Telefonica Brasil (STU:TSPA) ROCE %: 9.66% (As of Mar. 2026)


STU:TSPA Telefonica Brasil SA STU:TSPA
84 GF Score
Price €11.70
GF Value €10.57
Valuation Modestly Overvalued
! 2 Warning Signs
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What is Telefonica Brasil ROCE %?

Telefonica Brasil STU:TSPA +0.86% 84 ROCE % is 9.66% as of Mar. 2026. GuruFocus rates STU:TSPA with a GF Score™ of 84/100 and a GF Value™ of €10.57 (Modestly Overvalued). The stock has 2 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Telefonica Brasil's annualized ROCE % for the quarter that ended in Mar. 2026 was 9.66%.

Telefonica Brasil  (STU:TSPA) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Telefonica Brasil ROCE % Related Terms

Telefonica Brasil ROCE % Historical Data

* Premium members only.

The historical data trend for Telefonica Brasil's ROCE % 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.

Telefonica Brasil ROCE % Chart

Telefonica Brasil Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.62 5.82 6.33 6.64 7.92

Telefonica Brasil Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % 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 8.74 7.09 9.24 9.39 9.66
STU:TSPA
84GF Score
Telefonica Brasil SA STU:TSPA
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Telefonica Brasil ROCE % Calculation

Telefonica Brasil's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=1262.247/( ( (19557.178 - 3797.137) + (20047.517 - 3951.869) )/ 2 )
=1262.247/( (15760.041+16095.648)/ 2 )
=1262.247/15927.8445
=7.92 %

Telefonica Brasil's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=1611.232/( ( (20047.517 - 3951.869) + (21582.814 - 4309.584) )/ 2 )
=1611.232/( ( 16095.648 + 17273.23 )/ 2 )
=1611.232/16684.439
=9.66 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

* 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.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 9.66% mean?
Telefonica Brasil (STU:TSPA) has a ROCE % of 9.66% as of Mar. 2026.
Is Telefonica Brasil's ROCE % too high?
Telefonica Brasil's current ROCE % is 9.66%. The Telecommunication Services industry median ROCE % is 7.72. Telefonica Brasil's value of 9.66% is 25.1% above this industry median. Overall, Telefonica Brasil has a GF Score™ of 84/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Telefonica Brasil's ROCE % compare to TMUS and VZ?
Telefonica Brasil's ROCE % of 9.66% can be compared against companies in the Telecommunication Services industry. The industry median ROCE % is 7.72. Telefonica Brasil's value of 9.66% is 25.1% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Telecommunication Services company?
The median ROCE % among Telecommunication Services companies is 7.72, based on 356 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Telefonica Brasil's current ROCE % of 9.66% is 25.1% 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 ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Telecommunication Services industry, the median ROCE % is 7.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Telefonica Brasil's current ROCE % is 9.66%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Telefonica Brasil stock overvalued right now?
Based on GuruFocus' analysis, Telefonica Brasil (STU:TSPA) is currently considered Modestly Overvalued. The stock's GF Value™ is €10.57, compared to a current price of €11.70 — trading 10.7% above its estimated fair value. The current ROCE % is 9.66% and 25.1% above the Telecommunication Services industry median of 7.72. Telefonica Brasil's overall GF Score™ is 84/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Telefonica Brasil (STU:TSPA), the current ROCE % is 9.66% 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 Telefonica Brasil (STU:TSPA) Overvalued in 2026?

Based on GuruFocus' analysis, Telefonica Brasil stock appears to be overvalued. The current stock price of €11.70 is trading 10.7% above its estimated GF Value™ of €10.57. GuruFocus considers Telefonica Brasil to be Modestly Overvalued.

Key valuation signals for STU:TSPA:

  • ROCE %: 9.66%
  • GF Value™: €10.57 vs. price of €11.70 (10.7% above fair value)
  • GF Score™: 84/100 with 2 warning signs
  • Industry Position: 25.1% above the Telecommunication Services median

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

Telefonica Brasil Business Description

Address Avenida Engenheiro Luis Carlos Berrini, 1376, 32nd Floor, Sao Paulo, SP, BRA, 04571-936
Telefonica Brasil, known as Vivo, is the largest wireless carrier in Brazil with 103 million customers, which is equal to about 38% market share. The firm is strongest in the postpaid business, where it has 72 million customers, or about 40% share of this market. Wireless services and equipment contribute about 70% of total revenue. Vivo is the incumbent fixed-line telephone operator in Sao Paulo state and also owns an extensive fiber network across the country. The firm provides internet access to 8 million households on this network. The firm also sells pay-TV and phone services to its fixed-line customers. Finally, corporate data and IT services, including cloud computing support, contribute about 10% of total revenue.
84GF Score

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ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€11.70
Price
€10.57
GF Value