| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 88 | 14.9x | 17.8x | Top tier | |
Growth | 52 | 4.6% | 7.1% | Around median | |
Quality | 80 | 10.7% | 4.5% | Top tier | |
Safety | 76 | 0.4x | 2.6x | Top tier | |
Capital Return | 62 | 1.11% | 2.12% | Around median | |
Momentum | 24 | -3.5% | 2.9% | Bottom tier | |
Sentiment | 77 | 4 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Telefônica Brasil operates its Vivo brand in Brazil, generating revenue from mobile, fiber-optic, and enterprise connectivity services, alongside handsets, electronics, and digital services. In fiscal Q2 2026, postpaid lines totaled 52.4 million, while fiber connections reached 8.2 million within a footprint covering 32 million homes. Its model has also expanded beyond traditional connectivity into cloud services, cybersecurity, the Internet of Things, digital entertainment, health, financial services, and device sales.
In fiscal Q2 2026, the company recorded revenue of $15.8 billion, gross profit of $12.8 billion, net income of $1.6 billion, and earnings per share of $0.98, equivalent to a gross margin of approximately 81.0% and a net income margin of approximately 10.1% based on the provided financial statements. Total revenue increased 7.6% year over year, mobile service revenue 6.6%, fixed revenue 6.0%, and FTTH revenue 10.7%. EBITDA also grew 10.9%, and its margin increased 1.3 percentage points to 41.8%, while recurring revenue accounted for 84.8% of service revenue.
The business mix in fiscal Q2 2026 showed balanced growth across connectivity and new businesses: handset and electronics sales increased 27.8%, while consumer new-business revenue grew 33.6% and came to represent 3.4% of total revenue. On a trailing-12-month basis, B2C revenue totaled approximately 46.6 billion Brazilian reais, growing 6.8%, while B2B revenue totaled approximately 13.9 billion Brazilian reais, growing 9.2%, driven by 14.9% growth in enterprise digital businesses.
The analyst consensus on VIV is Neutral, with an average target of $14.83 and a target range of $13.90 to $16.00; the average falls within the 52-week range of $11.18–$17.26 and is approximately 14% below its high. No price-to-earnings ratio is available in the data, so the stock's valuation here is based on balancing revenue growth, a higher EBITDA margin, and free cash flow against competition and asset-sale execution risks, rather than a direct comparison of earnings with price.
Figures in the text are as of 2026-08-29; the live price is shown at the top of the page.
Total revenue increased 7.6% year over year, driven by 6.6% growth in mobile service revenue, 6.0% growth in fixed revenue, and 10.7% growth in FTTH revenue. Handset and electronics sales increased 27.8%, the highest annual growth rate for this business in five years. Consumer new businesses also grew 33.6%, while enterprise digital businesses increased 14.9%.
The postpaid base reached 52.4 million lines in fiscal Q2 2026, with net additions growing 14.1% year over year and churn remaining stable at 1%. Approximately one-third of the mobile base, excluding machine-to-machine connections and dongles, now uses 5G daily. In contrast, management described certain markets and segments as more intensely competitive and noted that prepaid revenue remained slightly negative despite improving from the previous quarter.
The company ended fiscal Q2 2026 with 8.2 million fiber connections, up 11.3% year over year, within a footprint reaching 32 million homes. Net additions totaled 213 thousand connections, while penetration improved to 25.6% and churn declined to 1.4%. Vivo Total reached 3.8 million customers, growing 29.4%, in addition to 1.5 million customers using other convergent offerings.
Automated analysis for informational purposes only — not investment advice.
In fiscal Q2 2026, consumer electronics revenue grew 63.8%, health and wellness 58.2%, video and music services 25.7%, and financial services 12.8%. Consumer new businesses represent 3.4% of total revenue, while management said that fully non-connectivity services and products account for 19% of revenue when digital services and electronics are combined. Vivo also added Gemini AI and Google Cloud Storage benefits for eligible customers and expanded its offerings through YouTube Premium.
Operating cash flow before leases totaled 8.2 billion Brazilian reais in the first half of fiscal 2026, up 11.3% year over year, while free cash flow reached 4.9 billion reais. The company maintained net debt to EBITDA at 0.4 times, reflecting limited financial leverage. It distributed 7 billion Brazilian reais to shareholders under its fiscal 2026 guidance and announced an additional 2.2 billion reais to be paid by early 2027, with a commitment to distribute at least 100% of fiscal 2026 net income.
Operating risks center on intensifying competition in certain mobile segments, slightly weak prepaid revenue, and the possibility that the device mix could pressure costs after the cost of services and goods increased 10.2% in fiscal Q2 2026. Achieving the copper and real estate sales target also still requires approximately 3.85 billion Brazilian reais after completing only about 650 million of the 4.5 billion target. On valuation, the analyst consensus remains Neutral, with an average target of $14.83 and a range of $13.90–$16.00, while the data do not include an available price-to-earnings ratio for comparison.
