Telkom S.A. SOC Limited (TLKGY) Stock Analysis
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Telkom S.A. SOC Limited (TLKGY) trades at $4.80. Telkom SA SOC Limited is a South African telecommunications company providing integrated communications and IT services. Market cap: $613M, Sector: Communication services.
Price as of Aug 20, 2026 · Last analyzed: Mar 18, 2026Analyst Coverage for TLKGY: TLKGY does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates TLKGY against Communication Services peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
TLKGY: 2/3 scored disciplines lean bullish. Dominant signal: Seth Klarman bullish.
How is this calculated? →Telkom S.A. SOC Limited (TLKGY) Media & Communications Profile
Telkom SA SOC Limited, a South African telecommunications provider, delivers integrated communication and IT solutions across residential, business, and government sectors. With a focus on fixed-line, mobile, and IT services, Telkom navigates a competitive landscape while maintaining a significant market presence in South Africa and expanding internationally.
What Is the Investment Thesis for TLKGY?
Telkom SA SOC Limited presents a mixed investment thesis. The company's low P/E ratio of 7.8 and a dividend yield of 2.71% may attract value investors. A profit margin of 18.0% indicates operational efficiency. Growth catalysts include expansion of IT services and digital solutions. However, the company faces competition in a rapidly evolving telecommunications market. Investors should monitor Telkom's ability to maintain profitability and market share amid technological changes and competitive pressures. Key metrics to watch include revenue growth in IT services, subscriber growth in mobile, and the impact of regulatory changes on profitability.
Based on FMP financials and quantitative analysis
TLKGY Key Highlights
P/E ratio of 7.8 indicates potential undervaluation compared to industry peers.
- Dividend yield of 2.71% provides an income stream for investors.
- Profit margin of 18.0% demonstrates operational efficiency.
- Gross margin of 42.6% reflects a strong ability to manage production costs.
- Beta of 0.63 suggests lower volatility compared to the overall market.
Who Are TLKGY's Competitors?
TLKGY is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| GPOPF Promotora de Informaciones, S.A. | $0.42 | -23.64% | $454M | 52 |
| LMGHF LINK Mobility Group Holding ASA | $2.10 | +0.00% | $593M | 50 |
| MLRYY VK Company Limited | $0.90 | -27.91% | $524M | 41 |
| OOMA Ooma, Inc. | $20.51 | +1.53% | $564M | 72 |
| ATNI ATN International, Inc. | $31.14 | -2.32% | $479M | 89 |
| MBISF Orange Belgium S.A. | $17.93 | +0.00% | $1.21B | 53 |
| ATEX Anterix Inc. | $85.31 | -3.80% | $1.66B | 80 |
| IDT IDT Corporation | $67.36 | +1.78% | $1.68B | 86 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are TLKGY's Key Strengths?
Established market presence in South Africa.
- Diverse range of services.
- Integrated communications and IT solutions.
- Strong brand recognition.
What Are TLKGY's Weaknesses?
Exposure to currency fluctuations.
- Dependence on the South African market.
- Competition from other telecommunications providers.
- Regulatory challenges.
What Could Drive TLKGY Stock Higher?
Expansion of mobile network coverage to underserved areas.
- Development and launch of new IT service offerings.
- Potential partnerships with other technology companies.
- Digital transformation initiatives within the South African government.
- Increasing demand for data and cloud services.
What Are the Key Risks for TLKGY?
Increasing competition from other telecommunications providers.
- Exposure to currency fluctuations.
- Regulatory changes affecting the telecommunications industry.
- Economic slowdown in South Africa.
- Technological advancements rendering existing infrastructure obsolete.
What Are the Growth Opportunities for TLKGY?
- Expansion of IT Services: Telkom has the opportunity to expand its IT services offerings, including cloud computing, unified communications, and security solutions. By leveraging its existing infrastructure and customer base, Telkom can increase its market share in the IT services sector and drive revenue growth.
- Mobile Data Growth: The increasing demand for mobile data in South Africa presents a growth opportunity for Telkom. As smartphone penetration increases and data consumption rises, Telkom can capitalize on this trend by offering competitive data plans and expanding its mobile network coverage. The mobile data market in South Africa is expected to grow at a CAGR of 12% over the next five years, providing a significant revenue opportunity for Telkom.
- Digital Transformation Solutions: Telkom can leverage its expertise in IT and telecommunications to offer digital transformation solutions to businesses and government organizations. As organizations increasingly adopt digital technologies, there is a growing demand for solutions such as cloud migration, data analytics, and cybersecurity. Telkom can position itself as a trusted partner for digital transformation, driving revenue growth and strengthening its relationships with key customers.
- E-commerce Services: Telkom can expand its e-commerce services to capitalize on the growing online retail market in South Africa. By offering a range of e-commerce solutions, including online marketplaces, payment gateways, and logistics services, Telkom can attract small and medium-sized businesses and drive revenue growth. The e-commerce market in South Africa is expected to grow at a CAGR of 15% over the next five years, presenting a significant opportunity for Telkom.
