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Telecom Argentina Stet - France Telecom S.A. (TEO)
NYSE:TEO
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Telecom Argentina (TEO) AI Stock Analysis

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TEO

Telecom Argentina

(NYSE:TEO)

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Outperform 71 (OpenAI - 5.2)
Rating:71Outperform
Price Target:
$15.50
â–˛(29.82% Upside)
Action:Reiterated
Date:05/28/26
The score is driven primarily by very strong valuation (low P/E and very high dividend yield), supported by positive technical momentum (price above key moving averages and positive MACD). This is moderated by financial performance that is improving but still somewhat volatile, with modest ROE, moderate leverage, and uneven cash conversion.
Positive Factors
Diversified service mix
Telecom Argentina’s multi-product footprint — mobile, fixed broadband, pay TV and enterprise services — creates recurring, subscription-based revenue diversity. This structural mix supports cross-sell, bundling and retention, reducing reliance on any single segment and stabilizing cashflows over mid-term cycles.
Negative Factors
Consumer litigation exposure
A long‑running consumer suit resulting in reimbursements and a punitive fine highlights legal and compliance risk. Ongoing litigation can create recurring remediation costs, administrative burden and reputational damage that persistently raise operating risks and customer/ regulator scrutiny.
Read all positive and negative factors
Positive Factors
Negative Factors
Diversified service mix
Telecom Argentina’s multi-product footprint — mobile, fixed broadband, pay TV and enterprise services — creates recurring, subscription-based revenue diversity. This structural mix supports cross-sell, bundling and retention, reducing reliance on any single segment and stabilizing cashflows over mid-term cycles.
Read all positive factors

Telecom Argentina (TEO) vs. SPDR S&P 500 ETF (SPY)

Telecom Argentina Business Overview & Revenue Model

Company Description
Telecom Argentina S.A., operating through its subsidiaries, delivers a comprehensive array of telecommunications services both within Argentina and across international borders. Its offerings span traditional fixed-line telephony, encompassing loc...
How the Company Makes Money
Telecom Argentina primarily makes money by selling recurring connectivity and communications services on subscription/contract bases across multiple lines of business. (1) Mobile services: A major revenue stream comes from monthly and usage-based ...

Telecom Argentina Financial Statement Overview

Summary
Financials show improvement but remain somewhat volatile: TTM revenue is up ~12% with strong gross margin (~61%) and healthy EBITDA margin (~34%), and profitability has returned (~4% net margin). Offsetting this are recent loss-making results in 2025, modest shareholder returns (TTM ROE ~5%), moderate leverage (debt ~0.73x equity), and inconsistent cash conversion/coverage despite positive free cash flow.
Income Statement
62
Positive
Balance Sheet
58
Neutral
Cash Flow
66
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue9.04T8.33T4.14T2.06T4.94T2.58T
Gross Profit6.85T6.28T3.03T1.51T3.65T1.89T
EBITDA3.30T2.34T2.91T175.33B238.59B1.18T
Net Income377.26B-170.01B1.01T-257.73B-1.41T8.66B
Balance Sheet
Total Assets18.28T16.62T10.94T11.93T5.38T2.10T
Cash, Cash Equivalents and Short-Term Investments1.07T791.81B351.90B617.89B150.80B59.67B
Total Debt5.89T4.31T3.09T4.83T1.55T556.43B
Total Liabilities10.06T9.64T5.41T7.04T2.85T1.03T
Stockholders Equity8.09T6.86T5.43T4.72T2.48T1.05T
Cash Flow
Free Cash Flow535.92B601.69B417.29B770.36B285.09B327.01B
Operating Cash Flow1.75T2.18T811.50B1.35T666.49B788.80B
Investing Cash Flow-1.57T-3.51T-383.42B-1.24T-1.12T-698.31B
Financing Cash Flow93.28B1.31T-405.62B-209.40B-310.58B-123.12B

Telecom Argentina Technical Analysis

Technical Analysis Sentiment
Positive
Last Price11.94
Price Trends
50DMA
12.10
Positive
100DMA
11.92
Positive
200DMA
10.86
Positive
Market Momentum
MACD
0.49
Negative
RSI
55.78
Neutral
STOCH
42.31
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TEO, the sentiment is Positive. The current price of 11.94 is below the 20-day moving average (MA) of 12.67, below the 50-day MA of 12.10, and above the 200-day MA of 10.86, indicating a bullish trend. The MACD of 0.49 indicates Negative momentum. The RSI at 55.78 is Neutral, neither overbought nor oversold. The STOCH value of 42.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TEO.

