TIM S.A. Sponsored ADR (TIMB) vs VEON Ltd. (VEON)

TIM S.A. Sponsored ADR and VEON Ltd. are both Telecom Services companies. TIM S.A. Sponsored ADR is the larger, with a market value of $8.5B against $5.3B — 1.6× the size. TIM S.A. Sponsored ADR trades at the lower P/E: 10.4× against 99.4×. VEON Ltd. grew revenue faster over the last twelve months: 14.7% against 14.3%. TIM S.A. Sponsored ADR has the higher net margin (15.7% vs 1.24%) and the lower return on invested capital (11.4% vs 12.7%). Across the 22 metrics below, TIM S.A. Sponsored ADR leads on 16 and VEON Ltd. on 6.

Valuation

Metric TIMB VEON Telecom Services median
P/E 10.40 99.45 13.99
P/S 1.61 1.21 0.88
P/B 1.69 2.99 1.27
Price to free cash flow 4.88 8.42 8.44
EV/EBITDA 3.95 4.72 6.79
EV/Sales 1.99 1.87 1.88
Earnings yield 9.62% 1.01% 1.96%
Free cash flow yield 20.47% 11.88% 5.99%

Profitability

Metric TIMB VEON Telecom Services median
Gross margin 54.53% 87.07% 48.78%
Operating margin 24.44% 21.75% 7.62%
Net margin 15.65% 1.24% 4.22%
Free cash flow margin 33.03% 14.35% 4.73%
Return on equity 17.28% 3.45% 4.38%
Return on assets 7.59% 0.63% 0.00%
Return on invested capital 11.44% 12.72% 3.41%

Growth

Metric TIMB VEON Telecom Services median
Revenue growth (TTM) 14.27% 14.71% 3.31%
EPS growth (last fiscal year) 31.40% 29.49% 0.62%
Revenue growth, 5-year CAGR 7.32% (9.61%) 2.53%
Net income growth, 5-year CAGR 16.84% 0.00% 0.00%

Health

Metric TIMB VEON Telecom Services median
Debt to equity 0.59 3.05 0.63
Current ratio 0.85 0.97 1.13
Net debt to EBITDA 0.63 1.30 1.86

Dividend

Metric TIMB VEON Telecom Services median
Dividend yield 4.74% — 2.83%
Payout ratio 0.50 — 0.43

Size

Metric TIMB VEON Telecom Services median
Market cap 8.45b 5.26b 2.65b

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