TEO
Telecom Argentina S.A.
Telecommunications Services
Market Cap$5.16B
5Y Perf.+39.6%
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Stock Comparison
TEO vs VZ
Revenue, margins, valuation, and 5-year total return — side by side.
VZ
Verizon Communications Inc.
Telecommunications Services
Market Cap$198.61B
5Y Perf.-17.9%
TEO vs VZ — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | TEO | VZ |
|---|---|---|
| Industry | Telecommunications Services | Telecommunications Services |
| Market Cap | $5.16B | $198.61B |
| Revenue (TTM) | $6.63T | $138.19B |
| Net Income (TTM) | $-215.75B | $17.17B |
| Gross Margin | 74.7% | 55.7% |
| Operating Margin | 11.7% | 21.2% |
| Forward P/E | 0.0x | 9.5x |
| Total Debt | $3.09T | $200.59B |
| Cash & Equiv. | $318.32B | $19.05B |
TEO vs VZ — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
TEO
VZ
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| Telecom Argentina S… (TEO) | 100 | 139.6 | +39.6% |
| Verizon Communicati… (VZ) | 100 | 82.1 | -17.9% |
Price return only. Dividends and distributions are not included.
Quick Verdict: TEO vs VZ
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: TEO leads in 4 of 7 categories, making it the strongest pick for growth and revenue expansion and valuation and capital efficiency. Verizon Communications Inc. is the stronger pick specifically for profitability and margin quality and dividend income and shareholder returns. As sector peers, any of these can serve as alternatives in the same allocation.
TEO
Telecom Argentina S.A.
The Growth Play
TEO carries the broadest edge in this set and is the clearest fit for growth exposure and sleep-well-at-night.
- Rev growth 100.9%, EPS growth 280.4%, 3Y rev CAGR 17.0%
- Lower volatility, beta 1.51, Low D/E 55.9%, current ratio 0.39x
- 100.9% revenue growth vs VZ's 2.5%
Best for: growth exposure and sleep-well-at-night
VZ
Verizon Communications Inc.
The Income Pick
VZ is the clearest fit if your priority is income & stability and long-term compounding.
- Dividend streak 11 yrs, beta -0.11, yield 5.8%
- 41.6% 10Y total return vs TEO's 5.2%
- Beta -0.11, yield 5.8%, current ratio 0.91x
Best for: income & stability and long-term compounding
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | TEO | 100.9% revenue growth vs VZ's 2.5% |
| Value | TEO | Lower P/E (0.0x vs 9.5x) |
| Quality / Margins | VZ | 12.4% margin vs TEO's -3.3% |
| Stability / Safety | TEO | Lower D/E ratio (55.9% vs 189.7%) |
| Dividends | VZ | 5.8% yield; 11-year raise streak; the other pay no meaningful dividend |
| Momentum (1Y) | TEO | +22.3% vs VZ's +13.6% |
| Efficiency (ROA) | VZ | 4.4% ROA vs TEO's -1.6%, ROIC 8.0% vs -1.2% |
TEO vs VZ — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
FY 2022
FY 2025
TEO vs VZ — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLVZLAGGINGTEO
TEOTelecom Argentina S.A.
1leads
VZVerizon Communication…
4leads
6 Total Categories
CATEGORYLEADERvs TEOMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
VZ4/6
Valuation MetricsMultiples, price ratios, and targets
Tied
—
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
VZ7/9
Total Returns1Y, 3Y, 5Y total returns with dividends
TEO4/6
Risk & VolatilityBeta, volatility, and downside exposure
VZ2/2
Analyst OutlookRatings, price targets, and dividends
VZ1/1
Income & Cash Flow (Last 12 Months)
VZ leads this category, winning 4 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
TEO is the larger business by revenue, generating $6.63T annually — 47.9x VZ's $138.2B. VZ is the more profitable business, keeping 12.4% of every revenue dollar as net income compared to TEO's -3.3%. On growth, TEO holds the edge at +110.1% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | TEOTelecom Argentina… | VZVerizon Communica… |
|---|---|---|
| RevenueTrailing 12 months | $6.63T | $138.2B |
| EBITDAEarnings before interest/tax | $2.46T | $47.6B |
| Net IncomeAfter-tax profit | -$215.7B | $17.2B |
| Free Cash FlowCash after capex | -$441.3B | $19.8B |
| Gross MarginGross profit ÷ Revenue | +74.7% | +55.7% |
| Operating MarginEBIT ÷ Revenue | +11.7% | +21.2% |
| Net MarginNet income ÷ Revenue | -3.3% | +12.4% |
| FCF MarginFCF ÷ Revenue | -6.7% | +14.3% |
| Rev. Growth (YoY)Latest quarter vs prior year | +110.1% | +2.0% |
| EPS Growth (YoY)Latest quarter vs prior year | -11.2% | -53.4% |
VZ leads this category, winning 4 of 6 comparable metrics.
