idal/iStock via Getty Images Dear readers/followers To say that Telefonica (NYSE:TEF) is my "best" or most qualitative telecommunications investment would be a bit of an overstatement and exaggeration. I would say that Telefonica has been a decent investment, with a good yield, and good further potential for outperformance. It's important to understand here that different investments I make have different goals and overall targets for how they are positioned in my portfolio. Telecommunications are investmen ...

Operator Please standby, your conference will resume shortly. [Technical Difficulty] Jose Maria These, coupled with our focus on execution and combined with further wholesale and consolidation opportunities will allow us to keep building on our momentum and demonstrating the continued success of our strategy. Thank you very much for listening. We're now ready to take your questions. Question-and-Answer Session Operator [Operator Instructions] Our first question comes from the line of Andrew Lee from Goldman ...

Telefónica, S.A. (TEF) is enhancing its commitment to sustainability through its Circular Economy Plan, leveraging 'VICKY,' a blockchain-based platform. Since the launch of the platform five years ago, Telefónica has successfully repurposed more than 19 million routers and set-top boxes across all its operations. VICKY, Telefónica's innovative supply chain management system for external equipment such as routers and set-top-boxes, significantly enhances plant and warehouse visibility. It not only reduces le ...

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks. Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performan ...

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers. Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on ke ...

The two companies will deploy SHARK.X, an open, hybrid and multi-cloud hardware and software platform specialized in analytics, data management and AI Telefónica Tech and IBM will create a use case office to develop customer pilots The new collaboration agreement will promote training and education actions to develop and scale digital transformation projects in the business sector and public administration based on these technologies Technology and co-creation to provide answers to real business needs IBM C ...

Core Viewpoint - The article highlights Telefonica (TEF) as a potentially undervalued stock, supported by various valuation metrics and a strong earnings outlook [4][7]. Valuation Metrics - TEF has a P/E ratio of 13.97, significantly lower than the industry average of 17.30, indicating potential undervaluation [4]. - The stock's P/B ratio stands at 0.90, compared to the industry's average of 2.23, further suggesting that TEF may be undervalued [5]. - TEF's P/S ratio is 0.61, while the industry average is 1.3, reinforcing the notion of its undervaluation [6]. Earnings Outlook - The strength of TEF's earnings outlook, combined with its attractive valuation metrics, positions it as a strong value stock in the current market [7].

Have you been paying attention to shares of Telefonica (TEF) ? Shares have been on the move with the stock up 3.3% over the past month. The stock hit a new 52-week high of $4.72 in the previous session. Telefonica has gained 20.8% since the start of the year compared to the 2.9% move for the Zacks Utilities sector and the -0.5% return for the Zacks Diversified Communication Services industry. What's Driving the Outperformance? The stock has an impressive record of positive earnings surprises, as it hasn't m ...

Financial Data and Key Metrics Changes - The company reported a solid start to the year with a 0.9% year-over-year revenue growth, which is an increase of 1.4 percentage points sequentially from the fourth quarter [42] - EBITDA rose by 1.9% year-over-year, indicating profitable growth driven by robust service revenue performance and effective cost management [43] - The EBITDA minus CapEx margin remained stable year-on-year at 10.4% for the quarter, reflecting ongoing capital expenditure discipline [44] Business Line Data and Key Metrics Changes - In Spain, the conversion ARPU reached €92.2, a €1 increase from the previous quarter, although it declined by 0.5% year-on-year due to higher penetration in the customer base [8][9] - The German operations saw a solid start with a 5% EBITDA growth, supported by improved 5G coverage and a strong mobile service revenue momentum [54] - Brazil maintained strong performance with a 12% increase in fiber-to-the-home customers and a 14% year-on-year growth in ARPU [51] Market Data and Key Metrics Changes - The company achieved record low churn levels in both Spain and Brazil, reflecting a superior value proposition and robust commercial momentum [29] - In Germany, contract churn stood at a remarkable 1%, indicating strong customer retention [36] - The UK market remains subdued, but there was improved service revenue growth across both mobile and consumer fixed segments [55] Company Strategy and Development Direction - The company is focused on building next-generation networks and enhancing customer experience through AI-powered tools, aiming for a more sustainable and profitable growth trajectory [32][41] - A significant milestone is nearing completion with the switch-off of the copper network in Spain, positioning the company as the first EU operator to achieve this [30] - The company is actively pursuing partnerships and negotiations to enhance its wholesale revenue, including a new long-term mobile network agreement with DiGi [37][49] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the financial outlook for the full year 2024, supported by ongoing growth and efficiency efforts [30][41] - The company anticipates that free cash flow will ramp up through the remainder of 2024, aligning with prior years and supporting dividend coverage [66][77] - Management highlighted the importance of adapting to market conditions and maintaining a competitive edge through strategic partnerships and operational efficiencies [110] Other Important Information - The company successfully concluded the delisting process for Telefónica Deutschland, achieving nearly 97% ownership to enable full operational integration [39] - The workforce restructuring program in Spain is expected to yield further cost savings starting from Q2 onwards, fueling higher EBITDA growth [40] - The company maintains a robust balance sheet with a net financial debt of €28.5 billion and a net debt-to-OIBDA ratio of 2.71 times [67] Q&A Session Summary Question: What are the drivers for the performance in Spain and the outlook for retail B2C ARPU? - Management noted that the conversion ARPU in Spain reached €92.2, with a year-on-year decline of 0.5% mainly due to higher penetration in the customer base [8][9] Question: Is there any recent pressure on the fiber wholesale opportunity in the UK? - Management confirmed ongoing negotiations with potential wholesale partners, including Sky, Vodafone, and TalkTalk, with advanced discussions with one party [12] Question: What are the key drivers of expanding lease costs in Spain? - Management explained that lease costs are affected by volume additions, inflation, and higher rates, but expect normalization in trends moving forward [88][90] Question: What is the outlook for VMO2 fixed broadband net adds? - Management indicated that the market is smaller compared to last year, but they are confident in the fixed P&L due to improved ARPU and customer retention strategies [96][98] Question: Can you provide details on the Digi agreement? - Management stated that the Digi agreement is a long-term collaboration that includes sharing components beyond traditional roaming agreements, expected to provide stable revenue flow [107][108]

Table of Contents As filed with the Securities and Exchange Commission on February 23, 2024 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ____________________________________ FORM 20-F (Mark One) o REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF T ...