TURKCELL ILETISIM HIZMET-ADR (TKC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TKC - US9001112047 - ADR
5.61 USD
-0.09 (-1.58%)
5.61 USD
0 (0%)
Overall TKC gets a fundamental rating of 6 out of 10. We evaluated TKC against 22 industry peers in the Wireless Telecommunication Services industry. TKC has an average financial health and profitability rating. TKC is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings would make TKC suitable for 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 Return On Assets of 5.36%. This is in the better half of the industry: TKC outperforms 68.18% of its industry peers.
With a decent Return On Equity value of 11.17%, TKC is doing good in the industry, outperforming 63.64% of the companies in the same industry.
TKC's Return On Invested Capital of 3.88% is in line compared to the rest of the industry. TKC outperforms 50.00% of its industry peers.
TKC had an Average Return On Invested Capital over the past 3 years of 3.62%. This is below the industry average of 6.34%.
The last Return On Invested Capital (3.88%) for TKC is above the 3 year average (3.62%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.36% | ||
| ROE | 11.17% | ||
| ROIC | 3.88% |
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
TKC has a better Profit Margin (12.70%) than 72.73% of its industry peers.
In the last couple of years the Profit Margin of TKC has grown nicely.
TKC has a Operating Margin of 10.62%. This is comparable to the rest of the industry: TKC outperforms 59.09% of its industry peers.
In the last couple of years the Operating Margin of TKC has declined.
TKC has a Gross Margin of 27.02%. This is amonst the worse of the industry: TKC underperforms 81.82% of its industry peers.
In the last couple of years the Gross Margin of TKC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.62% | ||
| PM (TTM) | 12.7% | ||
| GM | 27.02% |
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
TKC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
TKC has about the same amout of shares outstanding than it did 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
TKC has an Altman-Z score of 2.09. This is not the best score and indicates that TKC is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.09, TKC belongs to the top of the industry, outperforming 86.36% of the companies in the same industry.
The Debt to FCF ratio of TKC is 16.04, which is on the high side as it means it would take TKC, 16.04 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 16.04, TKC perfoms like the industry average, outperforming 40.91% of the companies in the same industry.
A Debt/Equity ratio of 0.58 indicates that TKC is somewhat dependend on debt financing.
The Debt to Equity ratio of TKC (0.58) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 16.04 | ||
| Altman-Z | 2.09 |
ROIC/WACC0.42
WACC9.33%
2.3 Liquidity
TKC has a Current Ratio of 1.69. This is a normal value and indicates that TKC is financially healthy and should not expect problems in meeting its short term obligations.
TKC's Current ratio of 1.69 is amongst the best of the industry. TKC outperforms 90.91% of its industry peers.
TKC has a Quick Ratio of 1.69. This is a normal value and indicates that TKC is financially healthy and should not expect problems in meeting its short term obligations.
With an excellent Quick ratio value of 1.69, TKC belongs to the best of the industry, outperforming 95.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.69 | ||
| Quick Ratio | 1.69 |
3. Growth
3.1 Past
TKC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 56.73%, which is quite impressive.
Measured over the past years, TKC shows a very strong growth in Earnings Per Share. The EPS has been growing by 48.75% on average per year.
TKC shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.78%.
TKC shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 45.99% yearly.
EPS 1Y (TTM)56.73%
EPS 3Y67.24%
EPS 5Y48.75%
EPS Q2Q%-32.75%
Revenue 1Y (TTM)9.78%
Revenue growth 3Y66.79%
Revenue growth 5Y45.99%
Sales Q2Q%256.57%
3.2 Future
The Earnings Per Share is expected to grow by 27.63% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 34.16% on average over the next years. This is a very strong growth
EPS Next Y-9.1%
EPS Next 2Y21.92%
EPS Next 3Y27.63%
EPS Next 5YN/A
Revenue Next Year42.5%
Revenue Next 2Y35.24%
Revenue Next 3Y30.15%
Revenue Next 5Y34.16%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 8.63, which indicates a very decent valuation of TKC.
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 27.19, TKC is valued rather cheaply.
With a Price/Forward Earnings ratio of 6.03, 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.
TKC is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.88, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.63 | ||
| Fwd PE | 6.03 |
4.2 Price Multiples
TKC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. TKC is cheaper than 95.45% of the companies in the same industry.
72.73% of the companies in the same industry are cheaper than TKC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.52 | ||
| EV/EBITDA | 3.18 |
4.3 Compensation for Growth
TKC's earnings are expected to grow with 27.63% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)0.18
EPS Next 2Y21.92%
EPS Next 3Y27.63%
5. Dividend
5.1 Amount
TKC has a Yearly Dividend Yield of 3.65%.