Valuation Metrics
Evenly matched — TEO and VZ each lead in 3 of 6 comparable metrics.
Valuation Metrics
At 7.1x trailing earnings, TEO trades at a 39% valuation discount to VZ's 11.6x P/E. On an enterprise value basis, VZ's 8.0x EV/EBITDA is more attractive than TEO's 8.5x.
| Metric | TEOTelecom Argentina… | VZVerizon Communica… |
|---|---|---|
| Market CapShares × price | $5.2B | $198.6B |
| Enterprise ValueMkt cap + debt − cash | $7.2B | $380.2B |
| Trailing P/EPrice ÷ TTM EPS | 7.08x | 11.60x |
| Forward P/EPrice ÷ next-FY EPS est. | 0.01x | 9.52x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 8.53x | 7.99x |
| Price / SalesMarket cap ÷ Revenue | 1.73x | 1.44x |
| Price / BookPrice ÷ Book value/share | 1.30x | 1.88x |
| Price / FCFMarket cap ÷ FCF | 17.18x | 9.87x |
Evenly matched — TEO and VZ each lead in 3 of 6 comparable metrics.
Profitability & Efficiency
VZ leads this category, winning 7 of 9 comparable metrics.
Profitability & Efficiency
VZ delivers a 16.4% return on equity — every $100 of shareholder capital generates $16 in annual profit, vs $-4 for TEO. TEO carries lower financial leverage with a 0.56x debt-to-equity ratio, signaling a more conservative balance sheet compared to VZ's 1.90x. On the Piotroski fundamental quality scale (0–9), TEO scores 6/9 vs VZ's 4/9, reflecting solid financial health.
| Metric | TEOTelecom Argentina… | VZVerizon Communica… |
|---|---|---|
| ROE (TTM)Return on equity | -3.5% | +16.4% |
| ROA (TTM)Return on assets | -1.6% | +4.4% |
| ROICReturn on invested capital | -1.2% | +8.0% |
| ROCEReturn on capital employed | -1.6% | +8.8% |
| Piotroski ScoreFundamental quality 0–9 | 6 | 4 |
| Debt / EquityFinancial leverage | 0.56x | 1.90x |
| Net DebtTotal debt minus cash | $2.77T | $181.5B |
| Cash & Equiv.Liquid assets | $318.3B | $19.0B |
| Total DebtShort + long-term debt | $3.09T | $200.6B |
| Interest CoverageEBIT ÷ Interest expense | -571.01x | 4.39x |
VZ leads this category, winning 7 of 9 comparable metrics.
Total Returns (Dividends Reinvested)
TEO leads this category, winning 4 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in TEO five years ago would be worth $28,610 today (with dividends reinvested), compared to $10,277 for VZ. Over the past 12 months, TEO leads with a +22.3% total return vs VZ's +13.6%. The 3-year compound annual growth rate (CAGR) favors TEO at 35.7% vs VZ's 13.4% — a key indicator of consistent wealth creation.
| Metric | TEOTelecom Argentina… | VZVerizon Communica… |
|---|---|---|
| YTD ReturnYear-to-date | +3.9% | +19.7% |
| 1-Year ReturnPast 12 months | +22.3% | +13.6% |
| 3-Year ReturnCumulative with dividends | +149.8% | +45.9% |
| 5-Year ReturnCumulative with dividends | +186.1% | +2.8% |
| 10-Year ReturnCumulative with dividends | +5.2% | +41.6% |
| CAGR (3Y)Annualised 3-year return | +35.7% | +13.4% |
TEO leads this category, winning 4 of 6 comparable metrics.
Risk & Volatility
VZ leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
VZ is the less volatile stock with a -0.11 beta — it tends to amplify market swings less than TEO's 1.51 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. VZ currently trades 91.1% from its 52-week high vs TEO's 86.8% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | TEOTelecom Argentina… | VZVerizon Communica… |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 1.51x | -0.11x |
| 52-Week HighHighest price in past year | $13.81 | $51.68 |
| 52-Week LowLowest price in past year | $6.43 | $10.60 |
| % of 52W HighCurrent price vs 52-week peak | +86.8% | +91.1% |
| RSI (14)Momentum oscillator 0–100 | 58.2 | 49.3 |
| Avg Volume (50D)Average daily shares traded | 258K | 24.3M |
VZ leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
VZ leads this category, winning 1 of 1 comparable metric.