- International Expansion: Telkom can explore opportunities for international expansion, particularly in other African countries. By leveraging its expertise and experience in the South African market, Telkom can expand its operations to other countries with similar market dynamics and growth potential. International expansion can provide Telkom with access to new markets, customers, and revenue streams, diversifying its business and reducing its reliance on the South African market.
What Are TLKGY's Competitive Advantages?
- Established infrastructure in South Africa.
- Strong brand recognition in the South African market.
- Diverse range of services, including fixed-line, mobile, and IT solutions.
- Long-standing relationships with government and corporate clients.
What Does TLKGY Do?
Founded in 1991 and headquartered in Centurion, South Africa, Telkom SA SOC Limited has evolved into a major integrated communications and IT service provider. Originally established as a state-owned entity, Telkom has transitioned to offer a wide array of services including fixed-line and mobile telecommunications, broadband, and IT solutions. The company serves a diverse customer base, encompassing residential, business, government, wholesale, and corporate clients both in South Africa and internationally. Telkom's offerings include broadband, optical and carrier services, business-to-business connectivity, and a range of data and voice solutions. Additionally, Telkom provides cloud computing, unified communications, security, big data analytics, and e-commerce services. The company's strategic focus includes expanding its IT services and digital solutions to capitalize on the growing demand for cloud-based and digital transformation services.
What Products and Services Does TLKGY Offer?
- Provides fixed-line telecommunication services.
- Offers mobile telecommunication services.
- Provides broadband services to residential and business customers.
- Delivers IT solutions, including cloud computing and security services.
- Offers data and voice solutions to businesses.
- Provides e-commerce services.
- Offers unified communications and collaboration solutions.
How Does TLKGY Make Money?
- Generates revenue from fixed-line and mobile subscriptions.
- Earns revenue from data and voice services.
- Provides IT solutions and services to businesses and government organizations.
- Generates revenue from e-commerce transactions.
What Industry Does TLKGY Operate In?
Telkom operates in the telecommunications services industry, which is characterized by rapid technological advancements and increasing competition. The industry is undergoing a shift towards mobile and data services, with a growing demand for cloud computing and digital solutions. Telkom competes with other major players in the South African market, as well as international telecommunications companies. The company's success depends on its ability to adapt to changing market trends, invest in new technologies, and maintain a competitive pricing strategy. The global telecommunications services market is projected to reach $1.7 trillion by 2026, driven by increasing demand for data and mobile services.
Who Are TLKGY's Key Customers?
- Residential customers seeking fixed-line and mobile services.
- Businesses requiring telecommunications and IT solutions.
- Government organizations needing communication and technology services.
- Wholesale customers utilizing Telkom's network infrastructure.
- Corporate clients with complex communication and IT requirements.
Financial Health
Telkom S.A. SOC Limited's Piotroski F-Score is 8/9, a 9-point checklist of profitability, leverage and efficiency — signaling solid underlying fundamentals. Its Altman Z-Score of 2.54 places it in the grey zone, a middle ground that warrants monitoring.
Quarterly Financial Performance: Telkom S.A. SOC Limited
Revenue for Telkom S.A. SOC Limited came in at $22.50B during Q1 2025, a 3.4% improvement versus the preceding quarter. The company recorded net income of $6.43B, with diluted EPS of $12.91. Revenue has increased across the last three reported quarters, suggesting sustained momentum for this small-cap Communication Services company.
TLKGY Valuation & Market Position
With a $613M market cap, Telkom S.A. SOC Limited sits in the small-cap segment of the market.
Key Financial Metrics
Return on equity for Telkom S.A. SOC Limited stands at 10.2%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 5.5%, showing how much profit it generates from its asset base. TLKGY trades at a trailing price-to-earnings ratio of 7.84, below the Communication Services sector average of ~18x. Its free cash flow yield is 17.6%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.09 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 13.0%, the inverse of the P/E and a quick read on earnings relative to price.
Company Profile
Telkom S.A. SOC Limited operates in the Telecommunications Services industry within the Communication Services sector. It is headquartered in Centurion, ZA. The company is led by CEO Serame Taukobong. TLKGY has traded publicly since 2003.
TLKGY Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2024
Bull Case vs Bear Case
Bull Case
- Established market presence in South Africa.
- Diverse range of services.
- Integrated communications and IT solutions.
- Strong brand recognition.
Bear Case
- Exposure to currency fluctuations.
- Dependence on the South African market.
- Competition from other telecommunications providers.
- Regulatory challenges.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · August 2026
Recent Quarterly Results
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2025 | $22.50B | $6.43B | $12.91 |
| Q3 2024 | $21.76B | $1.07B | $1.71 |
| Q1 2024 | $21.06B | $904M | $1.82 |
Based on FMP financials and quantitative analysis
TLKGY Latest News
No recent news available for TLKGY.
TLKGY Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for TLKGY.