Compared to an average industry Dividend Yield of 5.49, TKC has a dividend in line with its industry peers.
TKC's Dividend Yield is rather good when compared to the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.65% |
5.2 History
On average, the dividend of TKC grows each year by 45.17%, which is quite nice.
TKC has been paying a dividend for at least 10 years, so it has a reliable track record.
TKC has decreased its dividend in the last 3 years.
Dividend Growth(5Y)45.17%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
TKC pays out 44.74% of its income as dividend. This is a bit on the high side, but may be sustainable.
TKC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP44.74%
EPS Next 2Y21.92%
EPS Next 3Y27.63%
5.61
-0.09 (-1.58%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners11.92%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap4.89B
Revenue(TTM)193.24B
Net Income(TTM)24.53B
Analysts82.86
Price Target8.21 (46.35%)
Short Float %0.03%
Short Ratio0.11
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.65% |
Yearly Dividend0.19
Dividend Growth(5Y)45.17%
DP44.74%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
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)-3.53%
PT rev (3m)-6.21%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-2.11%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.62%
Revenue NY rev (3m)1.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.63 | ||
| Fwd PE | 6.03 | ||
| P/S | 1.09 | ||
| P/FCF | 19.52 | ||
| P/OCF | 3 | ||
| P/B | 0.96 | ||
| P/tB | 1.67 | ||
| EV/EBITDA | 3.18 |
EPS(TTM)0.65
EY11.59%
EPS(NY)0.93
Fwd EY16.57%
FCF(TTM)0.29
FCFY5.12%
OCF(TTM)1.87
OCFY33.33%
SpS5.15
BVpS5.86
TBVpS3.36
PEG (NY)N/A
PEG (5Y)0.18
Graham Number9.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.36% | ||
| ROE | 11.17% | ||
| ROCE | 5.78% | ||
| ROIC | 3.88% | ||
| ROICexc | 5.95% | ||
| ROICexgc | 9.75% | ||
| OM | 10.62% | ||
| PM (TTM) | 12.7% | ||
| GM | 27.02% | ||
| FCFM | 5.58% |
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%
ROICexgc growth 3Y-15%
ROICexgc 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-Score6
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 16.04 | ||
| Debt/EBITDA | 1.71 | ||
| Cap/Depr | 110.94% | ||
| Cap/Sales | 30.72% | ||
| Interest Coverage | 1.28 | ||
| Cash Conversion | 94.75% | ||
| Profit Quality | 43.94% | ||
| Current Ratio | 1.69 | ||
| Quick Ratio | 1.69 | ||
| Altman-Z | 2.09 |
F-Score6
WACC9.33%
ROIC/WACC0.42
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)56.73%
EPS 3Y67.24%
EPS 5Y48.75%
EPS Q2Q%-32.75%
EPS Next Y-9.1%
EPS Next 2Y21.92%
EPS Next 3Y27.63%
EPS Next 5YN/A
Revenue 1Y (TTM)9.78%
Revenue growth 3Y66.79%
Revenue growth 5Y45.99%
Sales Q2Q%256.57%
Revenue Next Year42.5%
Revenue Next 2Y35.24%
Revenue Next 3Y30.15%
Revenue Next 5Y34.16%
EBIT growth 1Y-6.58%
EBIT growth 3Y42.04%
EBIT growth 5Y31.74%
EBIT Next Year328.99%
EBIT Next 3Y89.5%
EBIT Next 5Y79.42%
FCF growth 1Y-17.72%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y105.16%
OCF growth 3Y32.41%
OCF growth 5Y37.83%
TURKCELL ILETISIM HIZMET-ADR / TKC FAQ
What is the fundamental rating for TKC stock?
ChartMill assigns a fundamental rating of 6 / 10 to TKC.
What is the valuation status of TURKCELL ILETISIM HIZMET-ADR (TKC) stock?
ChartMill assigns a valuation rating of 6 / 10 to TURKCELL ILETISIM HIZMET-ADR (TKC). This can be considered as Fairly Valued.
What is the profitability of TKC stock?
TURKCELL ILETISIM HIZMET-ADR (TKC) has a profitability rating of 5 / 10.
What is the financial health of TURKCELL ILETISIM HIZMET-ADR (TKC) stock?
The financial health rating of TURKCELL ILETISIM HIZMET-ADR (TKC) is 5 / 10.
What is the expected EPS growth for TURKCELL ILETISIM HIZMET-ADR (TKC) stock?
The Earnings per Share (EPS) of TURKCELL ILETISIM HIZMET-ADR (TKC) is expected to decline by -9.1% in the next year.