Swisscom AG (FRA:SWJ) 5-Year Yield-on-Cost %: 4.23 (As of Jul. 05, 2026) — Near Median


FRA:SWJ Swisscom AG FRA:SWJ
75 GF Score
Price €670.00
GF Value €754.98
Valuation Modestly Undervalued
! 5 Warning Signs
View Full Analysis

What is Swisscom AG 5-Year Yield-on-Cost %?

Swisscom AG FRA:SWJ -0.74% 75 5-Year Yield-on-Cost % is 4.23 as of Jul. 05, 2026, which is 2% below its 10-year median of 4.33. GuruFocus rates FRA:SWJ with a GF Score™ of 75/100 and a GF Value™ of €754.98 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 228 Telecommunication Services companies, Swisscom AG ranks worse than 54.39% on this metric.

Swisscom AG's yield on cost for the quarter that ended in Mar. 2026 was 4.23.


The historical rank and industry rank for Swisscom AG's 5-Year Yield-on-Cost % or its related term are showing as below:

FRA:SWJ' s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 3.05   Med: 4.33   Max: 10.14
Current: 4.23


During the past 13 years, Swisscom AG's highest Yield on Cost was 10.14. The lowest was 3.05. And the median was 4.33.


FRA:SWJ's 5-Year Yield-on-Cost % is ranked worse than
54.39% of 228 companies
in the Telecommunication Services industry
Industry Median: 4.52 vs FRA:SWJ: 4.23

Swisscom AG  (FRA:SWJ) 5-Year Yield-on-Cost % Explanation

Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.


Swisscom AG 5-Year Yield-on-Cost % Related Terms


FRA:SWJ vs TMUS, VZ, T: 5-Year Yield-on-Cost % Comparison

For the Telecom Services subindustry, Swisscom AG's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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.


Swisscom AG 5-Year Yield-on-Cost % vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Swisscom AG's 5-Year Yield-on-Cost % distribution charts can be found below:

* The bar in red indicates where Swisscom AG's 5-Year Yield-on-Cost % falls into.


FRA:SWJ
75GF Score
Swisscom AG FRA:SWJ
5-Year Yield-on-Cost % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Swisscom AG 5-Year Yield-on-Cost % Calculation

Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.

Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.

Therefore, Yield-on-Cost of Swisscom AG is calculated as

Yield-on-Cost=Dividend Yield %*(1+Dividend Growth Rate)^5
Frequently Asked Questions Learn more about 5-Year Yield-on-Cost % →
What does a 5-Year Yield-on-Cost % of 4.23 mean?
Swisscom AG (FRA:SWJ) has a 5-Year Yield-on-Cost % of 4.23 as of Jul. 05, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Swisscom AG and its competitors. This is near median its historical median of 4.33. Over the past decade, Swisscom AG's 5-Year Yield-on-Cost % has ranged from 3.05 to 10.14. According to the industry distribution chart, Swisscom AG ranks #124 out of 228 companies in the Telecommunication Services industry, placing it in the top 54.4%.
Is Swisscom AG's 5-Year Yield-on-Cost % too high?
Swisscom AG's current 5-Year Yield-on-Cost % of 4.23 is near median its 10-year median of 4.33. Over the past 10 years, this metric has ranged from a low of 3.05 to a high of 10.14. The Telecommunication Services industry median 5-Year Yield-on-Cost % is 4.52. Swisscom AG's value of 4.23 is 6.4% below this industry median. Based on the distribution chart, Swisscom AG ranks #124 out of 228 companies in the Telecommunication Services industry, which is below the industry midpoint. Overall, Swisscom AG has a GF Score™ of 75/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Swisscom AG's 5-Year Yield-on-Cost % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Swisscom AG ranks #124 out of 228 companies for 5-Year Yield-on-Cost %. This places Swisscom AG in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 4.52. Swisscom AG's value of 4.23 is 6.4% below this benchmark. Historically, Swisscom AG's own 5-Year Yield-on-Cost % has ranged from 3.05 to 10.14 over the past decade. While the company's 10-year median is 4.33 vs. the industry median of 4.52, Swisscom AG has consistently been below 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 5-Year Yield-on-Cost % for a Telecommunication Services company?
The median 5-Year Yield-on-Cost % among Telecommunication Services companies is 4.52, based on 228 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Swisscom AG's current 5-Year Yield-on-Cost % of 4.23 is 6.4% 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 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Swisscom AG and its competitors. For the Telecommunication Services industry, the median 5-Year Yield-on-Cost % is 4.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Swisscom AG's current 5-Year Yield-on-Cost % is 4.23, which is near median its own 10-year median of 4.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Swisscom AG stock overvalued right now?
Based on GuruFocus' analysis, Swisscom AG (FRA:SWJ) is currently considered Modestly Undervalued. The stock's GF Value™ is €754.98, compared to a current price of €670.00 — trading 11.3% below its estimated fair value. The current 5-Year Yield-on-Cost % is 4.23, which is near median its 10-year median of 4.33 and 6.4% below the Telecommunication Services industry median of 4.52. Swisscom AG'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 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Swisscom AG (FRA:SWJ), the current 5-Year Yield-on-Cost % is 4.23 as of Jul. 05, 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 Swisscom AG (FRA:SWJ) Overvalued in 2026?

Based on GuruFocus' analysis, Swisscom AG stock appears to be undervalued. The current stock price of €670.00 is trading 11.3% below its estimated GF Value™ of €754.98. GuruFocus considers Swisscom AG to be Modestly Undervalued.

Key valuation signals for FRA:SWJ:

  • 5-Year Yield-on-Cost %: 4.23 (near median its 10-year median of 4.33)
  • GF Value™: €754.98 vs. price of €670.00 (11.3% below fair value)
  • GF Score™: 75/100 with 5 warning signs
  • Industry Position: 6.4% below the Telecommunication Services median (#124 of 228)

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


Swisscom AG Business Description

Address Alte Tiefenaustrasse 6, 3048 Worblaufen, Ittigen, Bern, CHE, 3050
Swisscom is the incumbent telecom operator in Switzerland, with a very high market share in mobile and fixed-line markets. It charges high prices compared with its competitors and other European peers due to the historical stability of the Swiss telecom market and a favorable regulatory environment. In 2024, Swisscom acquired Vodafone Italia in a deal worth EUR 8 billion.
75GF Score

Get the complete analysis for FRA:SWJ

5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€670.00
Price
€754.98
GF Value