TURKCELL ILETISIM HIZMET-ADR (TKC) Stock Fundamental Analysis
USA - NYSE:TKC - US9001112047 - ADR
6.03 USD
+0.13 (+2.2%)
TKC gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 22 industry peers in the Wireless Telecommunication Services industry. TKC has an average financial health and profitability rating. TKC is evaluated to be cheap and growing strongly. This does not happen too often! These ratings could make TKC a good candidate for value and growth investing.
1. Profitability
1.1 Basic Checks
In the past year TKC was profitable.
In the past year TKC had a positive cash flow from operations.
TKC had positive earnings in each of the past 5 years.
TKC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TKC has a better Return On Assets (6.36%) than 90.91% of its industry peers.
TKC's Return On Equity of 12.68% is fine compared to the rest of the industry. TKC outperforms 68.18% of its industry peers.
TKC's Return On Invested Capital of 6.30% is fine compared to the rest of the industry. TKC outperforms 68.18% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TKC is below the industry average of 6.09%.
The 3 year average ROIC (3.62%) for TKC is below the current ROIC(6.30%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.36% | ||
| ROE | 12.68% | ||
| ROIC | 6.3% |
ROA(3y)4.95%
ROA(5y)6.04%
ROE(3y)9.71%
ROE(5y)14.37%
ROIC(3y)3.62%
ROIC(5y)6.29%
1.3 Margins
The Profit Margin of TKC (12.40%) is better than 81.82% of its industry peers.
TKC's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 14.46%, TKC is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
In the last couple of years the Operating Margin of TKC has declined.
The Gross Margin of TKC (25.51%) is worse than 81.82% of its industry peers.
In the last couple of years the Gross Margin of TKC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.46% | ||
| PM (TTM) | 12.4% | ||
| GM | 25.51% |
OM growth 3Y-14.84%
OM growth 5Y-9.76%
PM growth 3Y0.26%
PM growth 5Y1.79%
GM growth 3Y-6.05%
GM growth 5Y-5.09%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TKC is destroying value.
The number of shares outstanding for TKC remains at a similar level compared to 1 year ago.
TKC has more shares outstanding than it did 5 years ago.
The debt/assets ratio for TKC has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.39 indicates that TKC is not a great score, but indicates only limited risk for bankruptcy at the moment.
TKC has a better Altman-Z score (2.39) than 95.45% of its industry peers.
The Debt to FCF ratio of TKC is 201.59, which is on the high side as it means it would take TKC, 201.59 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 201.59, TKC is not doing good in the industry: 77.27% of the companies in the same industry are doing better.
A Debt/Equity ratio of 0.53 indicates that TKC is somewhat dependend on debt financing.
TKC has a Debt to Equity ratio of 0.53. This is amongst the best in the industry. TKC outperforms 86.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 201.59 | ||
| Altman-Z | 2.39 |
ROIC/WACC0.67
WACC9.39%
2.3 Liquidity
A Current Ratio of 1.73 indicates that TKC should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.73, TKC is doing good in the industry, outperforming 77.27% of the companies in the same industry.
TKC has a Quick Ratio of 1.72. This is a normal value and indicates that TKC is financially healthy and should not expect problems in meeting its short term obligations.
TKC has a Quick ratio of 1.72. This is amongst the best in the industry. TKC outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.73 | ||
| Quick Ratio | 1.72 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 111.69% over the past year.
The Earnings Per Share has been growing by 48.75% on average over the past years. This is a very strong growth
TKC shows a strong growth in Revenue. In the last year, the Revenue has grown by 74.14%.
The Revenue has been growing by 45.99% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)111.69%
EPS 3Y67.24%
EPS 5Y48.75%
EPS Q2Q%8.46%
Revenue 1Y (TTM)74.14%
Revenue growth 3Y66.79%
Revenue growth 5Y45.99%
Sales Q2Q%49.57%
3.2 Future
TKC is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 32.25% yearly.
TKC is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 34.16% yearly.
EPS Next Y-7.13%
EPS Next 2Y28.58%
EPS Next 3Y32.25%
EPS Next 5YN/A
Revenue Next Year40.14%
Revenue Next 2Y34.59%
Revenue Next 3Y29.95%
Revenue Next 5Y34.16%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.15, the valuation of TKC can be described as very reasonable.
Based on the Price/Earnings ratio, TKC is valued cheaply inside the industry as 95.45% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.38, TKC is valued rather cheaply.
With a Price/Forward Earnings ratio of 5.57, the valuation of TKC can be described as very cheap.
TKC's Price/Forward Earnings ratio is rather cheap when compared to the industry. TKC is cheaper than 100.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of TKC to the average of the S&P500 Index (22.86), we can say TKC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.15 | ||
| Fwd PE | 5.57 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TKC indicates a rather cheap valuation: TKC is cheaper than 100.00% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, TKC is valued a bit more expensive than the industry average as 77.27% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 290.28 | ||
| EV/EBITDA | 2.79 |
4.3 Compensation for Growth
TKC has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as TKC's earnings are expected to grow with 32.25% in the coming years.
