Telefonica Brasil (NYSE:VIV) Shares Gap Up on Earnings Beat

Telefonica Brasil S.A. (NYSE:VIV) gapped up before the market opened on Monday following a stronger than expected earnings report. The stock had previously closed at $15.74, but opened at $16.22. Telefonica Brasil shares last traded at $16.1790, with a volume of 201,523 shares traded.

The Wireless communications provider reported $0.22 earnings per share for the quarter, topping the consensus estimate of $0.17 by $0.05. The company had revenue of $2.83 billion during the quarter, compared to the consensus estimate of $2.88 billion. Telefonica Brasil had a return on equity of 9.15% and a net margin of 10.42%.

Analysts Set New Price Targets

A number of research analysts recently commented on the company. Bank of America began coverage on Telefonica Brasil in a report on Thursday, December 11th. They issued an “underperform” rating and a $14.00 price target for the company. Barclays reissued an “overweight” rating and set a $14.50 price target on shares of Telefonica Brasil in a research report on Monday, November 3rd. Weiss Ratings cut shares of Telefonica Brasil from a “buy (b-)” rating to a “hold (c+)” rating in a report on Monday, February 9th. Wall Street Zen raised shares of Telefonica Brasil from a “buy” rating to a “strong-buy” rating in a research report on Sunday, January 11th. Finally, Zacks Research raised shares of Telefonica Brasil from a “hold” rating to a “strong-buy” rating in a research report on Monday, February 9th. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, three have given a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, Telefonica Brasil currently has an average rating of “Hold” and a consensus price target of $13.12.

Hedge Funds Weigh In On Telefonica Brasil

A number of large investors have recently bought and sold shares of VIV. Rhumbline Advisers boosted its stake in Telefonica Brasil by 337.7% in the first quarter. Rhumbline Advisers now owns 4,233 shares of the Wireless communications provider’s stock valued at $37,000 after acquiring an additional 3,266 shares during the period. Arax Advisory Partners boosted its position in Telefonica Brasil by 54.4% during the 4th quarter. Arax Advisory Partners now owns 3,773 shares of the Wireless communications provider’s stock valued at $45,000 after purchasing an additional 1,330 shares during the period. Advisors Asset Management Inc. bought a new position in Telefonica Brasil during the 1st quarter worth $52,000. EverSource Wealth Advisors LLC grew its stake in Telefonica Brasil by 214.0% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 4,766 shares of the Wireless communications provider’s stock worth $54,000 after buying an additional 3,248 shares during the last quarter. Finally, PNC Financial Services Group Inc. increased its position in Telefonica Brasil by 45.7% in the second quarter. PNC Financial Services Group Inc. now owns 5,163 shares of the Wireless communications provider’s stock worth $59,000 after buying an additional 1,619 shares during the period. Institutional investors own 5.16% of the company’s stock.

Telefonica Brasil Stock Performance

The firm has a market cap of $26.68 billion, a price-to-earnings ratio of 23.43, a PEG ratio of 0.77 and a beta of 0.71. The stock’s fifty day moving average is $13.51 and its two-hundred day moving average is $12.86. The company has a debt-to-equity ratio of 0.22, a quick ratio of 0.96 and a current ratio of 1.00.

About Telefonica Brasil

Telefônica Brasil SA, commonly marketed under the Vivo brand, is one of Brazil’s largest telecommunications providers, offering a broad range of consumer and enterprise communications services. The company’s core activities include mobile voice and data services, fixed-line telephony, broadband internet (including fiber-to-the-home), and pay-TV solutions. It also provides ICT and managed services for business customers, such as cloud, data center, connectivity, Internet of Things (IoT) and security solutions.

Vivo operates a nationwide network across Brazil and serves both individual consumers and corporate clients.