PJSC Rostelecom (ROSYY)
For informational purposes only. Not financial advice. Analysis by Sedat Aydin, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
PJSC Rostelecom (ROSYY) with AI Score 44/100 (Weak). PJSC Rostelecom is a Russian telecommunications company providing digital services and solutions. Market cap: 0, Sector: Communication services.
Last analyzed: Mar 18, 2026PJSC Rostelecom (ROSYY) Media & Communications Profile
PJSC Rostelecom, a Russian telecommunications giant, delivers diverse digital services, including Pay TV, cloud gaming, and cybersecurity solutions. With a 10.36% dividend yield and a P/E ratio of 17.55, Rostelecom navigates the evolving Russian digital landscape, focusing on smart home ecosystems and government solutions.
Investment Thesis
Rostelecom presents a mixed investment case. The company's high dividend yield of 10.36% may attract income-seeking investors. Rostelecom's involvement in key sectors like cybersecurity and cloud services aligns with the growing demand for digital infrastructure in Russia. However, the company's relatively low profit margin of 1.3% and the risks associated with operating in the Russian market need consideration. Upcoming catalysts include expansion of its cloud gaming service and smart home ecosystem. Potential risks involve regulatory changes and increased competition from both domestic and international players.
Based on FMP financials and quantitative analysis
Key Highlights
- Market capitalization of $0.54 billion, reflecting its position as a major player in the Russian telecommunications market.
- P/E ratio of 17.55, indicating the price investors are willing to pay for each dollar of Rostelecom's earnings.
- Profit margin of 1.3%, which is relatively low compared to global peers, suggesting potential areas for operational improvement.
- Gross margin of 33.8%, reflecting the efficiency of Rostelecom in converting revenue into gross profit.
- Dividend yield of 10.36%, offering a substantial income stream to investors, but also indicating potential concerns about future growth prospects.
Competitors & Peers
Strengths
- Diversified portfolio of digital services.
- Extensive infrastructure network across Russia.
- Strong relationships with government entities.
- Established brand recognition in the Russian market.
Weaknesses
- Relatively low profit margin.
- Dependence on the Russian market.
- Exposure to regulatory risks.
- Limited international presence.
Catalysts
- Ongoing: Expansion of Rostelecom Key ecosystem to include more smart home solutions.
- Upcoming: Launch of new cybersecurity services for businesses.
- Ongoing: Development of 5G infrastructure in key Russian cities.
- Upcoming: Government initiatives to promote digital transformation.
- Ongoing: Increasing demand for cloud-based services in Russia.
Risks
- Potential: Increased competition from domestic and international telecommunications companies.
- Ongoing: Regulatory changes affecting the telecommunications industry in Russia.
- Potential: Economic instability in Russia impacting consumer spending and business investment.
- Ongoing: Cybersecurity threats and data breaches compromising customer data.
- Potential: Currency fluctuations affecting the value of the ADR.
Growth Opportunities
- Expansion of Cloud Gaming Services: Rostelecom's NVIDIA cloud gaming service presents a significant growth opportunity. As the gaming market expands, particularly in emerging markets like Russia, the demand for cloud-based gaming solutions is expected to rise. By investing in infrastructure and partnerships, Rostelecom can capture a larger share of this market. The global cloud gaming market is projected to reach $3.2 billion by 2028.
- Development of Smart Home Ecosystem: The Rostelecom Key ecosystem, offering smart intercom, gate, and meter solutions, is poised for growth. As urbanization increases and consumers seek greater convenience and security, the demand for smart home solutions will grow. Rostelecom can expand its offerings and partnerships to solidify its position in this market. The global smart home market is projected to reach $151.4 billion by 2028.
- Cybersecurity Solutions for Businesses and Government: With increasing cyber threats, Rostelecom's cybersecurity services offer a crucial growth avenue. Businesses and government entities are investing heavily in cybersecurity solutions to protect their data and infrastructure. Rostelecom can leverage its expertise and partnerships to provide comprehensive cybersecurity services. The global cybersecurity market is projected to reach $345.4 billion by 2026.
- Data Center and Cloud-Based Services: Rostelecom's data center and cloud-based services are essential for businesses transitioning to digital operations. As companies increasingly rely on cloud infrastructure, the demand for data center services will grow. Rostelecom can expand its data center capacity and cloud offerings to meet this demand. The global data center market is projected to reach $326.8 billion by 2027.
