Telecom Italia SpAMIL:TIT +0.24%45 Altman Z-Score is 0.91 as of Jun. 24, 2026, which is 1% below its 10-year median of 0.92. GuruFocus rates MIL:TIT with a GF Score™ of 45/100 and a GF Value™ of €2.36 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 367 Telecommunication Services companies, Telecom Italia SpA ranks worse than 75.48% on this metric.
The Altman Z-Score is a model designed to predict the likelihood of a company going bankrupt within the next two years. Created by American finance professor Edward Altman in 1968, the model is specifically designed for publicly traded manufacturing companies with assets greater than $1 million.
Warning Sign:
Altman Z-score of 0.91 is in distress zone. This implies bankruptcy possibility in the next two years.
Telecom Italia SpA has a Altman Z-Score of 0.91, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.
The zones of discrimination were as such:
When Altman Z-Score <= 1.8, it is in Distress Zones.
When Altman Z-Score >= 3, it is in Safe Zones.
When Altman Z-Score is between 1.8 and 3, it is in Grey Zones.
The historical rank and industry rank for Telecom Italia SpA's Altman Z-Score or its related term are showing as below:
MIL:TIT'
s Altman Z-Score Range Over the Past 10 Years
Min: 0.22 Med: 0.92 Max: 1.62
Current: 0.91
During the past 13 years, Telecom Italia SpA's highest Altman Z-Score was 1.62. The lowest was 0.22. And the median was 0.92.
Telecom Italia SpA (MIL:TIT) Altman Z-Score Explanation
X1: The Working Capital/Total Assets (WC/TA) ratio is a measure of the net liquid assets of the firm relative to the total capitalization. Working capital is defined as the difference between current assets and current liabilities. Ordinarily, a firm experiencing consistent operating losses will have shrinking current assets in relation to total assets. Altman found this one proved to be the most valuable liquidity ratio comparing with the current ratio and the quick ratio. This is however the least significant of the five factors.
X2: Retained Earnings/Total Assets: the RE/TA ratio measures the leverage of a firm. Retained earnings is the account which reports the total amount of reinvested earnings and/or losses of a firm over its entire life. Those firms with high RE, relative to TA, have financed their assets through retention of profits and have not utilized as much debt.
X3, Earnings Before Interest and Taxes/Total Assets (EBIT/TA): This ratio is a measure of the true productivity of the firm's assets, independent of any tax or leverage factors. Since a firm's ultimate existence is based on the earning power of its assets, this ratio appears to be particularly appropriate for studies dealing with corporate failure. This ratio continually outperforms other profitability measures, including cash flow.
X4, Market Value of Equity/Book Value of Total Liabilities (MVE/TL): The measure shows how much the firm's assets can decline in value (measured by market value of equity plus debt) before the liabilities exceed the assets and the firm becomes insolvent.
X5, Revenue/Total Assets (S/TA): The capital-turnover ratio is a standard financial ratio illustrating the sales generating ability of the firm's assets.
Altman Z-Score does not apply to financial companies.
Telecom Italia SpA Altman Z-Score Related Terms
Telecom Italia SpA Altman Z-Score Historical Data
* Premium members only.
The historical data trend for Telecom Italia SpA's Altman Z-Score 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.
For the Telecom Services subindustry, Telecom Italia SpA's Altman Z-Score, along with its competitors' market caps and Altman Z-Score 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 Italia SpA Altman Z-Score vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Telecom Italia SpA's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Telecom Italia SpA's Altman Z-Score falls into.
Altman Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.
Telecom Italia SpA's Altman Z-Score for today is calculated with this formula:
Z
=
1.2
*
X1
+
1.4
*
X2
+
3.3
*
X3
+
0.6
*
X4
+
1.0
*
X5
=
1.2
*
-0.0064
+
1.4
*
0
+
3.3
*
0.0394
+
0.6
*
0.7049
+
1.0
*
0.3678
=
0.91
* 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. GuruFocus does not calculate Altman Z-Score when X4 or X5 value is 0.
