Telia’s year was defined by tangible moves, such as the sale of its Finnish cloud and IT services to CGI so it could concentrate on core connectivity. For Telia shareholders, the return over the past year was 39.2%, including dividends. If you were weighing an investment back on 2025-11-04, you had to decide whether country-level 5G, fiber and IoT projects, along with restructuring, would outweigh concerns about legacy telecom decline and rising costs.
If the move has made Telia harder to judge, start where the gap is still open and scan 194 high quality undervalued stocks.
The Two Telia Stories Investors Were Arguing About
The shares cost SEK37.06 at the start of the period, and Telia sat between two very different stories about where Nordic connectivity was heading.
The bullish narrative pointed to a Fair Value of SEK47, a notional destination price if digitalization and 5G convergence improved net margins and free cash flow through a leaner group structure. Supporters focused on efficiency gains, bundled Swedish households, and enterprise 5G projects as potential drivers.
The bearish view anchored on a Fair Value of SEK27, reflecting worries that structural decline in legacy services and rising energy and regulatory expenses could weigh on margins even as the business invested heavily in new networks.
What The Results Changed For The Telia Story
Telia’s Q3 2026 report gave the bullish camp fresh support. Revenue was SEK21,306m and net income reached SEK2,704m, both above Q3 2025, and the net margin moved from 11.7% to 12.7%. Restructuring cuts of about 900 jobs across the region, planned through 2026, pulled the other way and kept the cautious case alive. Overall, the evidence cut both ways.
The hinge assumption here was whether efficiency and focused 5G and IoT spend would outweigh legacy and cost pressure. When you look at another telecom stock, track net margin alongside any headcount or cost program to see if reported profitability actually matches that promise.
What Telia’s Current Price Already Assumes
Telia trades at SEK49.57 today, and the selected Narrative’s Fair Value sits below that level. This signals a more cautious stance on what the recent 39.2% gain already reflects.
The Narrative focuses on whether convergence, efficiency programs and capital-light deals can offset pressure in markets like Norway and lower priced broadband in Sweden. Anyone buying today effectively backs that profit mix improving, so the question is how the highlighted revenue quality risks could challenge that assumption.
"The current valuation implies that Telia Company’s share price already reflects continued service revenue growth, rising EBITDA margins, disciplined CapEx and fully covered dividends, leaving limited room for disappointment if cash flow or earnings delivery softens."
One Narrative has put a figure on that disagreement. → See the Narrative with its lower Fair Value, assumptions and all
Find Your Own Contrarian Opportunity
The story behind this run has already been told. The next one could be taking shape somewhere else. Where could you start looking before it becomes the headline?
- Company 1 - 43% below our estimate - expands a fashion and homewares label through new Asia focused stores and digital projects.
- Company 2 - 45% below our estimate - converts modular building methods and digital planning tools into higher margin Dutch construction projects.
- Company 3 - 26% below our estimate - grows apparel sales through quick payback new boutiques supported by rising digital and mobile engagement.
Those are three of them. See all 195 companies with the balance sheet to back it up →
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