AT&T Inc. (T) vs Vodafone Group PLC (VOD)

AT&T Inc. and Vodafone Group PLC are both Telecom Services companies. AT&T Inc. is the larger, with a market value of $174.2B against $38.2B — 4.6× the size. AT&T Inc. trades at the lower P/E: 8.4× against 33.8×. AT&T Inc. grew revenue faster over the last twelve months: 2.63% against −7.42%. AT&T Inc. has the higher net margin (16.8% vs 14.2%) and the higher return on invested capital (6.33% vs 0.00%). Both pay a dividend; Vodafone Group PLC yields more (10.9% vs 6.67%). Across the 19 metrics below, AT&T Inc. leads on 12 and Vodafone Group PLC on 7.

Valuation

Metric T VOD Telecom Services median
P/E 8.40 33.75 13.27
P/S 1.38 n/m 0.95
P/B 1.39 n/m 1.47
Price to free cash flow 9.99 n/m 8.72
EV/EBITDA 6.58 1.09 6.85
EV/Sales 2.38 0.45 1.87
Earnings yield 11.90% 2.96% 1.66%
Free cash flow yield 10.01% 0.00% 5.53%

Profitability

Metric T VOD Telecom Services median
Gross margin 59.72% 32.12% 51.26%
Operating margin 20.12% 0.00% 7.62%
Net margin 16.83% 14.24% 4.22%
Free cash flow margin 13.85% 0.00% 4.73%
Return on equity 17.28% 0.00% 5.80%
Return on assets 5.14% 0.00% 0.00%
Return on invested capital 6.33% 0.00% 3.41%

Growth

Metric T VOD Telecom Services median
Revenue growth (TTM) 2.63% (7.42%) 3.31%
EPS growth (last fiscal year) 104.03% 88.69% —
Revenue growth, 5-year CAGR (2.56%) (1.72%) 1.50%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric T VOD Telecom Services median
Debt to equity 1.14 0.97 0.63
Current ratio 0.97 1.14 1.13
Net debt to EBITDA 2.62 2.41 1.86

Dividend

Metric T VOD Telecom Services median
Dividend yield 6.67% 10.90% 4.06%
Payout ratio 0.56 0.21 0.00

Size

Metric T VOD Telecom Services median
Market cap 174.19b 38.16b 3.06b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack