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Tele2 AB (TEL2-B) Fair Value & Analysis

Communication Services · SE · Market cap 119B SEK

TA Tele2 AB TEL2-B · ST
Pricekr 163.85
Fair Valuekr 114.04
Upside-30.4%
Quality69/100
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Healthy Growth
Highly profitable · 33.7% net margin
Moderate debt · generates free cash flow
6.26% dividend yield
Mixed vs. peers (8/15)
Wide moat 78/100
Evidence: High Range kr 83.23 – kr 151.26 Share as image

Fair value as of: Aug 13, 2026

From 22 valuation models · updated yesterday

Share price −4.4% over the past month.

A solid business, but screening 30% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (kr 151.26). The favourable scenario is already priced in.
  • Solid but not exceptional quality (69/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (kr 83.23 to kr 151.26) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

kr 192.10 kr 63.24 Fair Value kr 114.04 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range kr 63.24 – kr 192.10 · fair‑value band kr 83.23 – kr 151.26 · the kr 163.85 price screens above the kr 114.04 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Tele2 AB (TEL2-B) currently trades at kr 163.85, while our model-based Fair Value estimate is kr 114.04, implying the stock looks roughly 30.4% overvalued today. The Quality Score stands at 69/100 (solid quality), in the Communication Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Tele2 AB generated revenue of 30.0B SEK at a net margin of 33.7%. Revenue grew 1.3% year over year. It earns a return on equity of 39.1%. Net debt stands at 28.9B SEK. Fundamentals as of Aug 13, 2026

Our scenario range runs from kr 83.23 (bear case) to kr 151.26 (bull case); at kr 163.85, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. Analysts expect earnings well below the last reported figure (earnings in transition, for example expiring patents or contracts); a fair value that looks fair on trailing earnings may then be too optimistic. The share trades about 15% below its 52-week high and 27% above its 52-week low, currently below its 200-day average. For context, the median of 10 Communication Services peers we cover trades at 30% fair-value upside, at -30%, TEL2-B screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF kr 87.69 kr 125.87 kr 196.51 80
Residual Income kr 43.77 kr 58.02 kr 236.41 76
Rev-Margin DCF kr 64.07 kr 104.23 kr 155.67 74
All 22 models by family
DCF Models
FCF DCF kr 83.16 kr 122.08 kr 200.88 38
Owner Earnings kr 74.83 kr 110.86 kr 183.80 31
5Y Revenue Exit kr 64.07 kr 101.69 kr 158.55 39
5Y EBITDA Exit kr 103.93 kr 169.27 kr 258.97 41
5Y P/E Exit kr 72.86 kr 116.59 kr 171.01 38
10Y Revenue Exit kr 68.11 kr 101.89 kr 139.75 36
10Y EBITDA Exit kr 94.96 kr 146.39 kr 204.51 37
10Y P/E Exit kr 75.90 kr 111.71 kr 147.78 35
Earnings-Based
Graham-Dodd kr 45.61 kr 74.12 kr 89.58 54
EPV kr 48.00 kr 60.80 kr 72.00 59
Multiples
P/E Multiple kr 110.68 kr 147.58 kr 184.47 63
P/S Multiple kr 85.53 kr 114.04 kr 142.55 58
P/B Multiple kr 85.48 kr 113.97 kr 142.46 55
EV/EBIT kr 87.26 kr 125.95 kr 164.65 53
EV/EBITDA kr 139.69 kr 195.87 kr 252.04 54
EV/Revenue kr 59.20 kr 96.93 kr 134.66 43
Asset-Based
NCAV (Graham) kr 16.28 kr 21.82 kr 32.56 50
Growth DCF
Growth DCF kr 87.69 kr 125.87 kr 196.51 80
Rev-Margin DCF kr 64.07 kr 104.23 kr 155.67 74
Economic Profit
Residual Income kr 43.77 kr 58.02 kr 236.41 76
ROIC Compounder kr 48.75 kr 63.78 kr 80.74 72
Growth Earnings
Growth-Adj P/E kr 78.02 kr 111.46 kr 144.90 68

Widest divergence: Multiples (kr 114.04) versus Asset-Based (kr 21.82). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 30.0B SEK
Revenue growth (YoY) +1.3%
Net margin 33.7%
Return on equity 39.1%
Free cash flow 7.6B SEK FY2025
P/E ratio 11.2
More key figures
Operating margin 25.0%
EPS (TTM) kr 14.47
Dividend yield 6.3%
EPS growth (YoY) +627%
Net debt 28.9B SEK FY2025

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 69/100

Of which business quality 64 · Market factors (momentum, volatility) 58

Profitability 52
Margins and returns on capital today
Quality Growth 55
Are margins and returns improving?
Cashflow 88
Earnings quality: real cash, not paper profit
Fin. Strength 40
Balance sheet, leverage, solvency risk
Investment 81
Disciplined investing over empire-building
Low Volatility 94
Calm price path (market factor)
Momentum 39
Price trend over the last 3–12 months (market factor)
52W Momentum 50
Distance to the 52-week high (market factor)
Net Issuance 81
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Tele2 AB (publ) provides fixed and mobile connectivity and entertainment services in Sweden, Lithuania, Latvia, and Estonia.

