y22.54%
EBIT growth 5Y19.35%
EBIT Next Year79.76%
EBIT Next 3Y26.2%
EBIT Next 5Y17.32%
FCF growth 1Y37.04%
FCF growth 3Y52.18%
FCF growth 5Y18.89%
OCF growth 1Y11.48%
OCF growth 3Y7.34%
OCF growth 5Y11.56%