TELEFONICA BRASIL-ADR (VIV) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:VIV - US87936R2058 - ADR
13 USD
-0.22 (-1.66%)
Overall VIV gets a fundamental rating of 5 out of 10. We evaluated VIV against 37 industry peers in the Diversified Telecommunication Services industry. VIV has an average financial health and profitability rating. VIV has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year VIV was profitable.
In the past year VIV had a positive cash flow from operations.
In the past 5 years VIV has always been profitable.
Each year in the past 5 years VIV had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.89%, VIV is in the better half of the industry, outperforming 70.27% of the companies in the same industry.
Looking at the Return On Equity, with a value of 8.85%, VIV is in the better half of the industry, outperforming 70.27% of the companies in the same industry.
VIV's Return On Invested Capital of 7.84% is amongst the best of the industry. VIV outperforms 86.49% of its industry peers.
VIV had an Average Return On Invested Capital over the past 3 years of 6.41%. This is in line with the industry average of 6.50%.
The 3 year average ROIC (6.41%) for VIV is below the current ROIC(7.84%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.89% | ||
| ROE | 8.85% | ||
| ROIC | 7.84% |
ROA(3y)4.01%
ROA(5y)4.36%
ROE(3y)7.05%
ROE(5y)7.39%
ROIC(3y)6.41%
ROIC(5y)5.75%
1.3 Margins
VIV has a Profit Margin of 10.34%. This is in the better half of the industry: VIV outperforms 72.97% of its industry peers.
In the last couple of years the Profit Margin of VIV has declined.
VIV has a better Operating Margin (15.52%) than 62.16% of its industry peers.
In the last couple of years the Operating Margin of VIV has remained more or less at the same level.
VIV's Gross Margin of 44.27% is on the low side compared to the rest of the industry. VIV is outperformed by 62.16% of its industry peers.
In the last couple of years the Gross Margin of VIV has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.52% | ||
| PM (TTM) | 10.34% | ||
| GM | 44.27% |
OM growth 3Y9.5%
OM growth 5Y1.09%
PM growth 3Y-11.16%
PM growth 5Y-2.54%
GM growth 3Y0.11%
GM growth 5Y-2.57%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so VIV is destroying value.
Compared to 1 year ago, VIV has less shares outstanding
Compared to 5 years ago, VIV has more shares outstanding
VIV has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.04 indicates that VIV is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.04, VIV belongs to the top of the industry, outperforming 83.78% of the companies in the same industry.
The Debt to FCF ratio of VIV is 1.74, which is an excellent value as it means it would take VIV, only 1.74 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 1.74, VIV belongs to the best of the industry, outperforming 94.59% of the companies in the same industry.
A Debt/Equity ratio of 0.19 indicates that VIV is not too dependend on debt financing.
VIV has a Debt to Equity ratio of 0.19. This is amongst the best in the industry. VIV outperforms 86.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 1.74 | ||
| Altman-Z | 2.04 |
ROIC/WACC0.54
WACC14.44%
2.3 Liquidity
A Current Ratio of 1.02 indicates that VIV should not have too much problems paying its short term obligations.
VIV has a Current ratio of 1.02. This is comparable to the rest of the industry: VIV outperforms 48.65% of its industry peers.
A Quick Ratio of 0.96 indicates that VIV may have some problems paying its short term obligations.
VIV has a Quick ratio (0.96) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.02 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
VIV shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -21.55%.
VIV shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -10.63% yearly.
VIV shows a small growth in Revenue. In the last year, the Revenue has grown by 6.88%.
VIV shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.76% yearly.
EPS 1Y (TTM)-21.55%
EPS 3Y-19.2%
EPS 5Y-10.63%
EPS Q2Q%15.69%
Revenue 1Y (TTM)6.88%
Revenue growth 3Y8.24%
Revenue growth 5Y4.76%
Sales Q2Q%6.48%
3.2 Future
Based on estimates for the next years, VIV will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.67% on average per year.
