AT&T INC (SOBA.DE) Stock Fundamental Analysis
Europe • Frankfurt Stock Exchange • FRA:SOBA • US00206R1023
21.685 EUR
+0.77 (+3.68%)
Last: Jan 30, 2026, 05:10 PM
Taking everything into account, SOBA scores 5 out of 10 in our fundamental rating. SOBA was compared to 35 industry peers in the Diversified Telecommunication Services industry. SOBA has only an average score on both its financial health and profitability. SOBA has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- SOBA had positive earnings in the past year.
- In the past year SOBA had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: SOBA reported negative net income in multiple years.
- Each year in the past 5 years SOBA had a positive operating cash flow.
1.2 Ratios
- With a decent Return On Assets value of 5.24%, SOBA is doing good in the industry, outperforming 74.29% of the companies in the same industry.
- SOBA has a better Return On Equity (20.02%) than 77.14% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 4.98%, SOBA is doing worse than 68.57% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for SOBA is below the industry average of 8.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.24% | ||
| ROE | 20.02% | ||
| ROIC | 4.98% |
ROA(3y)1.35%
ROA(5y)1.32%
ROE(3y)5.03%
ROE(5y)4.74%
ROIC(3y)5.19%
ROIC(5y)4.76%
1.3 Margins
- SOBA has a better Profit Margin (17.81%) than 88.57% of its industry peers.
- In the last couple of years the Profit Margin of SOBA has grown nicely.
- SOBA has a better Operating Margin (19.44%) than 65.71% of its industry peers.
- In the last couple of years the Operating Margin of SOBA has grown nicely.
- SOBA has a Gross Margin (59.67%) which is in line with its industry peers.
- SOBA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.44% | ||
| PM (TTM) | 17.81% | ||
| GM | 59.67% |
OM growth 3Y0.54%
OM growth 5Y4.03%
PM growth 3Y-16.01%
PM growth 5Y2.75%
GM growth 3Y2.85%
GM growth 5Y2.22%
2. Health
2.1 Basic Checks
- SOBA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for SOBA has been increased compared to 1 year ago.
- The number of shares outstanding for SOBA has been reduced compared to 5 years ago.
- The debt/assets ratio for SOBA has been reduced compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 0.87, we must say that SOBA is in the distress zone and has some risk of bankruptcy.
- SOBA has a Altman-Z score of 0.87. This is in the lower half of the industry: SOBA underperforms 68.57% of its industry peers.
- SOBA has a debt to FCF ratio of 6.99. This is a slightly negative value and a sign of low solvency as SOBA would need 6.99 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 6.99, SOBA is in the better half of the industry, outperforming 62.86% of the companies in the same industry.
- A Debt/Equity ratio of 1.16 is on the high side and indicates that SOBA has dependencies on debt financing.
- SOBA's Debt to Equity ratio of 1.16 is in line compared to the rest of the industry. SOBA outperforms 51.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.16 | ||
| Debt/FCF | 6.99 | ||
| Altman-Z | 0.87 |
ROIC/WACC0.75
WACC6.68%
2.3 Liquidity
- SOBA has a Current Ratio of 1.01. This is a normal value and indicates that SOBA is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of SOBA (1.01) is better than 85.71% of its industry peers.
- A Quick Ratio of 0.96 indicates that SOBA may have some problems paying its short term obligations.
- SOBA has a Quick ratio of 0.96. This is amongst the best in the industry. SOBA outperforms 82.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
- The earnings per share for SOBA have decreased by -5.75% in the last year.
- SOBA shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -8.79% yearly.
- Looking at the last year, SOBA shows a small growth in Revenue. The Revenue has grown by 1.98% in the last year.
- Measured over the past years, SOBA shows a decrease in Revenue. The Revenue has been decreasing by -7.56% on average per year.
EPS 1Y (TTM)-5.75%
EPS 3Y-12.73%
EPS 5Y-8.79%
EPS Q2Q%-10%
Revenue 1Y (TTM)1.98%
Revenue growth 3Y-3%
Revenue growth 5Y-7.56%
Sales Q2Q%1.64%
3.2 Future
- SOBA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.70% yearly.
- Based on estimates for the next years, SOBA will show a small growth in Revenue. The Revenue will grow by 2.26% on average per year.
EPS Next Y-7.49%
EPS Next 2Y-0.05%
EPS Next 3Y3.36%
EPS Next 5Y5.7%
Revenue Next Year2.35%
Revenue Next 2Y1.92%
Revenue Next 3Y1.88%
Revenue Next 5Y2.26%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 12.18 indicates a correct valuation of SOBA.
- Based on the Price/Earnings ratio, SOBA is valued a bit cheaper than 71.43% of the companies in the same industry.
- When comparing the Price/Earnings ratio of SOBA to the average of the S&P500 Index (28.39), we can say SOBA is valued rather cheaply.
- With a Price/Forward Earnings ratio of 11.49, the valuation of SOBA can be described as very reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of SOBA indicates a somewhat cheap valuation: SOBA is cheaper than 71.43% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of SOBA to the average of the S&P500 Index (25.72), we can say SOBA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.18 | ||
| Fwd PE | 11.49 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SOBA is on the same level as its industry peers.
- Based on the Price/Free Cash Flow ratio, SOBA is valued a bit cheaper than 74.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.22 | ||
| EV/EBITDA | 6.54 |
4.3 Compensation for Growth
- SOBA has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.05%
EPS Next 3Y3.36%
5. Dividend
5.1 Amount
- SOBA has a Yearly Dividend Yield of 4.71%, which is a nice return.
- Compared to an average industry Dividend Yield of 3.26, SOBA pays a bit more dividend than its industry peers.
- SOBA's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.71% |
5.2 History
- The dividend of SOBA decreases each year by -10.97%.
Dividend Growth(5Y)-10.97%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
- 37.01% of the earnings are spent on dividend by SOBA. This is a low number and sustainable payout ratio.
DP37.01%
EPS Next 2Y-0.05%
EPS Next 3Y3.36%
AT&T INC / SOBA.DE FAQ
Can you provide the ChartMill fundamental rating for AT&T INC?
ChartMill assigns a fundamental rating of 5 / 10 to SOBA.DE.
Can you provide the valuation status for AT&T INC?
ChartMill assigns a valuation rating of 6 / 10 to AT&T INC (SOBA.DE). This can be considered as Fairly Valued.
Can you provide the profitability details for AT&T INC?
AT&T INC (SOBA.DE) has a profitability rating of 6 / 10.
What is the valuation of AT&T INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for AT&T INC (SOBA.DE) is 12.18 and the Price/Book (PB) ratio is 1.66.
How sustainable is the dividend of AT&T INC (SOBA.DE) stock?
The dividend rating of AT&T INC (SOBA.DE) is 6 / 10 and the dividend payout ratio is 37.01%.