- Solutions for Electronic Government: Rostelecom's solutions for electronic government provide a stable and growing revenue stream. Governments are increasingly investing in digital infrastructure to improve efficiency and citizen services. Rostelecom can leverage its expertise and relationships to secure government contracts and expand its offerings. The global e-governance market is projected to reach $48.4 billion by 2027.
Opportunities
- Expansion of cloud gaming services.
- Development of smart home ecosystem.
- Growth in cybersecurity solutions.
- Increased demand for data center and cloud-based services.
Threats
- Increased competition from domestic and international players.
- Regulatory changes affecting the telecommunications industry.
- Economic instability in Russia.
- Cybersecurity threats and data breaches.
Competitive Advantages
- Extensive infrastructure network across Russia.
- Strong relationships with government entities.
- Diversified portfolio of digital services.
- Established brand recognition in the Russian market.
- High switching costs for customers using integrated solutions.
About ROSYY
Public Joint Stock Company Rostelecom, incorporated in 1993 and headquartered in Moscow, is a major provider of digital services and solutions in Russia. The company's offerings span a wide array of sectors, catering to both residential and corporate clients. Rostelecom's services include Rostelecom Key, an ecosystem designed for households, featuring smart intercom, gate, and meter solutions, along with an integrated video surveillance platform. Its Pay TV and Wink digital video services provide entertainment options, complemented by smart home solutions that enhance convenience and security. Rostelecom also provides antivirus solutions and a Wi-Fi 2.0 platform, along with corporate TV services and virtual PBX. The company offers toll-free 8-800 calling, Game-RT-X routers, and IT solutions for municipal solid waste management. Its video surveillance services, VDI/VDC, and cybersecurity offerings cater to the needs of businesses and government entities. Further, Rostelecom provides NVIDIA cloud gaming service and Kapsula smart speaker. The company is involved in submarine cable projects, R&D, maintenance, engineering design, data and data storage, and telecommunication and IT consulting. It also engages in equipment leasing, communication equipment manufacturing, retail, real estate, and venture and pension fund activities. Rostelecom provides solutions for electronic government, cybersecurity, data center and cloud-based services, biometrics, healthcare, education, house maintenance, and utility services.
What They Do
- Provides Rostelecom Key, an ecosystem of services for households.
- Offers Pay TV and Wink digital video services.
- Delivers antivirus solutions and a Wi-Fi 2.0 platform.
- Provides corporate TV and virtual PBX services.
- Offers IT solutions for municipal solid waste management.
- Provides video surveillance services and VDI/VDC.
- Offers NVIDIA cloud gaming service and Kapsula smart speaker.
- Provides solutions for electronic government, cybersecurity, and data center services.
Business Model
- Subscription-based revenue from Pay TV and digital video services.
- Sales of hardware such as routers and smart speakers.
- Service fees for cybersecurity, cloud, and data center solutions.
- Government contracts for electronic government solutions.
- Leasing of equipment and communication infrastructure.
Industry Context
Rostelecom operates in the Russian telecommunications market, which is characterized by increasing demand for digital services and infrastructure. The market is competitive, with both domestic and international players vying for market share. Rostelecom's focus on cloud services, cybersecurity, and smart home solutions aligns with current market trends. The Russian telecommunications market is expected to grow, driven by increasing internet penetration and the adoption of digital technologies across various sectors.
Key Customers
- Households seeking digital entertainment and smart home solutions.
- Businesses requiring cybersecurity, cloud, and data center services.
- Government entities needing electronic government solutions.
- Municipalities requiring IT solutions for waste management.
- Other telecommunication companies utilizing Rostelecom's infrastructure.
Financials
Chart & Info
PJSC Rostelecom (ROSYY) stock price: Price data unavailable
Latest News
No recent news available for ROSYY.
Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for ROSYY.
Price Targets
Wall Street price target analysis for ROSYY.
MoonshotScore
What does this score mean?
The MoonshotScore rates ROSYY's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Leadership: Mikhail Eduardovich Oseevsky
CEO
Mikhail Eduardovich Oseevsky is the CEO of PJSC Rostelecom. His career includes significant experience in the Russian government and financial sectors. He has held various leadership positions, including serving as the Vice-Governor of St. Petersburg and Deputy Minister of Economic Development and Trade of the Russian Federation. Oseevsky graduated from the Leningrad Institute of Finance and Economics.
Track Record: Under Oseevsky's leadership, Rostelecom has focused on expanding its digital services and infrastructure. Key milestones include the development of the Rostelecom Key ecosystem and the launch of the NVIDIA cloud gaming service. He has also overseen the company's efforts to provide solutions for electronic government and cybersecurity.