Based on estimates for the next years, VIV will show a small growth in Revenue. The Revenue will grow by 5.67% on average per year.
EPS Next Y-0.1%
EPS Next 2Y15.06%
EPS Next 3Y16.45%
EPS Next 5Y12.67%
Revenue Next Year6.85%
Revenue Next 2Y6.35%
Revenue Next 3Y6.02%
Revenue Next 5Y5.67%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 18.57, the valuation of VIV can be described as rather expensive.
VIV's Price/Earnings ratio is a bit cheaper when compared to the industry. VIV is cheaper than 70.27% of the companies in the same industry.
When comparing the Price/Earnings ratio of VIV to the average of the S&P500 Index (26.31), we can say VIV is valued slightly cheaper.
The Price/Forward Earnings ratio is 13.34, which indicates a correct valuation of VIV.
Compared to the rest of the industry, the Price/Forward Earnings ratio of VIV indicates a rather cheap valuation: VIV is cheaper than 81.08% of the companies listed in the same industry.
VIV's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.56.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.57 | ||
| Fwd PE | 13.34 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VIV is valued cheaper than 89.19% of the companies in the same industry.
VIV's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.68 | ||
| EV/EBITDA | 5.19 |
4.3 Compensation for Growth
VIV has a very decent profitability rating, which may justify a higher PE ratio.
VIV's earnings are expected to grow with 16.45% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y15.06%
EPS Next 3Y16.45%
5. Dividend
5.1 Amount
VIV has a Yearly Dividend Yield of 1.95%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 5.67, VIV pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, VIV has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.95% |
5.2 History
The dividend of VIV decreases each year by -26.73%.
VIV has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-26.73%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
VIV pays out 42.62% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP42.62%
EPS Next 2Y15.06%
EPS Next 3Y16.45%
NYSE:VIV (12/1/2025, 11:11:47 AM)
13
-0.22 (-1.66%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners13.48%
Inst Owner Change0.98%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap20.83B
Revenue(TTM)58.57B
Net Income(TTM)6.05B
Analysts78
Price Target15.18 (16.77%)
Short Float %1.54%
Short Ratio7.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.95% |
Yearly Dividend0.29
Dividend Growth(5Y)-26.73%
DP42.62%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.33%
Min EPS beat(2)-5.9%
Max EPS beat(2)14.56%
EPS beat(4)2
Avg EPS beat(4)2.01%
Min EPS beat(4)-5.9%
Max EPS beat(4)14.56%
EPS beat(8)4
Avg EPS beat(8)0.1%
EPS beat(12)6
Avg EPS beat(12)1.63%
EPS beat(16)8
Avg EPS beat(16)3.46%
Revenue beat(2)0
Avg Revenue beat(2)-2.65%
Min Revenue beat(2)-2.75%
Max Revenue beat(2)-2.56%
Revenue beat(4)0
Avg Revenue beat(4)-2.66%
Min Revenue beat(4)-2.75%
Max Revenue beat(4)-2.56%
Revenue beat(8)0
Avg Revenue beat(8)-2.8%
Revenue beat(12)0
