Latest Ratios: P/E Ratio -45.3x · EV/EBITDA 4.0x · ROE -2.7%. (1998–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $5.0B | $5.0B | $5.4B | $3.1B | $2.3B | $2.2B | $2.8B | $4.9B | $6.7B | $13.3B | $3.5B |
| Enterprise Value | $7.6B | $3.85T | $2.78T | $4.49T | $1.43T | $520.0B | $291.8B | $6.9B | $118.0B | $22.8B | $11.5B |
| P/E Ratio → | -45.31 | — | 0.01 | — | — | 0.25 | — | — | 1.27 | 1.74 | 0.89 |
| P/S Ratio | 0.92 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.01 | 0.02 | 0.13 | 0.06 |
| P/B Ratio | 1.10 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.94 | 0.02 | 0.24 | 0.18 |
| P/FCF | — | — | 0.01 | 0.03 | 0.01 | 0.02 | 0.05 | 0.08 | — | 2.98 | 0.54 |
| P/OCF | 3.53 | 0.00 | 0.01 | 0.00 | 0.00 | 0.00 | 0.01 | 0.03 | 0.10 | 0.38 | 0.14 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.46 | 0.67 | 2.18 | 0.29 | 0.20 | 0.33 | 0.01 | 0.34 | 0.22 | 0.19 |
| EV / EBITDA | 3.97 | 1.32 | 2.38 | 7.75 | — | 0.65 | 0.97 | 0.05 | 1.04 | 0.61 | 0.57 |
| EV / EBIT | 13.40 | 13.37 | 1.73 | — | — | 1.42 | 5.23 | 0.16 | 8.01 | 0.90 | 0.63 |
| EV / FCF | — | — | 6.66 | 42.82 | 4.38 | 5.75 | 5.46 | 0.11 | — | 5.12 | 1.75 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 75.4% | 75.4% | 73.3% | 73.4% | 73.8% | 73.1% | 74.9% | 73.5% | 73.9% | 72.7% | 70.3% |
| Operating Margin | 10.3% | 10.3% | -3.5% | -6.1% | -40.4% | -0.7% | 6.7% | 6.7% | 12.6% | 21.5% | 20.4% |
| Net Profit Margin | -2.0% | -2.0% | 24.5% | -12.5% | -28.5% | 0.3% | -1.9% | -1.9% | 3.2% | 14.6% | 17.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -2.7% | -2.7% | 19.4% | -6.9% | -78.3% | 1.0% | -5.7% | -5.1% | 5.4% | 40.0% | 55.8% |
| ROA | -1.2% | -1.2% | 8.9% | -3.0% | -37.7% | 0.5% | -2.9% | -3.1% | 3.3% | 21.1% | 24.2% |
| ROIC | 6.8% | 6.8% | -1.2% | -1.4% | -54.1% | -1.0% | 10.1% | 10.3% | 12.6% | 35.7% | 37.3% |
| ROCE | 7.9% | 7.9% | -1.6% | -1.8% | -63.8% | -1.2% | 12.1% | 13.0% | 15.8% | 41.2% | 46.5% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.62 | 0.62 | 0.56 | 0.99 | 0.61 | 0.52 | 0.54 | 0.48 | 0.35 | 0.29 | 0.60 |
| Debt / EBITDA | 1.48 | 1.48 | 2.65 | 8.34 | — | 0.70 | 1.05 | 0.02 | 1.07 | 0.43 | 0.59 |
| Net Debt / Equity | — | 0.55 | 0.50 | 0.92 | 0.56 | 0.48 | 0.49 | 0.40 | 0.32 | 0.17 | 0.40 |
| Net Debt / EBITDA | 1.32 | 1.32 | 2.38 | 7.74 | — | 0.65 | 0.96 | 0.01 | 0.98 | 0.26 | 0.39 |
| Debt / FCF | — | — | 6.65 | 42.79 | 4.37 | 5.72 | 5.40 | 0.03 | — | 2.13 | 1.21 |
| Interest Coverage | 0.60 | 0.60 | 6246.21 | -2720.37 | -14519.27 | 3.54 | 1.20 | 196.28 | 1.62 | 15.52 | 10.42 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.48 | 0.48 | 0.39 | 0.44 | 0.39 | 0.39 | 0.50 | 0.59 | 0.63 | 0.57 | 0.94 |
| Quick Ratio | 0.45 | 0.45 | 0.35 | 0.41 | 0.37 | 0.37 | 0.47 | 0.55 | 0.58 | 0.56 | 0.87 |
| Cash Ratio | 0.21 | 0.21 | 0.18 | 0.26 | 0.17 | 0.19 | 0.22 | 0.30 | 0.15 | 0.36 | 0.34 |
| Asset Turnover | — | 0.50 | 0.38 | 0.17 | 0.92 | 1.23 | 0.78 | 50.44 | 0.62 | 1.09 | 1.26 |
| Inventory Turnover | 23.29 | 23.29 | 18.28 | 7.96 | 64.57 | 114.57 | 39.55 | 2409.66 | 21.84 | 205.57 | 14.03 |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.3% | 100.0% | — | — | 52.4% | 33.9% | 38.2% | 100.0% | 100.0% | 30.3% | 85.3% |
| Payout Ratio | — | — | — | — | — | 8.6% | — | — | 642.6% | 26.8% | 28.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | 18668.8% | — | — | 394.1% | — | — | 79.0% | 57.5% | 112.8% |
| FCF Yield | — | — | 7694.8% | 3401.6% | 13911.5% | 4119.2% | 1892.1% | 1308.6% | — | 33.5% | 186.1% |
| Buyback Yield | 0.2% | 100.0% | 0.0% | 73.3% | 0.0% | 2.7% | 0.0% | 2.6% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 0.5% | 100.0% | 0.0% | 73.3% | 52.4% | 36.6% | 38.2% | 100.0% | 100.0% | 30.3% | 85.3% |
| Shares Outstanding | — | $431M | $431M | $431M | $431M | $431M | $431M | $431M | $431M | $362M | $194M |
Includes 30+ ratios · 28 years · Updated daily
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Quick answers to the most common questions about buying TEO stock.
