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Turkcell Iletisim Hizmetleri A.S. (TKC) Stock Analysis

Communication Services

Turkcell Iletisim Hizmetleri A.S.

$5.69

$-0.14 (-2.40%)

Last Updated: May 26, 2026

Price History

Analysis

Company Overview

Turkcell Iletisim Hizmetleri A.S. operates a global system for mobile communications (GSM) network across Turkey, Belarus, the Turkish Republic of Northern Cyprus, Germany, and the Netherlands, delivering essential telecom services through its subsidiaries. The company functions within the Communication Services sector and specifically within the Telecom Services industry, positioning it as a critical infrastructure provider for data transmission and voice connectivity. Its market capitalization stands at $5.21B, while its total revenue for the trailing twelve months is not available in the provided data, and the employee count is not disclosed. These financial metrics indicate a significant operational scale within the telecommunications landscape, with a market cap that reflects substantial investor confidence despite the lack of publicly disclosed revenue figures.

Financial Health

The company's trailing twelve-month revenue is not available, and neither is the specific net income figure, though its EBITDA is reported at $101.46B. The absence of specific revenue and net income data in the provided facts prevents a direct calculation of cost structure from these specific line items, yet the relationship between revenue and net income generally reveals the efficiency of operations in converting sales into profit. Free cash flow is reported at $8.24B, indicating a robust ability to generate liquidity independent of accounting accruals, which provides significant financial flexibility for capital allocation or debt servicing. Gross margin is 28.5%, suggesting a moderate profitability on core service sales before operating expenses, while operating margin is 0.0%, indicating that operating expenses consumed the entire gross profit or that the metric is not applicable under the current reporting framework. Profit margin stands at 7.3%, which represents the final percentage of revenue that translates into bottom-line earnings available to shareholders. Total cash and total debt figures are not available, so a direct comparison of these specific balances cannot be made, but the debt-to-equity ratio is 61.18, suggesting a highly leveraged balance sheet relative to shareholder equity. The current ratio is 1.70, indicating that the company holds 1.70 times more current assets than current liabilities, which points to adequate short-term liquidity to meet obligations as they come due. Return on equity is 7.1% and return on assets is 9.1%, metrics that reveal how effectively management is utilizing shareholder capital and total assets to generate returns, with assets yielding a slightly higher return than equity.

Valuation Assessment

The trailing twelve-month P/E ratio is 13.02, while the forward P/E is 11.30, implying that the market expects earnings growth that would allow the stock to trade at a lower multiple in the future. The price-to-book ratio is 0.05, indicating that the stock trades at a fraction of its book value, which suggests the market values the company significantly below the net asset value recorded on its balance sheet. Neither the price-to-sales ratio nor the EV/EBITDA is available in the provided data, so alternative valuation metrics beyond the P/E multiples cannot be analyzed for this specific reporting period. The 52-week high is $7.18 and the 52-week low is $5.35, meaning the stock has experienced volatility within a range of approximately $1.83 over the past year. The beta value is 0.86, indicating that the stock price volatility is lower than the broader market, suggesting it may be less sensitive to general market fluctuations.

Growth & Income

Revenue growth year-over-year is 7.4%, while earnings growth year-over-year is 23.7%, indicating that earnings are expanding at a much faster rate than revenue, which often implies improving operational efficiency or a favorable product mix. The dividend yield is 3.7% and the payout ratio is 44.6%, suggesting that the company returns a portion of its earnings to shareholders while retaining the majority for reinvestment or debt reduction. Given the high earnings growth rate relative to revenue, the payout ratio appears sustainable as the expanding earnings base supports the fixed dividend obligation without requiring excessive leverage. The overall growth and income profile is characterized by strong double-digit earnings expansion combined with a moderate dividend yield, offering a mix of capital appreciation potential and income generation within the telecom sector.

Peer Comparison

Turkcell Iletisim Hizmetleri A.S. (TKC) operates in the Telecom Services industry. Here is how it compares to its closest peers by market capitalization:

Company Ticker Market Cap P/E Ratio
Turkcell Iletisim Hizmetleri A.S. TKC $4.95B 12.4
T-Mobile US, Inc. TMUS $206.82B 20.3
Verizon Communications Inc. VZ $202.47B 11.8
AT&T Inc. T $173.85B 8.2

The Telecom Services industry average P/E ratio is 18.3x. Turkcell Iletisim Hizmetleri A.S. trades at a P/E of 12.4.

This analysis is AI-generated for informational purposes only and should not be considered financial advice. Data may be delayed or inaccurate. Always do your own research and consult a qualified financial advisor before making investment decisions.

About Turkcell Iletisim Hizmetleri A.S.

Turkcell Iletisim Hizmetleri A.S., together with its subsidiaries, engages in establishing and operating a global system for mobile communications (GSM) network in Turkey, Belarus, Turkish Republic of Northern Cyprus, Germany, and the Netherlands. It operates through the Turkcell Turkiye, Turkcell International, and Techfin segments. The company is involved in information technology, value added GSM, and entertainment investment, as well as research and development, digital and insurance agency, property investments, electricity energy trade, and wholesale and retail electricity sales activities. It also provides telecommunications, television, and content; digitalization; sales, delivery, and digital sales; consumer financing; cloud solutions; online radio, television, and on-demand streaming; telecommunications infrastructure; electronic payment; and develop software products and services. In addition, the company offers customer relations and human resources management; directory assistance; payment services and e-money; internet search engine and browser; venture capital investment fund; meal coupons and cards; data processing; data center and cloud; programming and technical support; and digital education services. Further, it provides training software developers. Turkcell Iletisim Hizmetleri A.S. was incorporated in 1993 and is headquartered in Istanbul, Turkey.

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Key Statistics

Market Cap
$4.95B
P/E Ratio
12.37
52-Week High
$7.18
52-Week Low
$5.35
Avg Volume
1.23M
Beta
0.79
Dividend Yield
3.87%

Data provided by Yahoo Finance via yfinance. Updated daily.

Company Info

Exchange
NYSE
Country
Turkey