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Nippon Telegraph And Telephone (NLV) AI Stock Analysis

DE:NLV

Nippon Telegraph And Telephone

(Frankfurt:NLV)

Rating:―N/A
Action:N/A
Date:―

No summary available

Positive Factors
Resilient ProfitabilityStable profitability despite modest revenue growth indicates that NTT retains meaningful earnings power across its telecommunications and ICT businesses. Resilient margins can support continued investment in networks and digital services while providing an operating buffer through normal changes in demand and mix.
Negative Factors
Negative Free Cash FlowThe shift to materially negative free cash flow is a significant constraint on financial flexibility. Although operating cash flow remains positive, weaker conversion from earnings means NTT has less internally generated cash available for debt reduction, shareholder returns, or investment without additional funding.

Nippon Telegraph And Telephone (NLV) vs. iShares MSCI Germany ETF (EWG)

-15%-10%-5%0%5%10%15%20%DE:NLV+12.34%EWG+4.43%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
EUR 89.40B
Dividend Yield
3.03%
Average Volume (3M)
41
Price to Earnings (P/E)
13.5
Beta (1Y)
0.09
Revenue Growth
-2.89%
EPS Growth
-1.29%
Country
Germany
Employees
344,196
Sector
Communication Services
Sector Strength
60
Industry
Telecommunications Services

Nippon Telegraph And Telephone Business Overview & Revenue Model

Company Description

NTT, Inc. stands as a leading telecommunications enterprise, serving customers both within Japan and across global territories. The company's multifaceted operations are categorized into four primary divisions: the Integrated ICT Business, the Region...

Nippon Telegraph And Telephone Earnings Call Summary

Earnings Call Date:Nov 03, 2026(Q2-2026)|Next Earnings Date:Nov 03, 2026
Earnings Call SentimentNeutral

The call contained several positive developments, including strong NTT DATA orders, plans to accelerate higher-return data center investment, progress toward the JPY 4 trillion EBITDA target, on-track NTT EAST and WEST reforms, October DOCOMO MNP recovery, and continued dividend growth. However, these positives were balanced by intense and uncertain DOCOMO competition, declining sales promotion efficiency, ongoing network-quality spending needs, tight cash flow following acquisitions, lower-than-planned data center transfer gains, and mixed overseas performance. Overall sentiment was balanced and cautiously constructive.

Positive Updates

DOCOMO MNP Trend Turned Net Positive in October
Management confirmed that DOCOMO's mobile number portability trend was net positive in October after a temporary second-quarter setback.

Negative Updates

DOCOMO Competitive Environment Remains Uncertain and Intense
Management said it does not yet have clear visibility into DOCOMO's competitive environment, that competitors are responding seriously, and that NTT cannot afford to lose the competition. The company is closely monitoring the third-quarter competitive arena.

Company Guidance

Management said it would like to achieve its targets while closely watching the third quarter competitive arena, with DOCOMO’s competitive measures and costs dependent on the environment; NTT DATA’s data center amount is JPY 26 billion less than originally assumed, but management hopes strong domestic and overseas orders will absorb this negativity. Cash flow is expected to be at the bottom and a tight situation this fiscal year, with a tight cash flow situation this fiscal year and next fiscal year for a little bit, while the company targets EBITDA of JPY 4 trillion, intends to solidly maintain the share buyback and dividend level and continue to increase the dividend, and would like to maintain its current credit rating of A-. NTT DATA investment is to be accelerated globally in a way that is well balanced, focusing on areas where the return is higher, with NTT DATA’s medium-term plan and the consolidated business plan to be revisited and announced in spring next year; DOCOMO is to increase the construction process by threefold in the second half, continue that into next fiscal year, and complete replacement of old 5G base stations through this fiscal year and next fiscal year, while NTT EAST and WEST projections and efficiency initiatives are on track.

Nippon Telegraph And Telephone Risk Analysis

Nippon Telegraph And Telephone disclosed 17 risk factors in its most recent earnings report. Nippon Telegraph And Telephone reported the most risks in the "Tech & Innovation" category.

Higher RiskSector Avg.Lower RiskFinance & CorporateTech & InnovationLegal & RegulatoryProductionAbility to SellMacro & Political
Tech & Innovation - Risks related to the company’s reliance on technology and ability to make innovative products

Latest Risks Added

0 New Risks

Nippon Telegraph And Telephone Peers Comparison

Overall Rating

UnderperformOutperform
Sector (60)

Financial Indicators

DE:NLV against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
CHTCHT80Outperform$38.05B35.958.91%3.29%-10.33%-10.39%
VZVZ67Neutral$185.39B11.4115.73%6.29%1.38%-16.44%
CMCSACMCSA63Neutral$82.45B7.3512.32%5.68%-0.25%-47.58%
TT63Neutral$144.23B11.5711.95%5.18%3.51%-39.83%
VODVOD63Neutral$36.97B-72.26-0.79%3.38%16.69%87.12%
Sector *60Neutral$48.67B4.58-11.27%4.14%2.83%-41.78%

* Communication Services Sector Average

Performance Comparison

0%20%40%60%DE:NLVTCHTCMCSAVZVODDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
DE:NLV and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
DE:NLVNippon Telegraph24.402.4811.33%
TAt&t Inc21.41-2.00-8.56%
CHTChunghwa Telecom48.997.6918.61%
CMCSAComcast Corp23.22-0.77-3.21%
VZVerizon Communications44.737.7220.87%
VODVodafone Group Plc15.884.9344.98%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.