Full company description

Tele2 AB (publ) provides fixed and mobile connectivity and entertainment services in Sweden, Lithuania, Latvia, and Estonia. The company offers handset related data services, linear and streaming services, mobile telephony and data, fixed broadband and telephony, switch and contact center, cloud services, IT services, network services, workplace, video and collaboration, united communications, and security services. It also provides data network services, including dark fiber, dedicated wavelength, ethernet and IP VPN, and internet services; and unified communications comprising service provider, mobile virtual network operator, and carrier SIP-interconnect services. In addition, the company offers single and dual IMSI solutions for consumer and IoT applications; on-demand roaming services, such as subscription management, data plan management, real time charging, eSIM delivery, SIM management, and set up services; routing and termination solutions for international voice traffic; application-2-person messaging services; and value-added services comprising shortcodes and long numbers for businesses to have 2-way communication with their customers. Tele2 AB (publ) was formerly known as NetCom AB and changed its name to Tele2 AB (publ) in February 2001. The company was incorporated in 1990 and is headquartered in Kista, Sweden.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Tele2 AB reported revenue of kr 29.9B in FY2025 versus kr 26.8B in FY2021, a compound +2.8%/yr. Reported net income was kr 4.6B in FY2025, compounding +1.6%/yr from FY2021.

Growth Quality 73/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
29.9B SEK
Latest YoY
+1.0%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+2.1%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+2.4%
Avg. growth/yr (28Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+7.4%
Revenue +2.8%/yr
FY21 kr 26.8B
FY22 kr 28.1B
FY23 kr 29.1B
FY24 kr 29.6B
FY25 kr 29.9B
Net income +1.6%/yr
FY21 kr 4.3B
FY22 kr 5.6B
FY23 kr 3.7B
FY24 kr 3.9B
FY25 kr 4.6B
Character of growth · EPS growth decomposed (2014-2025) +0.6 % p.a.
Revenue per share −2.9 pp

of which total revenue +1.2 pp · buybacks/dilution −4.1 pp

EBIT margin +6.4 pp
Tax rate +0.6 pp
Residual (interest, one-offs) −3.5 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

TEL2-B screens 30% overvalued. Compare with China Mobile Limited →

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Cite: Fair Value Calculator (2026). "Tele2 AB Fair Value". https://www.fairvalue-calculator.com/stock/TEL2-B

Earlier news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Telecom Services · 253 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 69 · Top 25%
Fair Value upside −30% · Below median
Return on equity (TTM) 39% · Top 25%
Return on assets 7% · Top 25%
Net margin (TTM) 34% · Top 25%
Operating margin (TTM) 25% · Top 25%
Revenue growth 1% · Below median
Dividend yield (TTM) 6.3% · Top 25%
Debt / equity 0.90× · Higher than 75% of peers

Valuation Multiples vs Telecom Services median · lower = cheaper

P/E (TTM) 11.2× · Cheaper than median
P/B 5.33× · Pricier than 75% of peers
P/S (TTM) 3.96× · Pricier than 75% of peers
P/FCF 1.6× · Cheaper than median
EV/EBITDA 11.5× · Pricier than 75% of peers
PEG 3.72× · Pricier than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 27
FUTURE 7 · sector 15
PAST 100 · sector 27
HEALTH 55 · sector 89
DIVIDEND 100 · sector 71

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Telecom Services stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
China Mobile Limited 600941 ¥96.11 ¥109.88 +14%
Bharti Airtel Limited BHARTIARTL ₹1,945 ₹941.55 -52%
China Telecom Corporation 601728 ¥6.43 ¥8.36 +30%
América Móvil, S.A. AMXB 23.07 MXN 30.35 MXN +32%
Vodafone Group VODN 259.50 MXN 494.99 MXN +91%
Advanced Info Service Public Company ADVANC 374.00 THB 286.77 THB -23%
Chunghwa Telecom Co 2412 136.00 TWD 100.00 TWD -26%
Telefónica, S.A TEFN 75.67 MXN 108.96 MXN +44%
TLKM TLKM 2,590 IDR 3,898 IDR +50%
PT Indoritel Makmur Internasional Tbk., DNET 9,500 IDR 1,503 IDR -84%

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Frequently asked questions

Is Tele2 AB (TEL2-B) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of kr 114.04 versus a price of kr 163.85, about −30% (overvalued).
What is the fair value of TEL2-B?
Our model-based fair value for Tele2 AB is kr 114.04 (as of Aug 13, 2026), built from audited fundamentals. The current price is kr 163.85.
What is the quality score of TEL2-B?
Tele2 AB has a Quality Score of 69/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Tele2 AB (TEL2-B)?
Tele2 AB reported trailing-twelve-month revenue of about 30.0B SEK (latest available figure, as of Aug 13, 2026).
What is the net profit margin of TEL2-B?
The net profit margin of Tele2 AB is about 33.7%, meaning it keeps roughly 33.7% of revenue as net income. Based on the latest reported figures.
Does Tele2 AB pay a dividend?
Tele2 AB currently shows a dividend yield of about 6.04% relative to its recent price (as of Aug 13, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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