Telecom Argentina S.A.'s current P/E ratio is -45.3x. The historical average is 5.0x.
Telecom Argentina S.A.'s current EV/EBITDA is 4.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 2.6x.
Telecom Argentina S.A.'s return on equity (ROE) is -2.7%. The historical average is 4.7%.
Based on historical data, Telecom Argentina S.A. is trading at a P/E of -45.3x. Compare with industry peers and growth rates for a complete picture.
Telecom Argentina S.A.'s current dividend yield is 0.31%.
Telecom Argentina S.A. has 75.4% gross margin and 10.3% operating margin. Operating margin between 10-20% is typical for established companies.
Telecom Argentina S.A.'s Debt/EBITDA ratio is 1.5x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Hyperinflationary accounting obscures real performance
Valuation Anchored to Sovereign Risk
TEO's forward P/E of 0.01 and EV/EBITDA of 4.23, as reported in recent financial data, reflect a deep discount to regional peers like Telefônica Brasil (VIV) at 4.62x, suggesting the market is pricing in severe Argentina-specific currency and repatriation risks rather than operational fundamentals.
The near-zero forward P/E is a mathematical artifact of hyperinflationary accounting and negative earnings, making it an unreliable valuation anchor. The EV/EBITDA multiple is the more relevant metric, and its significant discount to peers indicates that investors are applying a substantial risk premium for operating in a volatile macroeconomic environment. This discount appears to overshadow the company's dominant market position and infrastructure moat.
ROE Volatility Reflects Accounting, Not Regulation
TEO's ROE has swung from -3.1% in Q3 2025 to 8.4% in Q1 2026, as shown in the ratio data, a volatility pattern driven by non-cash IAS 29 monetary position adjustments rather than a stable regulatory compact, making the concept of an 'authorized ROE' largely inapplicable.
Unlike a traditional regulated utility with a predictable allowed return, TEO's earnings power is dictated by the timing of price adjustments relative to hyperinflation and foreign exchange movements. The erratic ROE trajectory suggests that regulatory outcomes are not the primary driver of shareholder returns; instead, macroeconomic management and the company's ability to pass through costs in real-time are the dominant factors.
Margin Compression Signals Cost Recovery Lag
The persistent gap between a 75.4% gross margin and a 10.3% operating margin, as reported in financial statements, indicates that while direct service costs are low, significant overhead and inflationary pressures on wages and energy are compressing profitability, suggesting imperfect cost recovery mechanisms.
The dramatic operating margin swing from -31.9% in Q4 2025 to 36.0% in Q2 2026 points to a lumpy, rather than continuous, cost recovery process. This volatility implies that TEO's pricing adjustments may occur in discrete, regulatory-approved steps that lag behind the rapid escalation of its input costs, creating periods of severe margin stress.
Leverage Rising Amidst Equity Dilution
The debt-to-capital ratio has increased from 0.36 in Q4 2024 to 0.40 in Q2 2026, according to the ratio data, while interest coverage has normalized to 3.47x from extreme highs, suggesting a gradual shift toward higher leverage as the company funds its capital-intensive network.
The rising leverage ratio, coupled with the prior finding that asset growth is outpacing equity accretion, indicates the company is increasingly relying on debt to finance its infrastructure. While the current interest coverage appears adequate, the underlying risk is the currency mismatch: servicing USD-denominated debt with ARS-denominated cash flows in a devaluing currency environment could rapidly deteriorate coverage ratios.
Dividend Policy Discretionary and Sporadic
TEO's dividend payout ratio was 31.3% in Q2 2026, but the sporadic payment pattern with zero dividends in six of the last ten quarters, as per the ratio data, suggests distributions are discretionary and secondary to the urgent need for internal funding of its capital expenditure program.
The dividend yield of 0.3% is negligible and not a primary return driver for investors. The company's cash flow analysis shows that operating cash flow is heavily consumed by capital expenditures, leaving limited room for consistent shareholder distributions. This pattern is typical for a capital-constrained utility in a volatile economy, where preserving liquidity for network maintenance and growth takes precedence over dividend commitments.
The Misapplied P/E Ratio
The most commonly misapplied ratio to TEO is the P/E ratio, which is currently -49.80, as reported in valuation metrics, because it is rendered meaningless by hyperinflationary accounting distortions and non-cash monetary position gains/losses that dominate net income.
Analysts comparing TEO's P/E to global telecom peers are using a metric that is fundamentally broken in this context. The net income figure is heavily influenced by the 'Gain/Loss on Net Monetary Position' under IAS 29, a non-cash item that reflects inflation's impact on monetary assets and liabilities, not operational performance. A more appropriate alternative is the EV/EBITDA multiple, which focuses on cash flow generation from core operations and is less susceptible to these accounting distortions.