Telecom Plus (CHIX:TEPL) Forward Rate of Return (Yacktman) %: 26.10% (As of Mar. 2026) — 118% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
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.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
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.

CHIX:TEPL Telecom Plus PLC CHIX:TEPL
68 GF Score
Price £8.16
GF Value £16.84
Valuation Significantly Undervalued
! 4 Warning Signs
View Full Analysis

What is Telecom Plus Forward Rate of Return (Yacktman) %?

Telecom Plus CHIX:TEPL -1.69% 68 Forward Rate of Return (Yacktman) % is 26.10% as of Mar. 2026, which is 118% above its 10-year median of 11.96. GuruFocus rates CHIX:TEPL with a GF Score™ of 68/100 and a GF Value™ of £16.84 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 426 Utilities - Regulated companies, Telecom Plus ranks better than 92.96% on this metric.

Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. Telecom Plus's forward rate of return for was 26.10%.

The historical rank and industry rank for Telecom Plus's Forward Rate of Return (Yacktman) % or its related term are showing as below:

CHIX:TEPl' s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: 6.19   Med: 11.96   Max: 28.18
Current: 27.87

During the past 13 years, Telecom Plus's highest Forward Rate of Return was 28.18. The lowest was 6.19. And the median was 11.96.

CHIX:TEPl's Forward Rate of Return (Yacktman) % is ranked better than
92.96% of 426 companies
in the Utilities - Regulated industry
Industry Median: 6.62 vs CHIX:TEPl: 27.87

Unlike the Earnings Yield %, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Telecom Plus  (CHIX:TEPl) Forward Rate of Return (Yacktman) % Explanation

Unlike the Earnings Yield, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.

For the growth part of the Forward Rate of Return calculation, GuruFocus uses the 5-year average growth rate of EBITDA per share as the growth rate, and the growth rate is always capped at 20%. For the Free Cash Flow we use per share data averaged over five years. The reason we use five years is to make it comparable to the growth rate.


Be Aware

In the Forward Rate of Return calculation, the growth rate is added directly to today's free cash flow yield. Therefore the calculation is reliable only if the company can grow at the same rate in the future as it did in the past. Investors should pay close attention to this when researching growth stocks. A more accurate measurement for return is Return on Capital.


Telecom Plus Forward Rate of Return (Yacktman) % Related Terms


Telecom Plus Forward Rate of Return (Yacktman) % Historical Data

* Premium members only.

The historical data trend for Telecom Plus's Forward Rate of Return (Yacktman) % 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.

Telecom Plus Forward Rate of Return (Yacktman) % Chart

Telecom Plus Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Forward Rate of Return (Yacktman) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.75 15.49 19.37 22.75 26.10

Telecom Plus Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Forward Rate of Return (Yacktman) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 18.69 21.56 23.72 24.06 25.95

CHIX:TEPL vs SRE, AES: Forward Rate of Return (Yacktman) % Comparison

For the Utilities - Diversified subindustry, Telecom Plus's Forward Rate of Return (Yacktman) %, along with its competitors' market caps and Forward Rate of Return (Yacktman) % 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.


Telecom Plus Forward Rate of Return (Yacktman) % vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Telecom Plus's Forward Rate of Return (Yacktman) % distribution charts can be found below:

* The bar in red indicates where Telecom Plus's Forward Rate of Return (Yacktman) % falls into.


CHIX:TEPL
68GF Score
Telecom Plus PLC CHIX:TEPL
Forward Rate of Return (Yacktman) % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Telecom Plus Forward Rate of Return (Yacktman) % Calculation

Forward Rate of Return is a concept that Don Yacktman uses in his investment approach. Yacktman explained the forward rate of return concept in detail in his interview with GuruFocus. Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. He said in the interview (March 2012, when the S&P 500 was at about 1400):

If the business is stable, this calculation is fairly straightforward. For instance, on the S&P 500 we would normalize earnings. We would then calculate what percentage of those earnings are not reinvested in the underlying businesses and are therefore free. Historically, for the S&P 500, this has been just under 50% of earnings. Currently, we expect the S&P to earn about 70 on a normalized basis, a number which is far below reported earnings due to our adjusting for record high profit margins. $70 X ½ / 1400 gives you a normalized free cash flow yield of approximately 2.5%.

The historical real growth rate of the S&P 500 (companies) is about 1.5%. Assuming an inflation rate of 2.5%, the forward rate of return on an investment in the S&P 500 is about 6.5% today (2.5% free cash flow yield plus 1.5% real growth plus 2.5% inflation).