Telecom Argentina Risk Analysis

Telecom Argentina disclosed 48 risk factors in its most recent earnings report. Telecom Argentina reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Telecom Argentina Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
$5.93B22.785.46%0.40%61.86%-115.00%
64
Neutral
$15.08B17.0512.76%6.14%-4.78%-32.55%
64
Neutral
$4.00B8.0624.22%7.78%0.82%-9.44%
63
Neutral
$3.56B6.7238.73%―12.63%19.58%
60
Neutral
$48.67B4.58-11.27%4.14%2.83%-41.78%
59
Neutral
$4.98B12.427.27%5.57%18.57%5.36%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TEO
Telecom Argentina
13.24
4.03
43.73%
TLK
PT Telekomunikasi Indonesia Tbk
15.54
-1.04
-6.27%
PHI
PLDT
18.12
-3.11
-14.65%
TKC
Turkcell Iletisim
5.77
-0.48
-7.71%
VEON
VEON
51.40
3.06
6.33%

Telecom Argentina Corporate Events

Telecom Argentina Updates Q1 2026 Financials and Corporate Structure in New SEC Filing
May 12, 2026
Telecom Argentina has filed its Form 6-K for May 2026, presenting unaudited condensed consolidated financial statements and an operating and financial review as of March 31, 2026. The filing details the group’s financial position, including ...
Telecom Argentina to Appeal Court Order on Consumer Reimbursements and AR$5 Million Fine
May 11, 2026
On May 8, 2026, Telecom Argentina reported that a National Court of First Instance on Commercial Matters in Buenos Aires ruled against the company in a long-running consumer suit brought by Asociación Protección Consumidores del Mercado ...
Telecom Argentina Posts Strong 1Q26 Profit on FX Gains and Higher Capex
May 11, 2026
Telecom Argentina reported first-quarter 2026 results on May 11, 2026, with consolidated revenues of P$2.36 trillion and service revenues of P$2.28 trillion, reflecting 33.6% year-on-year growth in constant currency driven largely by the full-quar...
Telecom Argentina Faces Extended Antitrust Review Period in Argentina
Apr 30, 2026
On April 30, 2026, Telecom Argentina disclosed that the Argentine Antitrust Tribunal extended by 30 days the original 45‑day review period established under section 14 of Law 27,442 for an antitrust notification proceeding that began countin...
Telecom Argentina Shareholders Approve Loss Absorption, Dividend Capacity and New Oversight Lineup
Apr 29, 2026
On April 29, 2026, Telecom Argentina held its ordinary, extraordinary and special shareholders’ meetings in Buenos Aires, approving the 2025 financial statements and other regulatory documentation despite reporting an inflation-adjusted reta...
Telecom Argentina Moves to Absorb Wholly Owned Subsidiary TSMA in Internal Merger
Apr 15, 2026
Telecom Argentina disclosed that on March 10, 2026 it signed a preliminary merger agreement to absorb its wholly owned subsidiary Teledifusora San Miguel Arcangel S.A. (TSMA), with Telecom designated as the surviving entity. The reorganization is ...
Telecom Argentina Calls April 29, 2026 Shareholders’ Meeting to Address 2025 Results, Loss Absorption and Corporate Reorganization
Mar 12, 2026
Telecom Argentina’s board met on March 10, 2026, in Buenos Aires and resolved to convene an in-person Ordinary and Extraordinary General Shareholders’ Meeting, as well as special meetings for Class “A” and Class “D&#8...
Telecom Argentina Calls April 29, 2026 Shareholders’ Meetings to Review 2025 Results
Mar 10, 2026
On March 10, 2026, Telecom Argentina’s board resolved to convene an Ordinary and Extraordinary General Shareholders’ Meeting, along with special meetings for Class “A” and Class “D” shareholders, to be held in p...
Telecom Argentina Board Backs Merger of Teledifusora San Miguel Arcangel Unit
Mar 10, 2026
On March 10, 2026, Telecom Argentina’s board approved a corporate reorganization under which the company will merge its controlled subsidiary Teledifusora San Miguel Arcangel S.A., with Telecom Argentina as the absorbing and continuing entit...
Telecom Argentina Swings to 2025 Net Loss as TMA Integration Boosts Revenue and Capex
Mar 10, 2026
Telecom Argentina reported its consolidated results for fiscal year 2025 on March 10, 2026, showing service revenues of P$7.9 trillion within total revenues of P$8.3 trillion, with Telecom’s core business (excluding TMA) growing 4.2% in real...
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.Date of analysis: May 28, 2026