Price Targets
Wall Street price target analysis for TLKGY.
TLKGY MoonshotScore
What does this score mean?
The MoonshotScore rates TLKGY 0-100 on quantitative fundamentals — growth, financial health, valuation, momentum, and risk.
Leadership: Serame Taukobong
CEO
Serame Taukobong is the CEO of Telkom SA SOC Limited. He has extensive experience in the telecommunications industry, having held various leadership positions at MTN Group prior to joining Telkom. His background includes expertise in mobile network operations, sales, marketing, and business strategy. He has a proven track record of driving growth and innovation in the telecommunications sector. His educational background includes relevant degrees and certifications in business management and telecommunications.
Track Record: Since becoming CEO, Serame Taukobong has focused on driving Telkom's digital transformation strategy and expanding its IT services offerings. He has overseen the launch of new products and services, and has worked to improve customer experience and operational efficiency. Under his leadership, Telkom has made progress in expanding its mobile network coverage and increasing its market share in key segments.
Telkom S.A. SOC Limited ADR Information Unsponsored
An American Depositary Receipt (ADR) is a certificate representing shares of a foreign company trading on U.S. stock exchanges. TLKGY is an ADR, meaning it allows U.S. investors to invest in Telkom SA SOC Limited without the complexities of cross-border transactions. Each TLKGY ADR represents a specific number of Telkom's shares traded on its home market.
- Home Market Ticker: Johannesburg Stock Exchange (JSE), South Africa
- ADR Level: 1
- ADR Ratio: 1:1
- Home Market Ticker: TLKG
TLKGY OTC Market Information
The OTC Other tier represents the lowest tier of the over-the-counter (OTC) market. Companies trading on this tier often have limited financial disclosure and may not meet the listing requirements of major exchanges like the NYSE or NASDAQ. Investing in companies on the OTC Other tier carries higher risks due to the lack of regulatory oversight and transparency compared to listed companies.
- OTC Tier: OTC Other
- Limited financial disclosure.
- Low trading volume and liquidity.
- Potential for price volatility.
- Lack of regulatory oversight.
- Higher risk of fraud or manipulation.
- Verify the company's registration and legal status.
- Obtain and review available financial reports.
- Assess the company's business model and competitive position.
- Evaluate the company's management team and track record.
- Understand the risks associated with investing in OTC stocks.
- Consult with a financial advisor.
- Check for any regulatory actions or legal disputes.
- Established history of operations.
- Presence of a recognized management team.
- Availability of some financial information.
- Positive news coverage or industry recognition.
- Listing on a foreign stock exchange (JSE).
What Investors Ask About Telkom S.A. SOC Limited (TLKGY) — Communication Services
What does Telkom S.A. SOC Limited do?
Telkom S.A. SOC Limited is an integrated communications and IT service provider in South Africa. The company offers a range of services including fixed-line and mobile telecommunications, broadband, and IT solutions to residential, business, government, wholesale, and corporate customers. Telkom's business model focuses on providing connectivity and digital services to a diverse customer base, leveraging its infrastructure and expertise in the telecommunications and IT sectors.
What do analysts say about TLKGY stock?
Analyst coverage of TLKGY stock may be limited due to its OTC listing and ADR Level 1 status. However, analysts generally focus on Telkom's ability to maintain profitability in a competitive market, its growth potential in IT services, and its exposure to currency fluctuations. Key valuation metrics include P/E ratio, dividend yield, and revenue growth. Investors should consult multiple sources and conduct their own due diligence before making investment decisions.
What are the main risks for TLKGY?
The main risks for TLKGY include increasing competition in the telecommunications market, exposure to currency fluctuations, regulatory changes, and the economic slowdown in South Africa. Telkom also faces the risk of technological advancements rendering its existing infrastructure obsolete. These risks could negatively impact Telkom's financial performance and market valuation. Investors should carefully consider these risks before investing in TLKGY.
What are the key factors to evaluate for TLKGY?
Evaluate TLKGY on fundamentals, analyst consensus, and risk factors. P/E: 7.8x vs the S&P 500's ~20-25x. Telkom SA SOC Limited presents a mixed investment thesis. Not financial advice.
How frequently does TLKGY data refresh on this page?
TLKGY's price was last updated on Aug 20, 2026 and refreshes on page view during U.S. market hours — it is not a real-time exchange feed. Fundamentals update after quarterly filings; the MoonshotScore recalculates nightly; news aggregates continuously.
What has driven TLKGY's recent stock price performance?
Telkom S.A. SOC Limited (TLKGY) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Established market presence in South Africa. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider TLKGY overvalued or undervalued right now?
Telkom S.A. SOC Limited (TLKGY) trades at 7.8x earnings. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
How do I research TLKGY before investing?
Before investing in Telkom S.A. SOC Limited (TLKGY), 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) analyst consensus ratings and 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.
- Information is based on available data and may be subject to change.
- OTC market investments carry higher risks than exchange-listed stocks.