PJSC Rostelecom ADR Information Unsponsored
An American Depositary Receipt (ADR) is a certificate representing shares of a foreign company trading on U.S. stock exchanges. ROSYY is an ADR that allows U.S. investors to invest in PJSC Rostelecom without directly dealing with the Russian stock market. Each ROSYY ADR represents a certain number of PJSC Rostelecom shares.
- Home Market Ticker: Moscow Exchange (MOEX), Russia
- ADR Level: 1
- ADR Ratio: 1:1
- Home Market Ticker: ROSY
ROSYY OTC Market Information
The OTC Other tier represents the lowest tier of the over-the-counter (OTC) market. Companies in this tier often have limited financial disclosure, may not meet minimum listing requirements, and can be subject to higher risks compared to companies listed on major exchanges like the NYSE or NASDAQ. Investing in OTC Other stocks requires careful due diligence.
- OTC Tier: OTC Other
- Disclosure Status: Unknown
- Limited financial disclosure.
- Potential for illiquidity.
- Higher price volatility.
- Increased risk of fraud or manipulation.
- Regulatory uncertainty.
- Verify the availability of financial reports.
- Assess the company's management team and track record.
- Research the company's business model and competitive landscape.
- Understand the regulatory environment in which the company operates.
- Evaluate the company's financial health and solvency.
- Monitor news and developments related to the company.
- Consult with a financial advisor.
- Established presence in the Russian telecommunications market.
- Partnerships with reputable technology companies like NVIDIA.
- Contracts with government entities.
- History of dividend payments.
- CEO with experience in government and finance.
ROSYY Communication Services Stock FAQ
What does PJSC Rostelecom do?
PJSC Rostelecom is a major telecommunications company in Russia, offering a wide range of digital services and solutions. These include Pay TV, Wink digital video services, antivirus solutions, Wi-Fi platforms, cloud gaming through NVIDIA, and smart home solutions like Rostelecom Key. The company also provides IT solutions for businesses and government entities, including cybersecurity, data center services, and electronic government solutions. Rostelecom's business model focuses on providing integrated digital services to households, businesses, and government organizations.
What do analysts say about ROSYY stock?
Analyst coverage of ROSYY is limited due to its OTC listing and Russian market exposure. Key valuation metrics include the P/E ratio of 17.55 and a high dividend yield of 10.36%. Growth considerations involve the expansion of digital services, particularly in cloud gaming and cybersecurity. However, analysts also note the risks associated with operating in the Russian market, including regulatory uncertainty and economic instability. Analyst consensus is Unknown.
What are the main risks for ROSYY?
The main risks for ROSYY include increased competition from domestic and international telecommunications companies, regulatory changes affecting the telecommunications industry in Russia, and economic instability in Russia impacting consumer spending and business investment. Additionally, cybersecurity threats and data breaches pose a risk to customer data and the company's reputation. Currency fluctuations can also affect the value of the ADR for U.S. investors.
What are the key factors to evaluate for ROSYY?
PJSC Rostelecom (ROSYY) currently holds an AI score of 44/100, indicating low score. Key strength: Diversified portfolio of digital services.. Primary risk to monitor: Potential: Increased competition from domestic and international telecommunications companies.. This is not financial advice.
How frequently does ROSYY data refresh on this page?
ROSYY prices update in real time during U.S. market hours (9:30 AM-4:00 PM ET, weekdays). Fundamentals refresh after quarterly or annual filings. Analyst ratings and AI insights update daily. News is aggregated continuously from financial sources.
What has driven ROSYY's recent stock price performance?
Recent price movement in PJSC Rostelecom (ROSYY) can be influenced by earnings results, analyst revisions, sector rotation, and broader market sentiment. Notable catalyst: Diversified portfolio of digital services.. Check the News and Technical Analysis tabs for the latest drivers. Past performance does not predict future results.
Should investors consider ROSYY overvalued or undervalued right now?
Determining whether PJSC Rostelecom (ROSYY) is overvalued or undervalued requires examining multiple metrics. Compare valuation ratios (P/E, P/S, EV/EBITDA) against sector peers for a comprehensive view.
What research should beginners do before buying ROSYY?
Before investing in PJSC Rostelecom (ROSYY), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Limited analyst coverage due to OTC listing.
- Financial data based on available information.
- Economic and political risks associated with the Russian market.