Telecomunicaes Brasileiras (Brazil) Buy Hold or Sell Recommendation

TELB3 Stock  BRL 13.98  0.18  1.30%   
Assuming the 90 days trading horizon and your highly speculative risk level, our recommendation regarding Telecomunicaes Brasileiras SA is 'Strong Sell'. Macroaxis provides Telecomunicaes Brasileiras buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding TELB3 positions. The advice algorithm takes into account all of Telecomunicaes Brasileiras' available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Telecomunicaes Brasileiras' buy or sell advice are summarized below:
Real Value
12.05
Hype Value
13.98
Market Value
13.98
Naive Value
13.37
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Telecomunicaes Brasileiras SA given historical horizon and risk tolerance towards Telecomunicaes Brasileiras. When Macroaxis issues a 'buy' or 'sell' recommendation for Telecomunicaes Brasileiras SA, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out Telecomunicaes Brasileiras Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
In addition, we conduct extensive research on individual companies such as Telecomunicaes and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Telecomunicaes Brasileiras SA. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in nation.

Execute Telecomunicaes Brasileiras Buy or Sell Advice

The Telecomunicaes recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Telecomunicaes Brasileiras SA. Macroaxis does not own or have any residual interests in Telecomunicaes Brasileiras SA or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Telecomunicaes Brasileiras' advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Telecomunicaes BrasileirasBuy Telecomunicaes Brasileiras
Strong Sell

Market Performance

Very WeakDetails

Volatility

Not too volatileDetails

Hype Condition

StaleDetails

Current Valuation

OvervaluedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Almost neglects market trendsDetails

Analyst Consensus

Not AvailableDetails

Reporting Quality (M-Score)

InapplicableDetails
For the selected time horizon Telecomunicaes Brasileiras SA has a Mean Deviation of 1.19, Standard Deviation of 1.62 and Variance of 2.63
Our advice tool can cross-verify current analyst consensus on Telecomunicaes Brasileiras and to analyze the firm potential to grow in the current economic cycle. To make sure Telecomunicaes Brasileiras is not overpriced, please validate all Telecomunicaes Brasileiras fundamentals, including its price to earning, price to sales, gross profit, as well as the relationship between the price to book and revenue .

Telecomunicaes Brasileiras Trading Alerts and Improvement Suggestions

Telecomunicaes Brasileiras generated a negative expected return over the last 90 days
Telecomunicaes Brasileiras has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations
The company reported the revenue of 285.65 M. Net Loss for the year was (126.82 M) with loss before overhead, payroll, taxes, and interest of (224.27 M).
About 98.0% of the company outstanding shares are owned by corporate insiders

Telecomunicaes Brasileiras Returns Distribution Density

The distribution of Telecomunicaes Brasileiras' historical returns is an attempt to chart the uncertainty of Telecomunicaes Brasileiras' future price movements. The chart of the probability distribution of Telecomunicaes Brasileiras daily returns describes the distribution of returns around its average expected value. We use Telecomunicaes Brasileiras SA price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Telecomunicaes Brasileiras returns is essential to provide solid investment advice for Telecomunicaes Brasileiras.
Mean Return
-0.18
Value At Risk
-3.39
Potential Upside
2.68
Standard Deviation
1.62
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Telecomunicaes Brasileiras historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Telecomunicaes Brasileiras Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Telecomunicaes Brasileiras or Communication Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Telecomunicaes Brasileiras' price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Telecomunicaes stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over NYSE Composite
-0.18
β
Beta against NYSE Composite-0.25
σ
Overall volatility
1.62
Ir
Information ratio -0.15

Telecomunicaes Brasileiras Volatility Alert

Telecomunicaes Brasileiras SA exhibits very low volatility with skewness of -0.02 and kurtosis of 0.61. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Telecomunicaes Brasileiras' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Telecomunicaes Brasileiras' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Telecomunicaes Brasileiras Fundamentals Vs Peers

Comparing Telecomunicaes Brasileiras' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Telecomunicaes Brasileiras' direct or indirect competition across all of the common fundamentals between Telecomunicaes Brasileiras and the related equities. This way, we can detect undervalued stocks with similar characteristics as Telecomunicaes Brasileiras or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Telecomunicaes Brasileiras' fundamental indicators could also be used in its relative valuation, which is a method of valuing Telecomunicaes Brasileiras by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Telecomunicaes Brasileiras to competition
FundamentalsTelecomunicaes BrasileirasPeer Average
Return On Equity-0.0978-0.31
Return On Asset-0.0045-0.14
Profit Margin(0.44) %(1.27) %
Operating Margin(0.08) %(5.51) %
Current Valuation161.8 M16.62 B
Shares Outstanding67.98 M571.82 M
Shares Owned By Insiders98.48 %10.09 %
Price To Earning(2.44) X28.72 X
Price To Book0.61 X9.51 X
Price To Sales2.90 X11.42 X
Revenue285.65 M9.43 B
Gross Profit(224.27 M)27.38 B
EBITDA233.44 M3.9 B
Net Income(126.82 M)570.98 M
Cash And Equivalents26.41 M2.7 B
Cash Per Share4.98 X5.01 X
Total Debt155.88 M5.32 B
Debt To Equity108.10 %48.70 %
Current Ratio2.23 X2.16 X
Book Value Per Share24.42 X1.93 K
Cash Flow From Operations151.88 M971.22 M
Earnings Per Share(2.14) X3.12 X
Number Of Employees33818.84 K
Beta1.22-0.15
Market Capitalization1.11 B19.03 B
Total Asset4.1 B29.47 B
Retained Earnings(720 M)9.33 B
Working Capital155 M1.48 B
Current Asset259 M9.34 B
Current Liabilities104 M7.9 B
Z Score4.28.72
Net Asset4.1 B

Telecomunicaes Brasileiras Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Telecomunicaes . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Telecomunicaes Brasileiras Buy or Sell Advice

When is the right time to buy or sell Telecomunicaes Brasileiras SA? Buying financial instruments such as Telecomunicaes Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

Use Investing Ideas to Build Portfolios

In addition to having Telecomunicaes Brasileiras in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Sovereign ETFs
Sovereign ETFs Theme
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Sovereign ETFs theme has 17 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Sovereign ETFs Theme or any other thematic opportunities.
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Check out Telecomunicaes Brasileiras Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
Note that the Telecomunicaes Brasileiras information on this page should be used as a complementary analysis to other Telecomunicaes Brasileiras' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.

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Please note, there is a significant difference between Telecomunicaes Brasileiras' value and its price as these two are different measures arrived at by different means. Investors typically determine if Telecomunicaes Brasileiras is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Telecomunicaes Brasileiras' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.