Telefonica (NYSE:TEF) Sets New 1-Year Low – Here’s Why

Telefonica SA (NYSE:TEF) shares hit a new 52-week low during mid-day trading on Tuesday . The stock traded as low as $3.88 and last traded at $3.8750, with a volume of 512326 shares traded. The stock had previously closed at $3.93.

Analysts Set New Price Targets

Several research firms have weighed in on TEF. Bank of America reissued an “underperform” rating and issued a $3.83 price target on shares of Telefonica in a research note on Thursday, December 4th. BNP Paribas Exane initiated coverage on Telefonica in a report on Tuesday, October 21st. They issued an “underperform” rating and a $4.20 price objective on the stock. New Street Research cut Telefonica from a “hold” rating to a “reduce” rating in a report on Wednesday, December 17th. Wall Street Zen upgraded Telefonica from a “sell” rating to a “hold” rating in a report on Monday, November 24th. Finally, Citigroup cut Telefonica to a “neutral” rating in a research note on Monday, December 1st. Four investment analysts have rated the stock with a Hold rating and six have issued a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Strong Sell” and an average price target of $4.02.

Telefonica Stock Down 2.2%

The company has a quick ratio of 0.80, a current ratio of 0.84 and a debt-to-equity ratio of 1.44. The company’s fifty day moving average price is $4.12 and its 200-day moving average price is $4.86. The stock has a market capitalization of $21.80 billion, a PE ratio of -9.38, a price-to-earnings-growth ratio of 0.27 and a beta of 0.29.

Telefonica (NYSE:TEF) last posted its quarterly earnings results on Tuesday, November 4th. The utilities provider reported $0.11 earnings per share for the quarter, topping the consensus estimate of $0.09 by $0.02. Telefonica had a positive return on equity of 8.54% and a negative net margin of 5.23%.The company had revenue of $10.51 billion for the quarter, compared to the consensus estimate of $9 billion. Analysts forecast that Telefonica SA will post 0.3 earnings per share for the current year.

Telefonica Dividend Announcement

The company also recently declared a dividend, which was paid on Friday, January 9th. Investors of record on Wednesday, December 17th were paid a $0.1731 dividend. The ex-dividend date was Wednesday, December 17th. This represents a yield of 856.0%. Telefonica’s payout ratio is presently -63.41%.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of TEF. WCG Wealth Advisors LLC lifted its position in Telefonica by 5.9% in the 2nd quarter. WCG Wealth Advisors LLC now owns 47,394 shares of the utilities provider’s stock valued at $248,000 after acquiring an additional 2,634 shares in the last quarter. Choreo LLC raised its stake in shares of Telefonica by 10.0% in the second quarter. Choreo LLC now owns 31,287 shares of the utilities provider’s stock worth $169,000 after purchasing an additional 2,834 shares during the last quarter. Compound Planning Inc. lifted its holdings in shares of Telefonica by 6.1% during the third quarter. Compound Planning Inc. now owns 50,953 shares of the utilities provider’s stock valued at $259,000 after purchasing an additional 2,916 shares in the last quarter. Truist Financial Corp boosted its position in shares of Telefonica by 26.1% during the second quarter. Truist Financial Corp now owns 14,945 shares of the utilities provider’s stock valued at $78,000 after buying an additional 3,094 shares during the last quarter. Finally, Smartleaf Asset Management LLC increased its holdings in Telefonica by 12.1% in the 3rd quarter. Smartleaf Asset Management LLC now owns 29,822 shares of the utilities provider’s stock worth $150,000 after buying an additional 3,222 shares in the last quarter. 1.14% of the stock is owned by hedge funds and other institutional investors.

Telefonica Company Profile

Telefónica, SA is a Spanish multinational telecommunications company headquartered in Madrid. Founded in 1924 as Compañía Telefónica Nacional de España, it has grown into one of the world’s largest telecommunications groups. Telefónica provides a broad range of communications services to residential and business customers, including mobile and fixed-line telephony, broadband internet, and pay-TV. The company also develops and sells network infrastructure and related services to support connectivity at scale.

Beyond traditional voice and data services, Telefónica has expanded into digital and IT services aimed at enterprise customers and public-sector clients.