Intrinsiqq
Telefônica Brasil S.A. ADR logoTelefônica Brasil S.A. ADRVIV
$12.51+2.04%
Telefônica Brasil S.A. ADR logo

Telefônica Brasil S.A. ADR

VIV

$12.51

+$0.25 (+2.04%)

⊜ Compare
ProfitabilitySolid marginsGrowthAcceleratingCash FlowStrong conversionValuationFairly valued
What stands out

16.61% operating margin is respectable but not wide. ROIC at 15.73%. Suggests the business covers its cost of capital, but doesn't point to a wide moat.

What's changing

Revenue grew 449.5%, still solid.

What deserves caution

Even for strong businesses, today's 15x P/E means the stock needs to keep delivering. There's no margin of safety if growth disappoints.

Valuation context

15.4x earnings, 9.5x FCF. Valuation is in a reasonable range. The main question is whether the business can re-accelerate or if current trajectory is already priced in.

Price History

+4.8%

Valuation & Multiples

Based on TTM earnings · Diluted shares

Market CapBRL 102.06B
EPSBRL 4.12
P/E15.44
P/FCF9.50
EV/EBITDA4.44
FCF Yield10.5%
Div. Yield0.39%
Net Debt/FCF1.2x
52-Week Range
$11.23$17.14

Profitability & Returns

Revenue (TTM)

BRL 61.77B

▲ +449.5% YoY

Net Income (TTM)

BRL 6.61B

▲ +472.4% YoY

Op. Margin

17.07%

▲ +1.3pp YoY

ROIC

15.73%

▲ +13.2pp YoY

Cash Flow & Balance Sheet

FCF (TTM)

BRL 10.74B

▲ +449.4% YoY

Op. Cash Flow (TTM)

BRL 20.21B

▲ +371.8% YoY

Net Debt

BRL 13.22B

Cash & Equiv.

BRL 7.13B

3Y CAGR: +7.4%

3Y CAGR: +7.6%

Continue Research

Is Telefônica Brasil S.A. ADR (VIV) overvalued?

At a P/E of 15.4 and a price-to-free-cash-flow of 9.5, Telefônica Brasil S.A. ADR (VIV) trades below a two-stage DCF intrinsic value of about BRL 123.50 per share, so at BRL 12.51 the stock looks undervalued (887.2% below estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.

On quality, Telefônica Brasil S.A. ADR scores 78/100 on Intrinsiqq's quality scorecard (a solid business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. It currently yields about 0.4%; see dividend safety for coverage and history. All figures are computed from company filings; read the full methodology, or see how the market compares in our US profitability statistics. This is analysis, not investment advice.

Frequently asked

What is Telefônica Brasil S.A. ADR's fair value?+

Intrinsiqq's two-stage DCF estimates an intrinsic value of about BRL 123.50 per share for VIV, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around BRL 92.62. At today's BRL 12.51, that puts the stock about 887.2% below estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.

Is Telefônica Brasil S.A. ADR a high-quality business?+

Telefônica Brasil S.A. ADR scores 78 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a solid business on these measures. Recent fundamentals include a 17.1% operating margin and a 15.7% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from company filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.

Does Telefônica Brasil S.A. ADR (VIV) pay a dividend, and how much?+

Yes, Telefônica Brasil S.A. ADR pays a regular dividend of about BRL 0.25 per share per year (typically in quarterly installments), a yield of roughly 0.4% at the current price. That is a payout ratio of about 6.0% of earnings, so the dividend is amply covered by earnings. A low headline yield is not the same as a weak dividend: what matters is how well earnings and free cash flow cover the payout and whether it is growing, not the percentage alone. For VIV's full payout history, growth streak and dividend-safety score, see the dividends tab.

Is Telefônica Brasil S.A. ADR a good stock to buy right now?+

That depends on valuation and quality together, not either alone. VIV currently trades below its estimated intrinsic value and scores 78/100 on quality (solid). It also yields about 0.4%. A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from company filings, not investment advice.

Related stocks: Telecom Services

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Data sourced from company filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.

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