Analyst Outlook
Wall Street rates TEO as "Sell" and VZ as "Hold". Consensus price targets imply 9.5% upside for VZ (target: $52) vs 6.8% for TEO (target: $13). VZ is the only dividend payer here at 5.76% yield — a key consideration for income-focused portfolios.
| Metric | TEOTelecom Argentina… | VZVerizon Communica… |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Sell | Hold |
| Price TargetConsensus 12-month target | $12.80 | $51.56 |
| # AnalystsCovering analysts | 12 | 60 |
| Dividend YieldAnnual dividend ÷ price | — | +5.8% |
| Dividend StreakConsecutive years of raises | 1 | 11 |
| Dividend / ShareAnnual DPS | — | $2.71 |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | 0.0% |
VZ leads this category, winning 1 of 1 comparable metric.
Key Takeaway
VZ leads in 4 of 6 categories (Income & Cash Flow, Profitability & Efficiency). TEO leads in 1 (Total Returns). 1 tied.
Best OverallVerizon Communications Inc. (VZ)Leads 4 of 6 categories
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TEO vs VZ: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is TEO or VZ a better buy right now?
For growth investors, Telecom Argentina S.
A. (TEO) is the stronger pick with 100. 9% revenue growth year-over-year, versus 2. 5% for Verizon Communications Inc. (VZ). Telecom Argentina S. A. (TEO) offers the better valuation at 7. 1x trailing P/E (0. 0x forward), making it the more compelling value choice. Analysts rate Verizon Communications Inc. (VZ) a "Hold" — based on 60 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — TEO or VZ?
On trailing P/E, Telecom Argentina S.
A. (TEO) is the cheapest at 7. 1x versus Verizon Communications Inc. at 11. 6x. On forward P/E, Telecom Argentina S. A. is actually cheaper at 0. 0x.
03Which is the better long-term investment — TEO or VZ?
Over the past 5 years, Telecom Argentina S.
A. (TEO) delivered a total return of +186. 1%, compared to +2. 8% for Verizon Communications Inc. (VZ). Over 10 years, the gap is even starker: VZ returned +41. 6% versus TEO's +5. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — TEO or VZ?
By beta (market sensitivity over 5 years), Verizon Communications Inc.
(VZ) is the lower-risk stock at -0. 11β versus Telecom Argentina S. A. 's 1. 51β — meaning TEO is approximately -1526% more volatile than VZ relative to the S&P 500. On balance sheet safety, Telecom Argentina S. A. (TEO) carries a lower debt/equity ratio of 56% versus 190% for Verizon Communications Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — TEO or VZ?
By revenue growth (latest reported year), Telecom Argentina S.
A. (TEO) is pulling ahead at 100. 9% versus 2. 5% for Verizon Communications Inc. (VZ). On earnings-per-share growth, the picture is similar: Telecom Argentina S. A. grew EPS 280. 4% year-over-year, compared to -2. 2% for Verizon Communications Inc.. Over a 3-year CAGR, TEO leads at 17. 0% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — TEO or VZ?
Telecom Argentina S.
A. (TEO) is the more profitable company, earning 24. 5% net margin versus 12. 4% for Verizon Communications Inc. — meaning it keeps 24. 5% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: VZ leads at 21. 2% versus -3. 5% for TEO. At the gross margin level — before operating expenses — TEO leads at 73. 3%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is TEO or VZ more undervalued right now?
On forward earnings alone, Telecom Argentina S.
A. (TEO) trades at 0. 0x forward P/E versus 9. 5x for Verizon Communications Inc. — 9. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for VZ: 9. 5% to $51. 56.
08Which pays a better dividend — TEO or VZ?
In this comparison, VZ (5.
8% yield) pays a dividend. TEO does not pay a meaningful dividend and should not be held primarily for income.
09Is TEO or VZ better for a retirement portfolio?
For long-horizon retirement investors, Verizon Communications Inc.
(VZ) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β -0. 11), 5. 8% yield). Telecom Argentina S. A. (TEO) carries a higher beta of 1. 51 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (VZ: +41. 6%, TEO: +5. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between TEO and VZ?
Both stocks operate in the Communication Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
In terms of investment character: TEO is a small-cap high-growth stock; VZ is a mid-cap deep-value stock. VZ pays a dividend while TEO does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
Find Stocks Like These
Explore pre-built screens for each stock's profile, or build a custom screen to find stocks that outperform both.
- Sector: Communication Services
- Market Cap > $100B
- Revenue Growth > 55%
- Gross Margin > 44%
Revenue Growth>
%
(TEO: 110.1% · VZ: 2.0%)P/E Ratio<
x
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