Telecom Italia SpA (MIL:TIT) has a Altman Z-Score of 0.91 as of Jun. 24, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Telecom Italia SpA and its competitors. This is near median its historical median of 0.92. Over the past decade, Telecom Italia SpA's Altman Z-Score has ranged from 0.22 to 1.62. According to the industry distribution chart, Telecom Italia SpA ranks #277 out of 367 companies in the Telecommunication Services industry, placing it in the top 75.5%.
Is Telecom Italia SpA's Altman Z-Score too high?
Telecom Italia SpA's current Altman Z-Score of 0.91 is near median its 10-year median of 0.92. Over the past 10 years, this metric has ranged from a low of 0.22 to a high of 1.62. The Telecommunication Services industry median Altman Z-Score is 1.72. Telecom Italia SpA's value of 0.91 is 47.1% below this industry median. Based on the distribution chart, Telecom Italia SpA ranks #277 out of 367 companies in the Telecommunication Services industry, which is in the bottom quartile relative to peers. Overall, Telecom Italia SpA has a GF Score™ of 45/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Telecom Italia SpA's Altman Z-Score compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Telecom Italia SpA ranks #277 out of 367 companies for Altman Z-Score. This places Telecom Italia SpA in the lower half of its industry. The industry median Altman Z-Score is 1.72. Telecom Italia SpA's value of 0.91 is 47.1% below this benchmark. Historically, Telecom Italia SpA's own Altman Z-Score has ranged from 0.22 to 1.62 over the past decade. While the company's 10-year median is 0.92 vs. the industry median of 1.72, Telecom Italia SpA 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 Altman Z-Score for a Telecommunication Services company?
The median Altman Z-Score among Telecommunication Services companies is 1.72, based on 367 companies in the industry. Companies in the top quartile (top 25%) have a Altman Z-Score significantly above this median, while those in the bottom quartile fall well below. However, Altman Z-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Telecom Italia SpA's current Altman Z-Score of 0.91 is 47.1% 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 Altman Z-Score mean?
A high Altman Z-Score can signal that a stock is expensive relative to its fundamentals. The Altman Z-score measures a company's bankruptcy risk. View historical data on Telecom Italia SpA and its competitors. For the Telecommunication Services industry, the median Altman Z-Score is 1.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Telecom Italia SpA's current Altman Z-Score is 0.91, which is near median its own 10-year median of 0.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Telecom Italia SpA stock overvalued right now?
Based on GuruFocus' analysis, Telecom Italia SpA (MIL:TIT) is currently considered Significantly Overvalued. The stock's GF Value™ is €2.36, compared to a current price of €7.80 — trading 230.4% above its estimated fair value. The current Altman Z-Score is 0.91, which is near median its 10-year median of 0.92 and 47.1% below the Telecommunication Services industry median of 1.72. Telecom Italia SpA's overall GF Score™ is 45/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Altman Z-Score calculated?
Altman Z-Score is calculated from a company's financial statements. For Telecom Italia SpA (MIL:TIT), the current Altman Z-Score is 0.91 as of Jun. 24, 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 Italia SpA (MIL:TIT) Overvalued in 2026?
Based on GuruFocus' analysis, Telecom Italia SpA stock appears to be overvalued.
The current stock price of €7.80 is trading 230.4% above its estimated GF Value™ of €2.36.
GuruFocus considers Telecom Italia SpA to be Significantly Overvalued.
Key valuation signals for MIL:TIT:
Altman Z-Score: 0.91 (near median its 10-year median of 0.92)
GF Value™: €2.36 vs. price of €7.80 (230.4% above fair value)
Industry Position: 47.1% below the Telecommunication Services median (#277 of 367)
No single metric tells the full story. See the MIL:TIT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Telecom Italia is the incumbent telecommunications operator in Italy, with 23% share in the Italian mobile market and 35% share in broadband. In the mobile market, it competes with Vodafone, WindTre, and Iliad. After the sale of its fixed network to KKR for EUR 18.8 billion in 2024, TIM has become a pure service provider with no network ownership. TIM Brazil is significantly smaller than its peers, Telefonica and America Movil, with 25% wireless market share.
45GF Score
Get the complete analysis for MIL:TIT
Altman Z-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
MIL:TIT has been successfully added to your 
