Stock Analysis: Tele2 Poised To Pop Maybe 26% In One Year

Tele2 offers a projected 26% annual , fueled by a 5.2% dividend yield and consistent share price growth.

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The company was founded in 1993 and is headquartered in Kista, Sweden.

Tele2 AB (TLTZY) provides mobile communication services. It operates through nine segments: Sweden Consumer, Sweden Business, Lithuania, Latvia, Estonia, Croatia, Germany, Internet of Things, and Other.

Three key data points gaugeTELNY (or any dividend paying entity):

(1) Price 

(2) Dividends

(3) Returns

Those three keys also indicate if any company has made, is making, and will make money.

TLTZY Price

Tele2’s single share price rose $0.235 (or about 3%) from $8.235 to $8.47 in the past year, per Wednesday’s opening market report.

No analysts cover the stock. However, the average of the past three year price progression shows an average annual gain of about $1.72. Which I’ll use as an annual return, after I discuss TLTZY dividends.  

TLTZY Dividends

Tele2 AB has paid variable Semi-Annual dividends since May 2011. The most recent Semi-Annual dividend of $0.2755 was paid June 15 (to shareholders of record May 20th, yielding 5.223% annually (per Wednesday’s opening market report.)

TLTZY Returns

Putting it all together, as of August 12th, a possible gross gain of $2.27 was projected. The $1.72 per share average annual gain was added to the $0.55 forward looking annual dividend to make that $2.27 gross gain.

A little over $1000 invested in TLTZY at Wednesday’s $8.47 opening share price would buy 118 shares which multiply the $2.27 gross gain to $268.00 for the coming year, or 26.8%.

My dividend dogcatcher rule is to only buy initial shares of a dividend stock that pay an annual dividend (from $1000 invested) that is greater than the cost of one share.

TLTZY’s  projected annual dividend from $1K invested is $65.00 and that annual dividend proves to be just about 7.67 times more than the recent $8.47 single-share price.

The exact track of TLTZY’s future share price and dividend will entirely be determined by market action and company finances.  

Remember the best way to track stock performance and dividend payments is through direct ownership of company shares.

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