Swedish telecom operator Telia reported a smaller-than-expected rise in fourth-quarter adjusted core earnings on Thursday, but confirmed its outlook for 2025.
Telia has undergone significant turnaround efforts, showing strong fundamentals, improved EBITDA, and a promising pathway to achieve 10B SEK annual FCF by 2027. My large position in Telia, bought below 28 SEK/share, yields over 7% quarterly, reflecting its strong dividend and upside potential. Telia's valuation remains attractive, with a price target of 35 SEK/share, making it a "BUY" at current levels, especially below 25 SEK.
The Swedish telecommunications operator said it expected stronger growth momentum in the fourth quarter of the year and raised its guidance as it reported a slight beat on adjusted underlying earnings for the third quarter.
| Diversified Telecommunication Services Industry | Communication Services Sector | Mr. Patrik Hofbauer CEO | OTC PINK Exchange | 87960M205 CUSIP |
| SE Country | 15,040 Employees | 11 Apr 2025 Last Dividend | - Last Split | 13 Jun 2000 IPO Date |
Telia Company AB (publ) stands as a pivotal provider of communication services, catering to a diverse clientele that includes businesses, individuals, families, and communities across Sweden, Finland, Norway, Denmark, Lithuania, Estonia, and Latvia. Originally established in 1853, the company has undergone significant evolution, notably transitioning from its former identity as TeliaSonera AB (publ) to its current brand, Telia Company AB (publ), in April 2016. With its headquarters in Solna, Sweden, Telia Company has developed a robust portfolio of services encompassing mobile, broadband, television, and fixed-line services, in addition to specialized solutions in networking, cloud and security, and the Internet of Things (IoT). Its strategic focus spans various industries, including transport and logistics, public transport, manufacturing, retail, utilities, buildings and real estate, and the public sector, leveraging a broad spectrum of branded solutions such as Telia, TV4, C More, Halebop, and many others.