Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Telstra GroupASX:TLS -0.62%67 Capex-to-Operating-Cash-Flow is 0.56 as of Jun. 2026, which is 2% above its 10-year median of 0.55. GuruFocus rates ASX:TLS with a GF Score™ of 67/100 and a GF Value™ of A$4.20 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 266 Telecommunication Services companies, Telstra Group ranks better than 54.14% on this metric.
Capex-to-Operating-Cash-Flow assesses how much of a company’s cash flow from operations is being devoted to capital expenditure. It’s also useful to distinguish whether the company is capital intensive or not.
Telstra Group (ASX:TLS) Capex-to-Operating-Cash-Flow Explanation
Capex-to-Operating-Cash-Flow ratio assesses how much of a company’s Cash Flow from Operations is being devoted to Capital Expenditure. It is a good indicator in terms of how much the company is focused on growth. In general, a high Capex-to-Operating-Cash-Flow ratio indicates that the company is investing more in physical assets and is focused on growth and expansion. Conversely, lower ratio could indicate that a company has reached maturity and is no longer pursuing aggressive growth.
Moreover, the ratio is also useful to distinguish whether the company is capital intensive or not. If the ratio is large, then the company tends to be capital intensive. Lower ratio suggests that it’s a capital-light business. The ratio can be combined with ROIC % to identify whether the company is an asset-light business that has a high return on invested capital. This is one question investors commonly ask to see if a company qualifies as a good company.
Telstra Group Capex-to-Operating-Cash-Flow Related Terms
Telstra Group Capex-to-Operating-Cash-Flow Historical Data
* Premium members only.
The historical data trend for Telstra Group's Capex-to-Operating-Cash-Flow can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
ASX:TLS vs VZ, TMUS, T: Capex-to-Operating-Cash-Flow Comparison
For the Telecom Services subindustry, Telstra Group's Capex-to-Operating-Cash-Flow, along with its competitors' market caps and Capex-to-Operating-Cash-Flow data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Telstra Group Capex-to-Operating-Cash-Flow vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Telstra Group's Capex-to-Operating-Cash-Flow distribution charts can be found below:
* The bar in red indicates where Telstra Group's Capex-to-Operating-Cash-Flow falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
What does a Capex-to-Operating-Cash-Flow of 0.56 mean?
Telstra Group (ASX:TLS) has a Capex-to-Operating-Cash-Flow of 0.56 as of Jun. 2026. Capex to Operating Cash Flow ratio assesses how much of a company’s cash flow from operations is being devoted to capital expenditure. View historical data on Telstra Group and its competitors. This is near median its historical median of 0.55. Over the past decade, Telstra Group's Capex-to-Operating-Cash-Flow has ranged from 0.43 to 0.72. According to the industry distribution chart, Telstra Group ranks #122 out of 266 companies in the Telecommunication Services industry, placing it in the top 45.9%.
Is Telstra Group's Capex-to-Operating-Cash-Flow too high?
Telstra Group's current Capex-to-Operating-Cash-Flow of 0.56 is near median its 10-year median of 0.55. Over the past 10 years, this metric has ranged from a low of 0.43 to a high of 0.72. The Telecommunication Services industry median Capex-to-Operating-Cash-Flow is 0.54. Telstra Group's value of 0.56 is 3.7% above this industry median. Based on the distribution chart, Telstra Group ranks #122 out of 266 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Telstra Group has a GF Score™ of 67/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Telstra Group's Capex-to-Operating-Cash-Flow compare to VZ and TMUS?
According to the Telecommunication Services industry distribution chart, Telstra Group ranks #122 out of 266 companies for Capex-to-Operating-Cash-Flow. This puts Telstra Group in the upper half of its industry. The industry median Capex-to-Operating-Cash-Flow is 0.54. Telstra Group's value of 0.56 is 3.7% above this benchmark. Historically, Telstra Group's own Capex-to-Operating-Cash-Flow has ranged from 0.43 to 0.72 over the past decade. While the company's 10-year median is 0.55 vs. the industry median of 0.54, Telstra Group has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Capex-to-Operating-Cash-Flow for a Telecommunication Services company?
The median Capex-to-Operating-Cash-Flow among Telecommunication Services companies is 0.54, based on 266 companies in the industry. Companies in the top quartile (top 25%) have a Capex-to-Operating-Cash-Flow significantly above this median, while those in the bottom quartile fall well below. However, Capex-to-Operating-Cash-Flow should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Telstra Group's current Capex-to-Operating-Cash-Flow of 0.56 is 3.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Capex-to-Operating-Cash-Flow mean?
A high Capex-to-Operating-Cash-Flow can signal that a stock is expensive relative to its fundamentals. Capex to Operating Cash Flow ratio assesses how much of a company’s cash flow from operations is being devoted to capital expenditure. View historical data on Telstra Group and its competitors. For the Telecommunication Services industry, the median Capex-to-Operating-Cash-Flow is 0.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Telstra Group's current Capex-to-Operating-Cash-Flow is 0.56, which is near median its own 10-year median of 0.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Telstra Group stock overvalued right now?
Based on GuruFocus' analysis, Telstra Group (ASX:TLS) is currently considered Modestly Overvalued. The stock's GF Value™ is A$4.20, compared to a current price of A$4.83 — trading 15% above its estimated fair value. The current Capex-to-Operating-Cash-Flow is 0.56, which is near median its 10-year median of 0.55 and 3.7% above the Telecommunication Services industry median of 0.54. Telstra Group's overall GF Score™ is 67/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Capex-to-Operating-Cash-Flow calculated?
Capex-to-Operating-Cash-Flow is calculated from a company's financial statements. For Telstra Group (ASX:TLS), the current Capex-to-Operating-Cash-Flow is 0.56 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Telstra Group (ASX:TLS) Overvalued in 2026?
Based on GuruFocus' analysis, Telstra Group stock appears to be overvalued.
The current stock price of A$4.83 is trading 15% above its estimated GF Value™ of A$4.20.
GuruFocus considers Telstra Group to be Modestly Overvalued.
Key valuation signals for ASX:TLS:
Capex-to-Operating-Cash-Flow: 0.56 (near median its 10-year median of 0.55)
GF Value™: A$4.20 vs. price of A$4.83 (15% above fair value)
Industry Position: 3.7% above the Telecommunication Services median (#122 of 266)
No single metric tells the full story. See the ASX:TLS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Telstra is Australia's largest telecommunications company, with dominant market shares in voice, mobile, enterprise telecom, and fixed-line broadband resale via the national broadband network. Telstra provides most of its services via its infrastructure assets, such as a fixed-line network (data centers, exchanges, poles, ducts, pits and pipes, fiber network), a mobile network, and mobile towers. Its customers span retail, corporate, government, wholesale, and overseas segments. Telstra also provides the government-owned, last-mile fixed-line National Broadband Network with long-term access to its infrastructure, in return for recurring payments. Finally, Telstra operates a leading telecom operation in Papua New Guinea and the surrounding South-Pacific countries.
67GF Score
Get the complete analysis for ASX:TLS
Capex-to-Operating-Cash-Flow is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ASX:TLS has been successfully added to your 
