Telefónica Deutschland Holding (TELDF) Fair Value & Analysis

Communication Services · US · Market cap $6.9B

Below-average quality, and screening another 37% overvalued on our models.

What matters now

• The price sits above even our optimistic bull case ($1.76). The favourable scenario is already priced in.
• Solid but not exceptional quality (47/100) and above fair value, neither a clear bargain nor a standout compounder.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 21, 2026.

How to read this chart

60‑month range $1.21 – $2.91 · fair‑value band $1.06 – $1.76 · the $2.26 price screens above the $1.42 fair value. Dashed = 300-day average. As of Jul 21, 2026.

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Analysis

Telefónica Deutschland Holding (TELDF) currently trades at $2.26, while our model-based Fair Value estimate is $1.42, implying the stock looks roughly 37.3% overvalued today. The Quality Score stands at 47/100 (below-average quality), in the Communication Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Telefónica Deutschland Holding generated revenue of $8.4B at a net margin of 2.0%. Revenue grew 4.8% year over year. It earns a return on equity of 3.1%. Net debt stands at $6.2B. Fundamentals as of Jul 21, 2026

Our scenario range runs from $1.06 (bear case) to $1.76 (bull case); at $2.26, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 18% below its 52-week high and 20% above its 52-week low, currently below its 200-day average. For context, the median of 10 Communication Services peers we cover trades at 32% fair-value upside, at -37%, TELDF screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Widest divergence: DCF Models ($2.69) versus Earnings-Based ($0.6800). Highest evidence: Growth DCF (80).

Key figures & financial health

Quality Score breakdown

About the company

Telefónica Deutschland Holding AG, together with its subsidiaries, provides integrated telecommunication services to private and business customers in Germany.

Full company description

Telefónica Deutschland Holding AG, together with its subsidiaries, provides integrated telecommunication services to private and business customers in Germany. It offers fiber-to-the-home lines; broadband services, consisting of very high data rate digital subscriber line, cable, fiber, and fixed mobile substitution services; and machine to machine communication services. The company also provides digital services in the fields of Internet of Things, as well as O2 Tv, O2 online protection, and O2 cloud. In addition, it provides access to infrastructure and services for its wholesale partners. Further, 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, and Telefonica 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 was founded in 1995 and is based in Munich, Germany. Telefónica Deutschland Holding AG is a subsidiary of Telefonica Germany Holdings Limited.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Telefónica Deutschland Holding reported revenue of $8.2B in FY2025 versus $7.9B in FY2021, a compound +0.8%/yr. Reported net income was $167M in FY2025, compounding −5.7%/yr from FY2021.

TELDF screens 37% overvalued. Compare with China Mobile Limited →

Peer Group

Telecom Services · 252 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Telecom Services median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.