Avg Revenue beat(12)-2.35%
Revenue beat(16)1
Avg Revenue beat(16)-2.17%
PT rev (1m)7.25%
PT rev (3m)10.77%
EPS NQ rev (1m)-11.1%
EPS NQ rev (3m)-16.2%
EPS NY rev (1m)-1.61%
EPS NY rev (3m)-2.47%
Revenue NQ rev (1m)-0.16%
Revenue NQ rev (3m)-0.46%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.57 | ||
| Fwd PE | 13.34 | ||
| P/S | 1.9 | ||
| P/FCF | 10.68 | ||
| P/OCF | 5.52 | ||
| P/B | 1.63 | ||
| P/tB | 5.32 | ||
| EV/EBITDA | 5.19 |
EPS(TTM)0.7
EY5.38%
EPS(NY)0.97
Fwd EY7.49%
FCF(TTM)1.22
FCFY9.37%
OCF(TTM)2.35
OCFY18.11%
SpS6.85
BVpS8
TBVpS2.44
PEG (NY)N/A
PEG (5Y)N/A
Graham Number11.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.89% | ||
| ROE | 8.85% | ||
| ROCE | 9.09% | ||
| ROIC | 7.84% | ||
| ROICexc | 8.41% | ||
| ROICexgc | 17.16% | ||
| OM | 15.52% | ||
| PM (TTM) | 10.34% | ||
| GM | 44.27% | ||
| FCFM | 17.79% |
ROA(3y)4.01%
ROA(5y)4.36%
ROE(3y)7.05%
ROE(5y)7.39%
ROIC(3y)6.41%
ROIC(5y)5.75%
ROICexc(3y)6.73%
ROICexc(5y)6.07%
ROICexgc(3y)13.87%
ROICexgc(5y)12.32%
ROCE(3y)7.43%
ROCE(5y)6.68%
ROICexgc growth 3Y16.7%
ROICexgc growth 5Y5.97%
ROICexc growth 3Y15.84%
ROICexc growth 5Y4.31%
OM growth 3Y9.5%
OM growth 5Y1.09%
PM growth 3Y-11.16%
PM growth 5Y-2.54%
GM growth 3Y0.11%
GM growth 5Y-2.57%
F-Score9
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 1.74 | ||
| Debt/EBITDA | 0.55 | ||
| Cap/Depr | 65.34% | ||
| Cap/Sales | 16.6% | ||
| Interest Coverage | 3.93 | ||
| Cash Conversion | 84.03% | ||
| Profit Quality | 172.08% | ||
| Current Ratio | 1.02 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 2.04 |
F-Score9
WACC14.44%
ROIC/WACC0.54
Cap/Depr(3y)69.87%
Cap/Depr(5y)72.13%
Cap/Sales(3y)18.07%
Cap/Sales(5y)18.91%
Profit Quality(3y)203.34%
Profit Quality(5y)196.48%
High Growth Momentum
Growth
EPS 1Y (TTM)-21.55%
EPS 3Y-19.2%
EPS 5Y-10.63%
EPS Q2Q%15.69%
EPS Next Y-0.1%
EPS Next 2Y15.06%
EPS Next 3Y16.45%
EPS Next 5Y12.67%
Revenue 1Y (TTM)6.88%
Revenue growth 3Y8.24%
Revenue growth 5Y4.76%
Sales Q2Q%6.48%
Revenue Next Year6.85%
Revenue Next 2Y6.35%
Revenue Next 3Y6.02%
Revenue Next 5Y5.67%
EBIT growth 1Y9.97%
EBIT growth 3Y18.52%
EBIT growth 5Y5.9%
EBIT Next Year182.4%
EBIT Next 3Y48.46%
EBIT Next 5Y28.91%
FCF growth 1Y-1.34%
FCF growth 3Y6.33%
FCF growth 5Y3.51%
OCF growth 1Y2.63%
OCF growth 3Y3.22%
OCF growth 5Y2.32%
TELEFONICA BRASIL-ADR / VIV FAQ
Can you provide the ChartMill fundamental rating for TELEFONICA BRASIL-ADR?
ChartMill assigns a fundamental rating of 5 / 10 to VIV.
Can you provide the valuation status for TELEFONICA BRASIL-ADR?
ChartMill assigns a valuation rating of 5 / 10 to TELEFONICA BRASIL-ADR (VIV). This can be considered as Fairly Valued.
How profitable is TELEFONICA BRASIL-ADR (VIV) stock?
TELEFONICA BRASIL-ADR (VIV) has a profitability rating of 6 / 10.
What is the financial health of TELEFONICA BRASIL-ADR (VIV) stock?
The financial health rating of TELEFONICA BRASIL-ADR (VIV) is 6 / 10.
What is the expected EPS growth for TELEFONICA BRASIL-ADR (VIV) stock?
The Earnings per Share (EPS) of TELEFONICA BRASIL-ADR (VIV) is expected to decline by -0.1% in the next year.