VEON LTD (VEON) Stock Fundamental Analysis
USA - NASDAQ:VEON - US91822M5022 - ADR
52.65 USD
-2.3 (-4.19%)
We assign a fundamental rating of 5 out of 10 to VEON. VEON was compared to 22 industry peers in the Wireless Telecommunication Services industry. VEON scores excellent on profitability, but there are concerns on its financial health. VEON may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year VEON was profitable.
VEON had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: VEON reported negative net income in multiple years.
In the past 5 years VEON always reported a positive cash flow from operatings.
1.2 Ratios
VEON has a Return On Assets of 11.63%. This is amongst the best in the industry. VEON outperforms 100.00% of its industry peers.
With an excellent Return On Equity value of 75.34%, VEON belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
The Return On Invested Capital of VEON (13.11%) is better than 100.00% of its industry peers.
VEON had an Average Return On Invested Capital over the past 3 years of 11.44%. This is significantly above the industry average of 5.84%.
The 3 year average ROIC (11.44%) for VEON is below the current ROIC(13.11%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.63% | ||
| ROE | 75.34% | ||
| ROIC | 13.11% |
ROA(3y)-8.89%
ROA(5y)-4.97%
ROE(3y)-96.72%
ROE(5y)-77.85%
ROIC(3y)11.44%
ROIC(5y)10.01%
1.3 Margins
VEON has a Profit Margin of 23.72%. This is amongst the best in the industry. VEON outperforms 100.00% of its industry peers.
VEON's Profit Margin has improved in the last couple of years.
VEON has a Operating Margin of 25.22%. This is amongst the best in the industry. VEON outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of VEON has remained more or less at the same level.
Looking at the Gross Margin, with a value of 87.75%, VEON belongs to the top of the industry, outperforming 95.45% of the companies in the same industry.
VEON's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.22% | ||
| PM (TTM) | 23.72% | ||
| GM | 87.75% |
OM growth 3Y-3.83%
OM growth 5Y-0.35%
PM growth 3Y-16.1%
PM growth 5Y8.09%
GM growth 3Y-0.11%
GM growth 5Y2.49%
2. Health
2.1 Basic Checks
VEON has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
VEON has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, VEON has more shares outstanding
The debt/assets ratio for VEON has been reduced compared to a year ago.
2.2 Solvency
VEON has an Altman-Z score of 0.36. This is a bad value and indicates that VEON is not financially healthy and even has some risk of bankruptcy.
VEON has a worse Altman-Z score (0.36) than 72.73% of its industry peers.
The Debt to FCF ratio of VEON is 3.88, which is a good value as it means it would take VEON, 3.88 years of fcf income to pay off all of its debts.
VEON's Debt to FCF ratio of 3.88 is amongst the best of the industry. VEON outperforms 86.36% of its industry peers.
A Debt/Equity ratio of 2.95 is on the high side and indicates that VEON has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.95, VEON is doing worse than 77.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.95 | ||
| Debt/FCF | 3.88 | ||
| Altman-Z | 0.36 |
ROIC/WACC1.43
WACC9.14%
2.3 Liquidity
A Current Ratio of 0.86 indicates that VEON may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.86, VEON is doing worse than 81.82% of the companies in the same industry.
VEON has a Quick Ratio of 0.86. This is a bad value and indicates that VEON is not financially healthy enough and could expect problems in meeting its short term obligations.
VEON has a Quick ratio of 0.85. This is in the lower half of the industry: VEON underperforms 77.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.86 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
VEON shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 133.93%, which is quite impressive.
Measured over the past years, VEON shows a decrease in Earnings Per Share. The EPS has been decreasing by -8.57% on average per year.
Looking at the last year, VEON shows a small growth in Revenue. The Revenue has grown by 7.27% in the last year.
The Revenue for VEON have been decreasing by -14.69% on average. This is quite bad
EPS 1Y (TTM)133.93%
EPS 3Y-15.41%
EPS 5Y-8.57%
EPS Q2Q%750%
Revenue 1Y (TTM)7.27%
Revenue growth 3Y1.32%
Revenue growth 5Y-14.69%
Sales Q2Q%5.84%
3.2 Future
VEON is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.05% yearly.
Based on estimates for the next years, VEON will show a small growth in Revenue. The Revenue will grow by 6.52% on average per year.
EPS Next Y37.27%
EPS Next 2Y21.27%
EPS Next 3Y19.72%
EPS Next 5Y13.05%
Revenue Next Year8.63%
Revenue Next 2Y8.08%
Revenue Next 3Y7.17%
Revenue Next 5Y6.52%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
VEON is valuated reasonably with a Price/Earnings ratio of 8.63.
