Telstra Group (ASX:TLS) 3-Year FCF Growth Rate: 8.50% (As of Jun. 2026) — 95% Above Median

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ASX:TLS Telstra Group Ltd ASX:TLS
75 GF Score
Price A$4.67
GF Value A$4.21
Valuation Modestly Overvalued
! 5 Warning Signs
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What is Telstra Group 3-Year FCF Growth Rate?

Telstra Group ASX:TLS +1.30% 75 3-Year FCF Growth Rate is 8.50% as of Jun. 2026, which is 95% above its 10-year median of 4.35. GuruFocus rates ASX:TLS with a GF Score™ of 75/100 and a GF Value™ of A$4.21 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 247 Telecommunication Services companies, Telstra Group ranks better than 50.2% on this metric.

Telstra Group's Free Cash Flow per Share for the six months ended in Jun. 2026 was A$0.17.

During the past 12 months, Telstra Group's average Free Cash Flow per Share Growth Rate was 8.40% per year. During the past 3 years, the average Free Cash Flow per Share Growth Rate was 8.50% per year. During the past 5 years, the average Free Cash Flow per Share Growth Rate was -3.40% per year. During the past 10 years, the average Free Cash Flow per Share Growth Rate was 0.40% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average Free Cash Flow per Share growth rate.

During the past 13 years, the highest 3-Year average Free Cash Flow per Share Growth Rate of Telstra Group was 42.70% per year. The lowest was -20.90% per year. And the median was 4.35% per year.


Telstra Group  (ASX:TLS) 3-Year FCF Growth Rate Explanation

Free Cash Flow per Share is the amount of Free Cash Flow per outstanding share of the company's stock. Free Cash Flow is considered one of the most important parameters to measure a company's earnings power by value investors because it is not subject to estimates of Depreciation, Depletion and Amortization (DDA). However, when we look at the Free Cash Flow, we should look from a long term perspective, because any year's Free Cash Flow can be drastically affected by the spending on Property, Plant, & Equipment (PPE) of the business in that year. Over the long term, Free Cash Flow should give pretty good picture on the real earnings power of the company. It's used in the calculation of Forward Rate of Return (Yacktman) %.


Telstra Group 3-Year FCF Growth Rate Related Terms


ASX:TLS vs VZ, TMUS, T: 3-Year FCF Growth Rate Comparison

For the Telecom Services subindustry, Telstra Group's 3-Year FCF Growth Rate, along with its competitors' market caps and 3-Year FCF Growth Rate 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 3-Year FCF Growth Rate vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Telstra Group's 3-Year FCF Growth Rate distribution charts can be found below:

* The bar in red indicates where Telstra Group's 3-Year FCF Growth Rate falls into.


ASX:TLS
75GF Score
Telstra Group Ltd ASX:TLS
3-Year FCF Growth Rate is just one metric. See GF Score™, valuation, warning signs, and more.
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Telstra Group 3-Year FCF Growth Rate Calculation

This is the 3-year average growth rate of Free Cash Flow per Share. The growth rate is calculated using exponential compounding based on the latest four year annual data.

Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average Free Cash Flow per Share growth rate.

Frequently Asked Questions Learn more about 3-Year FCF Growth Rate →
What does a 3-Year FCF Growth Rate of 8.50% mean?
Telstra Group (ASX:TLS) has a 3-Year FCF Growth Rate of 8.50% as of Jun. 2026. 3-Year FCF Growth Rate is the 3-year average growth rate of Free Cash Flow per Share. View historical data for Telstra Group and its competitors. This is 95% above median its historical median of 4.35. According to the industry distribution chart, Telstra Group ranks #123 out of 247 companies in the Telecommunication Services industry, placing it in the top 49.8%.
Is Telstra Group's 3-Year FCF Growth Rate too high?
Telstra Group's current 3-Year FCF Growth Rate of 8.50% is 95% above median its 10-year median of 4.35. The Telecommunication Services industry median 3-Year FCF Growth Rate is 8.40. Telstra Group's value of 8.50% is 1.2% above this industry median. Based on the distribution chart, Telstra Group ranks #123 out of 247 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Telstra Group has a GF Score™ of 75/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Telstra Group's 3-Year FCF Growth Rate compare to VZ and TMUS?
According to the Telecommunication Services industry distribution chart, Telstra Group ranks #123 out of 247 companies for 3-Year FCF Growth Rate. This puts Telstra Group in the upper half of its industry. The industry median 3-Year FCF Growth Rate is 8.40. Telstra Group's value of 8.50% is 1.2% above this benchmark. While the company's 10-year median is 4.35 vs. the industry median of 8.40, 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 3-Year FCF Growth Rate for a Telecommunication Services company?
The median 3-Year FCF Growth Rate among Telecommunication Services companies is 8.40, based on 247 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year FCF Growth Rate significantly above this median, while those in the bottom quartile fall well below. However, 3-Year FCF Growth Rate should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Telstra Group's current 3-Year FCF Growth Rate of 8.50% is 1.2% 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 3-Year FCF Growth Rate mean?
A high 3-Year FCF Growth Rate can signal that a stock is expensive relative to its fundamentals. 3-Year FCF Growth Rate is the 3-year average growth rate of Free Cash Flow per Share. View historical data for Telstra Group and its competitors. For the Telecommunication Services industry, the median 3-Year FCF Growth Rate is 8.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Telstra Group's current 3-Year FCF Growth Rate is 8.50%, which is 95% above median its own 10-year median of 4.35. 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$4.21, compared to a current price of A$4.67 — trading 10.9% above its estimated fair value. The current 3-Year FCF Growth Rate is 8.50%, which is 95% above median its 10-year median of 4.35 and 1.2% above the Telecommunication Services industry median of 8.40. Telstra Group's overall GF Score™ is 75/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year FCF Growth Rate calculated?
3-Year FCF Growth Rate is calculated from a company's financial statements. For Telstra Group (ASX:TLS), the current 3-Year FCF Growth Rate is 8.50% 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$4.67 is trading 10.9% above its estimated GF Value™ of A$4.21. GuruFocus considers Telstra Group to be Modestly Overvalued.

Key valuation signals for ASX:TLS:

  • 3-Year FCF Growth Rate: 8.50% (95% above median its 10-year median of 4.35)
  • GF Value™: A$4.21 vs. price of A$4.67 (10.9% above fair value)
  • GF Score™: 75/100 with 5 warning signs
  • Industry Position: 1.2% above the Telecommunication Services median (#123 of 247)

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 Group Business Description

Address 242 Exhibition Street, Level 41 - Telstra Centre, Melbourne, VIC, AUS, 3000
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.
75GF Score

Get the complete analysis for ASX:TLS

3-Year FCF Growth Rate is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$4.67
Price
A$4.21
GF Value