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Nippon Telegraph and Telephone Corp
TSE:9432

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Nippon Telegraph and Telephone Corp
TSE:9432
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Price: 151.5 JPY 0.07%
Market Cap: ¥12.7T

EV/EBIT

10.2
Current
3%
Cheaper
vs 3-y average of 10.5

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
10.2
=
Enterprise Value
¥18.9T
/
EBIT
¥1.9T

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
10.2
=
Enterprise Value
¥18.9T
/
EBIT
¥1.9T

Valuation Scenarios

Nippon Telegraph and Telephone Corp is trading below its 3-year average

If EV/EBIT returns to its 3-Year Average (10.5), the stock would be worth ¥155.84 (3% upside from current price).

Statistics
Positive Scenarios
3/4
Maximum Downside
-8%
Maximum Upside
+33%
Average Upside
13%
Scenario EV/EBIT Value Implied Price Upside/Downside
Current Multiple 10.2 ¥151.5
0%
3-Year Average 10.5 ¥155.84
+3%
5-Year Average 9.4 ¥139.36
-8%
Industry Average 12.7 ¥187.58
+24%
Country Average 13.6 ¥201.78
+33%

Forward EV/EBIT
Today’s price vs future ebit

Not enough data available to calculate forward EV/EBIT

Peer Comparison

All Multiples
EV/EBIT
P/E
All Countries
Close
Market Cap EV/EBIT P/E
JP
Nippon Telegraph and Telephone Corp
TSE:9432
12.5T JPY 10.2 11.6
US
Verizon Communications Inc
NYSE:VZ
199.1B USD 9.9 11.6
US
AT&T Inc
NYSE:T
185.3B USD 12 8.7
DE
Deutsche Telekom AG
XETRA:DTE
133.2B EUR 9.4 14
CN
China Telecom Corp Ltd
SSE:601728
545.4B CNY 11.8 16.2
SG
Singapore Telecommunications Ltd
SGX:Z74
77.4B SGD 58.1 12.5
FR
Orange SA
PAR:ORA
47.7B EUR 17.4 88.6
SA
Saudi Telecom Company SJSC
SAU:7010
189.1B SAR 12.9 12.8
CH
Swisscom AG
SIX:SCMN
34.4B CHF 24.4 27.3
AU
Telstra Group Ltd
F:5KB
36.7B EUR 20.5 27
AU
Telstra Corporation Ltd
ASX:TLS
60.1B AUD 20.2 26.6

Market Distribution

In line with most companies in Japan
Percentile
32nd
Based on 4 801 companies
32nd percentile
10.2
Low
0.1 — 9.8
Typical Range
9.8 — 18.1
High
18.1 —
Distribution Statistics
Japan
Min 0.1
30th Percentile 9.8
Median 13.6
70th Percentile 18.1
Max 414 821 439

Nippon Telegraph and Telephone Corp
Glance View

Nippon Telegraph and Telephone Corp., often recognized through its acronym NTT, stands as one of the most prominent giants in the global telecommunications sector. Born from the ambitious vision to link the intricate archipelago of Japan, NTT began its journey in 1952 as a governmental entity, tasked with the monumental mission of building the country's telecommunication infrastructure post-World War II. Over the decades, NTT transformed from a state-owned utility into a privatized behemoth, expanding its horizons beyond traditional telephony to delve into the domains of mobile communications, network systems, and information technology services. Its metamorphosis was driven not only by domestic demands but also by the global eruption of digital connectivity, steering NTT towards innovative realms like data centers and cloud services. In its modern avatar, NTT garners revenue through a diverse array of services. While voice and mobile communication services continue to form a significant portion of its income, the emphasis has increasingly shifted to data services and managed IT solutions. The company capitalizes on its vast infrastructure and expertise to serve not just individuals, but a myriad of corporate clients, offering them integrated solutions ranging from cybersecurity to system integration. Moreover, as digital transformation proliferates, NTT's investments in research and development for next-generation technologies like 5G and the Internet of Things (IoT) are setting a course for sustainable growth in an ultra-connected world. By aligning with technological advances and business needs, NTT remains a pillar in the telecommunications landscape, resiliently driving forward in an industry where change is the only constant.

Intrinsic Value
259.64 JPY
Undervaluation 42%
Intrinsic Value
Price ¥151.5
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