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HKT Trust and HKT Ltd
HKEX:6823

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HKT Trust and HKT Ltd
HKEX:6823
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Price: 12.72 HKD 0.71% Market Closed
Market Cap: HK$96.4B

EV/OCF

11.6
Current
14%
More Expensive
vs 3-y average of 10.1

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
11.6
=
Enterprise Value
HK$131.4B
/
Operating Cash Flow
HK$11.6B

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
11.6
=
Enterprise Value
HK$131.4B
/
Operating Cash Flow
HK$11.6B

Valuation Scenarios

HKT Trust and HKT Ltd is trading above its 3-year average

If EV/OCF returns to its 3-Year Average (10.1), the stock would be worth HK$11.16 (12% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-56%
Maximum Upside
No Upside Scenarios
Average Downside
29%
Scenario EV/OCF Value Implied Price Upside/Downside
Current Multiple 11.6 HK$12.72
0%
3-Year Average 10.1 HK$11.16
-12%
5-Year Average 10.2 HK$11.25
-12%
Industry Average 5.1 HK$5.58
-56%
Country Average 7.4 HK$8.17
-36%

Forward EV/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward EV/OCF

Peer Comparison

All Multiples
EV/OCF
P/E
All Countries
Close
Market Cap EV/OCF P/E
HK
HKT Trust and HKT Ltd
HKEX:6823
95.8B HKD 11.6 18.2
US
Verizon Communications Inc
NYSE:VZ
195.6B USD 8.5 11.4
US
AT&T Inc
NYSE:T
182.5B USD 7.8 8.6
DE
Deutsche Telekom AG
XETRA:DTE
133.6B EUR 6.1 13.9
CN
China Telecom Corp Ltd
SSE:601728
545.4B CNY 3.8 16.2
JP
Nippon Telegraph and Telephone Corp
TSE:9432
12.5T JPY 8.5 11.6
SG
Singapore Telecommunications Ltd
SGX:Z74
77.4B SGD 16.3 12.5
FR
Orange SA
PAR:ORA
46.9B EUR 6.7 87.2
SA
Saudi Telecom Company SJSC
SAU:7010
189.1B SAR 10.2 12.8
CH
Swisscom AG
SIX:SCMN
34.4B CHF 8.1 27.7
AU
Telstra Group Ltd
F:5KB
36.7B EUR 9.8 27

Market Distribution

In line with most companies in Hong Kong
Percentile
66th
Based on 1 314 companies
66th percentile
11.6
Low
0 — 4
Typical Range
4 — 12.2
High
12.2 —
Distribution Statistics
Hong Kong
Min 0
30th Percentile 4
Median 7.4
70th Percentile 12.2
Max 20 343.5

HKT Trust and HKT Ltd
Glance View

Market Cap
96.4B HKD
Industry
Telecommunication

HKT Trust and HKT Ltd. stand as pillars of Hong Kong's telecommunications industry, shaping the way the region communicates and connects. Initially born out of the earlier telecommunications legacy of Hong Kong Telephone Company, HKT has modernized and expanded, staying at the forefront of the digital age. It operates a robust portfolio, offering a wide range of services such as fixed-line telephony, broadband internet, mobile services, and pay television. These services are crucial for Hong Kong's densely populated urban environment, where connectivity is king. HKT's strategy is to weave itself deeply into the fabric of everyday life, capitalizing on a comprehensive coverage that ensures it remains an indispensable part of both personal and business communication ecosystems. Revenue streams for HKT Trust and HKT Ltd. flow from multiple channels, leveraging its diverse service offerings. The company earns a steady income from subscription fees, which are bolstered by value-added services that enhance the customer experience beyond basic connectivity. By bundling services, HKT encourages customer loyalty and reduces churn, ensuring a steady cash flow. Moreover, its investment in cutting-edge technology and infrastructure, like 5G networks, sets the stage for future growth, while its enterprise services cater to the digital transformation needs of businesses. This strategic diversification not only reinforces its market dominance but also provides resilience against the volatile shifts in economic landscapes, securing its future in Hong Kong's competitive market.

Intrinsic Value
13.25 HKD
Undervaluation 4%
Intrinsic Value
Price HK$12.72
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