Reviewing Telefónica Deutschland (TELDF) & Its Rivals

Telefónica Deutschland (OTCMKTS:TELDF) is one of 144 public companies in the “Telecom Services” industry, but how does it contrast to its peers? We will compare Telefónica Deutschland to related companies based on the strength of its profitability, dividends, analyst recommendations, valuation, institutional ownership, risk and earnings.

Profitability

This table compares Telefónica Deutschland and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Telefónica Deutschland	N/A	N/A	N/A
Telefónica Deutschland Competitors	-6.68%	-17.44%	1.08%

Dividends

Telefónica Deutschland pays an annual dividend of $0.27 per share and has a dividend yield of 14.6%. Telefónica Deutschland pays out -205,565.9% of its earnings in the form of a dividend. As a group, “Telecom Services” companies pay a dividend yield of 15.0% and pay out 41.9% of their earnings in the form of a dividend.

Institutional & Insider Ownership

9.4% of Telefónica Deutschland shares are held by institutional investors. Comparatively, 29.2% of shares of all “Telecom Services” companies are held by institutional investors. 32.4% of shares of all “Telecom Services” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares Telefónica Deutschland and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Telefónica Deutschland	N/A	N/A	-14,116.28
Telefónica Deutschland Competitors	$7.90 billion	$752.56 million	-167.86

Telefónica Deutschland’s peers have higher revenue and earnings than Telefónica Deutschland. Telefónica Deutschland is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a summary of current ratings and price targets for Telefónica Deutschland and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Telefónica Deutschland	2	6	1	0	1.89
Telefónica Deutschland Competitors	707	2150	3971	109	2.50

As a group, “Telecom Services” companies have a potential upside of 64.47%. Given Telefónica Deutschland’s peers stronger consensus rating and higher possible upside, analysts plainly believe Telefónica Deutschland has less favorable growth aspects than its peers.

Summary

Telefónica Deutschland peers beat Telefónica Deutschland on 10 of the 13 factors compared.

About Telefónica Deutschland

Telefónica Deutschland Holding AG, together with its subsidiaries, provides integrated telecommunication services to private and business customers in Germany. It offers mobile and stationery voice and data services; very high data rate digital subscriber line (VDSL) internet services; fiber-to-the-home lines; broadband services, consisting of VDSL, cable, fiber, and fixed mobile substitution services; and machine to machine communication and managed connectivity services. The company also digital services in the fields of Internet of Things, as well as O2 Tv and O2 cloud. In addition, it provides access to infrastructure and services for its wholesale partners. The company provides its products and services through a network of independently operated franchise and premium partner shops, and online and telesales channels, as well as indirect selling channels, such as partnerships and co-operations with retailers. It markets its products and services under the O2, Blau, AY YILDIZ, Ortel Mobile, andTelefonica brand names. The company was formerly known as Telefónica Germany Verwaltungs GmbH and changed its name to Telefónica Deutschland Holding AG in September 2012. The company is based in Munich, Germany. Telefónica Deutschland Holding AG is a subsidiary of Telefonica Germany Holdings Limited.