TEFOF (Telefonica) ROCE %: 4.94% (As of Mar. 2026)


TEFOF Telefonica SA TEFOF
64 GF Score
Price $4.20
GF Value $4.13
Valuation Fairly Valued
! 8 Warning Signs
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What is Telefonica ROCE %?

Telefonica TEFOF 64 ROCE % is 4.94% as of Mar. 2026. GuruFocus rates TEFOF with a GF Score™ of 64/100 and a GF Value™ of $4.13 (Fairly Valued). The stock has 8 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's annualized ROCE % for the quarter that ended in Mar. 2026 was 4.94%.

Telefonica  (OTCPK:TEFOF) 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 ROCE % Related Terms

Telefonica ROCE % Historical Data

* Premium members only.

The historical data trend for Telefonica'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 ROCE % Chart

Telefonica 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 16.96 6.81 1.87 6.26 1.56

Telefonica 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 4.01 9.15 4.72 -6.99 4.94
TEFOF
64GF Score
Telefonica SA TEFOF
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Telefonica ROCE % Calculation

Telefonica'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 )
=1222.482/( ( (105237.696 - 26946.597) + (107748.244 - 29083.138) )/ 2 )
=1222.482/( (78291.099+78665.106)/ 2 )
=1222.482/78478.1025
=1.56 %

Telefonica'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 )
=3842.776/( ( (107748.244 - 29083.138) + (103512.139 - 26744.509) )/ 2 )
=3842.776/( ( 78665.106 + 76767.63 )/ 2 )
=3842.776/77716.368
=4.94 %

(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 4.94% mean?
Telefonica (TEFOF) has a ROCE % of 4.94% as of Mar. 2026.
Is Telefonica's ROCE % too high?
Telefonica's current ROCE % is 4.94%. The Telecommunication Services industry median ROCE % is 7.72. Telefonica's value of 4.94% is 36% below this industry median. Overall, Telefonica has a GF Score™ of 64/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Telefonica's ROCE % compare to TMUS and VZ?
Telefonica's ROCE % of 4.94% can be compared against companies in the Telecommunication Services industry. The industry median ROCE % is 7.72. Telefonica's value of 4.94% is 36% below 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's current ROCE % of 4.94% is 36% below 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's current ROCE % is 4.94%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Telefonica stock overvalued right now?
Based on GuruFocus' analysis, Telefonica (TEFOF) is currently considered Fairly Valued. The stock's GF Value™ is $4.13, compared to a current price of $4.20 — trading 1.6% above its estimated fair value. The current ROCE % is 4.94% and 36% below the Telecommunication Services industry median of 7.72. Telefonica's overall GF Score™ is 64/100 with 8 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 (TEFOF), the current ROCE % is 4.94% 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 (TEFOF) Overvalued in 2026?

Based on GuruFocus' analysis, Telefonica stock appears to be overvalued. The current stock price of $4.20 is trading 1.6% above its estimated GF Value™ of $4.13. GuruFocus considers Telefonica to be Fairly Valued.

Key valuation signals for TEFOF:

  • ROCE %: 4.94%
  • GF Value™: $4.13 vs. price of $4.20 (1.6% above fair value)
  • GF Score™: 64/100 with 8 warning signs
  • Industry Position: 36% below the Telecommunication Services median

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

Telefonica Business Description

Address Ronda de la Comunicacion, s/n, Central Building Auditorium, Telefonica District, Madrid, ESP, 28050
Telefonica is a telecommunications operator with presence in Spain (where it is the incumbent operator), the UK, Germany, Brazil, and Latin American countries. The company derives more than 30% of its revenue from Spain, close to 20% from Germany, and 20% from Brazil. Its UK operations are held through a joint venture with Virgin Media. For several years, Telefonica has been simplifying its corporate structure by selling noncore assets.
64GF Score

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

$4.20
Price
$4.13
GF Value