PEG (NY)N/A
PEG (5Y)0.17
EPS Next 2Y28.58%
EPS Next 3Y32.25%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.10%, TKC is a good candidate for dividend investing.
TKC's Dividend Yield is comparable with the industry average which is at 5.28.
Compared to an average S&P500 Dividend Yield of 2.38, TKC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.1% |
5.2 History
The dividend of TKC is nicely growing with an annual growth rate of 45.17%!
TKC has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of TKC decreased in the last 3 years.
Dividend Growth(5Y)45.17%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
27.49% of the earnings are spent on dividend by TKC. This is a low number and sustainable payout ratio.
The dividend of TKC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP27.49%
EPS Next 2Y28.58%
EPS Next 3Y32.25%
NYSE:TKC (9/19/2025, 8:04:00 PM)
6.03
+0.13 (+2.2%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners10.51%
Inst Owner Change24.51%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap5.25B
Analysts82.5
Price Target8.83 (46.43%)
Short Float %0.33%
Short Ratio1.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.1% |
Yearly Dividend0.2
Dividend Growth(5Y)45.17%
DP27.49%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.46%
PT rev (3m)-5.37%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-21.97%
EPS NY rev (3m)-21.97%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.89%
Revenue NY rev (3m)8.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.15 | ||
| Fwd PE | 5.57 | ||
| P/S | 1.01 | ||
| P/FCF | 290.28 | ||
| P/OCF | 3.73 | ||
| P/B | 1.03 | ||
| P/tB | 1.81 | ||
| EV/EBITDA | 2.79 |
EPS(TTM)0.74
EY12.27%
EPS(NY)1.08
Fwd EY17.95%
FCF(TTM)0.02
FCFY0.34%
OCF(TTM)1.61
OCFY26.78%
SpS5.96
BVpS5.83
TBVpS3.34
PEG (NY)N/A
PEG (5Y)0.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.36% | ||
| ROE | 12.68% | ||
| ROCE | 9.52% | ||
| ROIC | 6.3% | ||
| ROICexc | 9.48% | ||
| ROICexgc | 15.63% | ||
| OM | 14.46% | ||
| PM (TTM) | 12.4% | ||
| GM | 25.51% | ||
| FCFM | 0.35% |
ROA(3y)4.95%
ROA(5y)6.04%
ROE(3y)9.71%
ROE(5y)14.37%
ROIC(3y)3.62%
ROIC(5y)6.29%
ROICexc(3y)5.04%
ROICexc(5y)8.99%
ROICexgc(3y)8.58%
ROICexgc(5y)15.05%
ROCE(3y)5.61%
ROCE(5y)9.7%
ROICexcg growth 3Y-15%
ROICexcg growth 5Y-13.41%
ROICexc growth 3Y-17.01%
ROICexc growth 5Y-12.51%
OM growth 3Y-14.84%
OM growth 5Y-9.76%
PM growth 3Y0.26%
PM growth 5Y1.79%
GM growth 3Y-6.05%
GM growth 5Y-5.09%
F-Score8
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 201.59 | ||
| Debt/EBITDA | 1.37 | ||
| Cap/Depr | 114.25% | ||
| Cap/Sales | 26.72% | ||
| Interest Coverage | 2.02 | ||
| Cash Conversion | 71.53% | ||
| Profit Quality | 2.81% | ||
| Current Ratio | 1.73 | ||
| Quick Ratio | 1.72 | ||
| Altman-Z | 2.39 |
F-Score8
WACC9.39%
ROIC/WACC0.67
Cap/Depr(3y)90.31%
Cap/Depr(5y)105.08%
Cap/Sales(3y)28.83%
Cap/Sales(5y)27.64%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)111.69%
EPS 3Y67.24%
EPS 5Y48.75%
EPS Q2Q%8.46%
EPS Next Y-7.13%
EPS Next 2Y28.58%
EPS Next 3Y32.25%
EPS Next 5YN/A
Revenue 1Y (TTM)74.14%
Revenue growth 3Y66.79%
Revenue growth 5Y45.99%
Sales Q2Q%49.57%
Revenue Next Year40.14%
Revenue Next 2Y34.59%
Revenue Next 3Y29.95%
Revenue Next 5Y34.16%
EBIT growth 1Y229.75%
EBIT growth 3Y42.04%
EBIT growth 5Y31.74%
EBIT Next Year295.46%
EBIT Next 3Y86.84%
EBIT Next 5Y79.42%
FCF growth 1Y-91.65%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y131.77%
OCF growth 3Y32.41%
OCF growth 5Y37.83%