SK Telecom Co., Ltd. (SKM)
Communication Services · NYQ · US
Fundamentals
Valuation and ratings
SK Telecom Co., Ltd. trades at USD31.76, which is 27% above the USD23.13 our discounted cash flow model puts on the business. On that measure it screens as expensive, which is not the same as saying it will fall.
Our moat model scores it 45 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 53.2 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About SK Telecom Co., Ltd.
SK Telecom Co., Ltd. engages in the provision of wireless telecommunication services in South Korea. The company operates through three segments: Cellular Services, Fixed-Line Telecommunications Services, and Other Businesses. The Cellular Services segment offers wireless voice and data transmission, cellular interconnection, Internet of Things solutions and enterprise communications, cloud, subscription, advertising and curated shopping services; as well as sells wireless devices. Its Fixed-Line Telecommunications Services segment provides fixed-line telephone, broadband Internet services; media platform services, such as internet protocol TV and cable TV; and business communications and related infrastructure services. The Other Businesses segment offers T-commerce services. In addition, it provides call center management, base station maintenance, information gathering and consulting, database and internet website, and broadcasting programs; international telecommunication and mobile virtual network operator services; and operates information and communications facilities; as well as engages in telecommunications and communication device retail; and software development and supply business. SK Telecom Co., Ltd. was incorporated in 1984 and is based in Seoul, South Korea.
SKM passes 3 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Smart money ownership
8 of the funds we track reported a position in their latest SEC 13F filing. Largest first:
- Israel Englander, MILLENNIUM MANAGEMENT LLC$39.67M · 0.0% of book
- Two Sigma, TWO SIGMA INVESTMENTS, LP$25.23M · 0.0% of book
- D. E. Shaw, D. E. Shaw & Co., Inc.$18.30M · 0.0% of book
- Marshall Wace, MARSHALL WACE, LLP$15.06M · 0.0% of book
- Steve Cohen, Point72 Asset Management, L.P.$7.30M · 0.0% of book
A word of warning on reading these figures: a 13F reports the market value of a holding, so a fund that traded nothing at all still appears to have sold when the price fell. We found 102 companies where the standard reading gives the opposite answer. Only the share count is honest.
Common questions
Is SK Telecom Co., Ltd. (SKM) undervalued?
Against our discounted cash flow estimate of USD23.13, SKM at USD31.76 is 27% above fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
Which funds own SKM?
8 of the institutions we track reported a position in SKM in their most recent SEC 13F filing. A 13F is filed up to 45 days after quarter end, so it tells you what a fund held then, not what it holds now.
What is SKM's P/E ratio?
SKM trades at 53.2 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.