Telecom Plus's Forward Rate of Return of Mar. 2026 is

Forward Rate of Return=Normalized Free Cash Flow/Price+5-Year EBITDA Growth Rate
=0.79233333/12.98+0.2
=26.10 %

* 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 Forward Rate of Return (Yacktman) % of 26.10% mean?
Telecom Plus (CHIX:TEPL) has a Forward Rate of Return (Yacktman) % of 26.10% as of Mar. 2026. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Telecom Plus and its competitors. This is 118% above median its historical median of 11.96. Over the past decade, Telecom Plus' Forward Rate of Return (Yacktman) % has ranged from 6.19 to 28.18. According to the industry distribution chart, Telecom Plus ranks #30 out of 426 companies in the Utilities - Regulated industry, placing it in the top 7%.
Is Telecom Plus' Forward Rate of Return (Yacktman) % too high?
Telecom Plus' current Forward Rate of Return (Yacktman) % of 26.10% is 118% above median its 10-year median of 11.96. Over the past 10 years, this metric has ranged from a low of 6.19 to a high of 28.18. The Utilities - Regulated industry median Forward Rate of Return (Yacktman) % is 6.62. Telecom Plus' value of 26.10% is 294.3% above this industry median. Based on the distribution chart, Telecom Plus ranks #30 out of 426 companies in the Utilities - Regulated industry, which is in the top quartile — a strong position relative to peers. Overall, Telecom Plus has a GF Score™ of 68/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Telecom Plus' Forward Rate of Return (Yacktman) % compare to SRE and AES?
According to the Utilities - Regulated industry distribution chart, Telecom Plus ranks #30 out of 426 companies for Forward Rate of Return (Yacktman) %. This places Telecom Plus in the top 7% of its industry — outperforming the majority of peers. The industry median Forward Rate of Return (Yacktman) % is 6.62. Telecom Plus' value of 26.10% is 294.3% above this benchmark. Historically, Telecom Plus' own Forward Rate of Return (Yacktman) % has ranged from 6.19 to 28.18 over the past decade. While the company's 10-year median is 11.96 vs. the industry median of 6.62, Telecom Plus 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 Forward Rate of Return (Yacktman) % for an Utilities - Regulated company?
The median Forward Rate of Return (Yacktman) % among Utilities - Regulated companies is 6.62, based on 426 companies in the industry. Companies in the top quartile (top 25%) have a Forward Rate of Return (Yacktman) % significantly above this median, while those in the bottom quartile fall well below. However, Forward Rate of Return (Yacktman) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Telecom Plus's current Forward Rate of Return (Yacktman) % of 26.10% is 294.3% 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 Forward Rate of Return (Yacktman) % mean?
A high Forward Rate of Return (Yacktman) % can signal that a stock is expensive relative to its fundamentals. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Telecom Plus and its competitors. For the Utilities - Regulated industry, the median Forward Rate of Return (Yacktman) % is 6.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Telecom Plus's current Forward Rate of Return (Yacktman) % is 26.10%, which is 118% above median its own 10-year median of 11.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Telecom Plus stock overvalued right now?
Based on GuruFocus' analysis, Telecom Plus (CHIX:TEPL) is currently considered Significantly Undervalued. The stock's GF Value™ is £16.84, compared to a current price of £8.16 — trading 51.5% below its estimated fair value. The current Forward Rate of Return (Yacktman) % is 26.10%, which is 118% above median its 10-year median of 11.96 and 294.3% above the Utilities - Regulated industry median of 6.62. Telecom Plus' overall GF Score™ is 68/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Forward Rate of Return (Yacktman) % calculated?
Forward Rate of Return (Yacktman) % is calculated from a company's financial statements. For Telecom Plus (CHIX:TEPL), the current Forward Rate of Return (Yacktman) % is 26.10% as of Mar. 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 Telecom Plus (CHIX:TEPL) Overvalued in 2026?

Based on GuruFocus' analysis, Telecom Plus stock appears to be undervalued. The current stock price of £8.16 is trading 51.5% below its estimated GF Value™ of £16.84. GuruFocus considers Telecom Plus to be Significantly Undervalued.

Key valuation signals for CHIX:TEPL:

  • Forward Rate of Return (Yacktman) %: 26.10% (118% above median its 10-year median of 11.96)
  • GF Value™: £16.84 vs. price of £8.16 (51.5% below fair value)
  • GF Score™: 68/100 with 4 warning signs
  • Industry Position: 294.3% above the Utilities - Regulated median (#30 of 426)

No single metric tells the full story. See the CHIX:TEPL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Telecom Plus Business Description

Other Exchanges TEP:UKT8T:Germany
Address 508 Edgware Road, The Hyde, Network HQ, London, GBR, NW9 5AB
Telecom Plus PLC is a UK Based telecommunications and utilities company that provides mobile services, fixed-line services, Internet services, and gas and electricity services. The company generates maximum revenue from Electricity services. Its main income streams from the provision of fixed-line telephony, broadband, mobile telephony, gas and electricity services, and transactions.
68GF Score

Get the complete analysis for CHIX:TEPL

Forward Rate of Return (Yacktman) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£8.16
Price
£16.84
GF Value