Based on the Price/Earnings ratio, VEON is valued cheaply inside the industry as 90.91% of the companies are valued more expensively.
VEON is valuated cheaply when we compare the Price/Earnings ratio to 27.29, which is the current average of the S&P500 Index.
VEON is valuated cheaply with a Price/Forward Earnings ratio of 6.87.
Based on the Price/Forward Earnings ratio, VEON is valued cheaper than 90.91% of the companies in the same industry.
VEON's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.63 | ||
| Fwd PE | 6.87 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, VEON is valued cheaply inside the industry as 95.45% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.94 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
VEON's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of VEON may justify a higher PE ratio.
A more expensive valuation may be justified as VEON's earnings are expected to grow with 19.72% in the coming years.
PEG (NY)0.23
PEG (5Y)N/A
EPS Next 2Y21.27%
EPS Next 3Y19.72%
5. Dividend
5.1 Amount
No dividends for VEON!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:VEON (10/17/2025, 3:15:46 PM)
52.65
-2.3 (-4.19%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners25.53%
Inst Owner Change0%
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap3.72B
Analysts82.5
Price Target65.93 (25.22%)
Short Float %0.32%
Short Ratio1.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)19.54%
Min EPS beat(2)-21.57%
Max EPS beat(2)60.64%
EPS beat(4)2
Avg EPS beat(4)15.89%
Min EPS beat(4)-21.57%
Max EPS beat(4)60.64%
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)2
Avg Revenue beat(2)2.55%
Min Revenue beat(2)0.98%
Max Revenue beat(2)4.12%
Revenue beat(4)2
Avg Revenue beat(4)0.29%
Min Revenue beat(4)-2.08%
Max Revenue beat(4)4.12%
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)0%
PT rev (3m)13.45%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-10.4%
EPS NY rev (1m)31.68%
EPS NY rev (3m)40.76%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)4.68%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.63 | ||
| Fwd PE | 6.87 | ||
| P/S | 0.9 | ||
| P/FCF | 2.94 | ||
| P/OCF | 3.01 | ||
| P/B | 2.85 | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)6.1
EY11.59%
EPS(NY)7.66
Fwd EY14.55%
FCF(TTM)17.93
FCFY34.06%
OCF(TTM)17.47
OCFY33.17%
SpS58.71
BVpS18.48
TBVpS-3.5
PEG (NY)0.23
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.63% | ||
| ROE | 75.34% | ||
| ROCE | 19.12% | ||
| ROIC | 13.11% | ||
| ROICexc | 19.47% | ||
| ROICexgc | 33.65% | ||
| OM | 25.22% | ||
| PM (TTM) | 23.72% | ||
| GM | 87.75% | ||
| FCFM | 30.54% |
ROA(3y)-8.89%
ROA(5y)-4.97%
ROE(3y)-96.72%
ROE(5y)-77.85%
ROIC(3y)11.44%
ROIC(5y)10.01%
ROICexc(3y)19.88%
ROICexc(5y)15.79%
ROICexgc(3y)51.88%
ROICexgc(5y)38.09%
ROCE(3y)16.68%
ROCE(5y)14.59%
ROICexcg growth 3Y65.7%
ROICexcg growth 5Y3.7%
ROICexc growth 3Y46.24%
ROICexc growth 5Y7.89%
OM growth 3Y-3.83%
OM growth 5Y-0.35%
PM growth 3Y-16.1%
PM growth 5Y8.09%
GM growth 3Y-0.11%
GM growth 5Y2.49%
F-Score5
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.95 | ||
| Debt/FCF | 3.88 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 128.76% | ||
| Current Ratio | 0.86 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 0.36 |
F-Score5
WACC9.14%
ROIC/WACC1.43
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)133.93%
EPS 3Y-15.41%
EPS 5Y-8.57%
EPS Q2Q%750%
EPS Next Y37.27%
EPS Next 2Y21.27%
EPS Next 3Y19.72%
EPS Next 5Y13.05%
Revenue 1Y (TTM)7.27%
Revenue growth 3Y1.32%
Revenue growth 5Y-14.69%
Sales Q2Q%5.84%
Revenue Next Year8.63%
Revenue Next 2Y8.08%
Revenue Next 3Y7.17%
Revenue Next 5Y6.52%
EBIT growth 1Y13.2%
EBIT growth 3Y-2.56%
EBIT growth 5Y-14.99%
EBIT Next Year77.19%
EBIT Next 3Y27.84%
EBIT Next 5Y19.09%
FCF growth 1Y-32.93%
FCF growth 3Y-13.93%
FCF growth 5Y-2.16%
OCF growth 1Y-40.82%
OCF growth 3Y-24.51%
OCF growth 5Y-17.38%