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EV/FCFF

17.2
Current
18%
More Expensive
vs 3-y average of 14.6

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
17.2
=
Enterprise Value
$305B
/
Free Cash Flow to Firm
$17.4B

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
17.2
=
Enterprise Value
$305B
/
Free Cash Flow to Firm
$17.4B

Valuation Scenarios

AT&T Inc is trading above its 3-year average

If EV/FCFF returns to its 3-Year Average (14.6), the stock would be worth $21.8 (15% downside from current price).

Statistics
Positive Scenarios
1/4
Maximum Downside
-20%
Maximum Upside
+35%
Average Downside
5%
Scenario EV/FCFF Value Implied Price Upside/Downside
Current Multiple 17.2 $25.75
0%
3-Year Average 14.6 $21.8
-15%
5-Year Average 13.9 $20.72
-20%
Industry Average 13.8 $20.58
-20%
Country Average 23.2 $34.7
+35%

Forward EV/FCFF
Today’s price vs future free cash flow to firm

Not enough data available to calculate forward EV/FCFF

Peer Comparison

All Multiples
EV/FCFF
P/E
All Countries
Close
Market Cap EV/FCFF P/E
US
AT&T Inc
NYSE:T
181.5B USD 17.2 8.4
US
Verizon Communications Inc
NYSE:VZ
199.2B USD 16.1 11.4
DE
Deutsche Telekom AG
XETRA:DTE
132.2B EUR 11.5 13.8
CN
China Telecom Corp Ltd
SSE:601728
547.2B CNY 9.4 16.7
JP
Nippon Telegraph and Telephone Corp
TSE:9432
12.5T JPY -1 292.5 11.6
SG
Singapore Telecommunications Ltd
SGX:Z74
76B SGD 46.9 12.3
FR
Orange SA
PAR:ORA
46.6B EUR 20.9 86.7
SA
Saudi Telecom Company SJSC
SAU:7010
189.1B SAR 28.6 12.8
AU
Telstra Group Ltd
F:5KB
37B EUR 19.3 27.2
CH
Swisscom AG
SIX:SCMN
34B CHF 15.9 26.9
AU
Telstra Corporation Ltd
ASX:TLS
59.3B AUD 18.7 26.2

Market Distribution

In line with most companies in the United States of America
Percentile
36th
Based on 8 393 companies
36th percentile
17.2
Low
0 — 15.4
Typical Range
15.4 — 35.1
High
35.1 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 15.4
Median 23.2
70th Percentile 35.1
Max 3 178 983.5

AT&T Inc
Glance View

AT&T Inc. stands as a giant rooted deeply in the landscape of American telecommunications with a journey that traces back to the invention of the telephone. Having evolved from the original Bell Telephone Company, AT&T has consistently transformed itself in response to the shifting tides of technological and consumer demands. Originally a traditional telephone company, AT&T has diversified its portfolio, now operating through several segments primarily focused on telecommunications, media, and technology services. The company serves millions of customers by providing wireless communication, broadband, and subscription television services under various brand names like AT&T, Cricket Wireless, and DirecTV. By continuously upgrading its infrastructure, AT&T has maintained its position as a key player in the provision of high-speed internet and wireless services, especially through its expansive 5G network rollout. The company’s revenue streams are largely fueled by its ability to bundle services, offering integrated packages that include mobile and internet services along with entertainment and digital advertising solutions. AT&T leverages its extensive network and significant media holdings, including the acquisition of Time Warner, to provide content and connectivity, capitalizing on the growing demand for online streaming and digital consumption. Through strategic partnerships and its vast subscriber base, AT&T has tapped into the explosive growth of digital media, thereby monetizing content distribution while creating lucrative advertising opportunities. This multifaceted approach not only maximizes revenue generation but also reinforces customer loyalty, ensuring a steady cash flow that supports its ambition to lead in broadband and wireless services. While navigating the challenges of industry deregulation and digital transformation, AT&T remains committed to innovation and adapting its business model to remain relevant in a rapidly evolving marketplace.

T Intrinsic Value
34.23 USD
Undervaluation 25%
Intrinsic Value
Price $25.75
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