SPOT vs. TEF: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at SPOT and TEF, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
SPOT is a standard domestic listing, while TEF trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.
| Symbol | SPOT | TEF |
|---|---|---|
| Company Name | Spotify Technology S.A. | Telefónica, S.A. |
| Country | Luxembourg | Spain |
| GICS Sector | Communication Services | Communication Services |
| GICS Industry | Entertainment | Diversified Telecommunication Services |
| Market Capitalization | 147.45 billion USD | 28.71 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | April 3, 2018 | June 12, 1987 |
| Security Type | Common Stock | ADR |
Historical Performance
This chart compares the performance of SPOT and TEF by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | SPOT | TEF |
|---|---|---|
| 5-Day Price Return | -1.50% | 0.94% |
| 13-Week Price Return | -9.04% | -3.45% |
| 26-Week Price Return | 21.11% | 1.69% |
| 52-Week Price Return | 89.06% | 1.95% |
| Month-to-Date Return | 2.36% | -3.93% |
| Year-to-Date Return | 56.02% | 11.71% |
| 10-Day Avg. Volume | 1.61M | 7.50M |
| 3-Month Avg. Volume | 1.85M | 7.62M |
| 3-Month Volatility | 41.06% | 15.31% |
| Beta | 1.69 | 0.69 |
Profitability
Return on Equity (TTM)
SPOT
14.00%
Entertainment Industry
- Max
- 42.50%
- Q3
- 24.06%
- Median
- 13.69%
- Q1
- 5.35%
- Min
- -17.95%
SPOT’s Return on Equity of 14.00% is on par with the norm for the Entertainment industry, indicating its profitability relative to shareholder equity is typical for the sector.
TEF
-9.35%
Diversified Telecommunication Services Industry
- Max
- 34.76%
- Q3
- 16.39%
- Median
- 9.92%
- Q1
- 1.36%
- Min
- -10.54%
TEF has a negative Return on Equity of -9.35%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
Net Profit Margin (TTM)
SPOT
4.85%
Entertainment Industry
- Max
- 45.33%
- Q3
- 24.40%
- Median
- 13.94%
- Q1
- 4.28%
- Min
- -23.67%
SPOT’s Net Profit Margin of 4.85% is aligned with the median group of its peers in the Entertainment industry. This indicates its ability to convert revenue into profit is typical for the sector.
TEF
-4.67%
Diversified Telecommunication Services Industry
- Max
- 28.40%
- Q3
- 13.17%
- Median
- 7.18%
- Q1
- 1.75%
- Min
- -14.73%
TEF has a negative Net Profit Margin of -4.67%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
Operating Profit Margin (TTM)
SPOT
11.11%
Entertainment Industry
- Max
- 41.77%
- Q3
- 28.26%
- Median
- 16.13%
- Q1
- 8.03%
- Min
- -3.93%
SPOT’s Operating Profit Margin of 11.11% is around the midpoint for the Entertainment industry, indicating that its efficiency in managing core business operations is typical for the sector.
TEF
6.09%
Diversified Telecommunication Services Industry
- Max
- 37.46%
- Q3
- 22.24%
- Median
- 14.86%
- Q1
- 9.46%
- Min
- -9.42%
TEF’s Operating Profit Margin of 6.09% is in the lower quartile for the Diversified Telecommunication Services industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.
Profitability at a Glance
| Symbol | SPOT | TEF |
|---|---|---|
| Return on Equity (TTM) | 14.00% | -9.35% |
| Return on Assets (TTM) | 6.62% | -1.88% |
| Net Profit Margin (TTM) | 4.85% | -4.67% |
| Operating Profit Margin (TTM) | 11.11% | 6.09% |
| Gross Profit Margin (TTM) | 31.63% | 73.22% |
Financial Strength
Current Ratio (MRQ)
SPOT
1.47
Entertainment Industry
- Max
- 6.76
- Q3
- 4.02
- Median
- 1.55
- Q1
- 0.86
- Min
- 0.38
SPOT’s Current Ratio of 1.47 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.
TEF
0.97
Diversified Telecommunication Services Industry
- Max
- 1.53
- Q3
- 1.09
- Median
- 0.91
- Q1
- 0.70
- Min
- 0.18
TEF’s Current Ratio of 0.97 aligns with the median group of the Diversified Telecommunication Services industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
SPOT
0.36
Entertainment Industry
- Max
- 1.54
- Q3
- 0.77
- Median
- 0.16
- Q1
- 0.02
- Min
- 0.00
SPOT’s Debt-to-Equity Ratio of 0.36 is typical for the Entertainment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
TEF
2.31
Diversified Telecommunication Services Industry
- Max
- 3.82
- Q3
- 2.13
- Median
- 1.40
- Q1
- 0.71
- Min
- 0.00
TEF’s leverage is in the upper quartile of the Diversified Telecommunication Services industry, with a Debt-to-Equity Ratio of 2.31. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
Interest Coverage Ratio (TTM)
SPOT
38.25
Entertainment Industry
- Max
- 87.17
- Q3
- 35.59
- Median
- 7.06
- Q1
- 1.13
- Min
- -44.74
SPOT’s Interest Coverage Ratio of 38.25 is in the upper quartile for the Entertainment industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
TEF
1.36
Diversified Telecommunication Services Industry
- Max
- 16.05
- Q3
- 8.06
- Median
- 3.53
- Q1
- 1.36
- Min
- -2.60
TEF’s Interest Coverage Ratio of 1.36 is positioned comfortably within the norm for the Diversified Telecommunication Services industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | SPOT | TEF |
|---|---|---|
| Current Ratio (MRQ) | 1.47 | 0.97 |
| Quick Ratio (MRQ) | 1.46 | 0.93 |
| Debt-to-Equity Ratio (MRQ) | 0.36 | 2.31 |
| Interest Coverage Ratio (TTM) | 38.25 | 1.36 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
SPOT
0.00%
Entertainment Industry
- Max
- 2.90%
- Q3
- 1.29%
- Median
- 0.59%
- Q1
- 0.00%
- Min
- 0.00%
SPOT currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
TEF
7.60%
Diversified Telecommunication Services Industry
- Max
- 10.69%
- Q3
- 5.66%
- Median
- 4.23%
- Q1
- 1.76%
- Min
- 0.00%
With a Dividend Yield of 7.60%, TEF offers a more attractive income stream than most of its peers in the Diversified Telecommunication Services industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio (TTM)
SPOT
0.00%
Entertainment Industry
- Max
- 82.30%
- Q3
- 38.45%
- Median
- 29.74%
- Q1
- 0.00%
- Min
- 0.00%
SPOT has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
TEF
110.52%
Diversified Telecommunication Services Industry
- Max
- 273.77%
- Q3
- 134.61%
- Median
- 76.89%
- Q1
- 41.79%
- Min
- 0.00%
TEF’s Dividend Payout Ratio of 110.52% is within the typical range for the Diversified Telecommunication Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | SPOT | TEF |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 7.60% |
| Dividend Payout Ratio (TTM) | 0.00% | 110.52% |
Valuation
Price-to-Earnings Ratio (TTM)
SPOT
150.95
Entertainment Industry
- Max
- 92.09
- Q3
- 54.51
- Median
- 28.92
- Q1
- 19.75
- Min
- 2.96
At 150.95, SPOT’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Entertainment industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
TEF
--
Diversified Telecommunication Services Industry
- Max
- 42.43
- Q3
- 27.51
- Median
- 18.10
- Q1
- 13.52
- Min
- 4.10
P/E Ratio data for TEF is currently unavailable.
Price-to-Sales Ratio (TTM)
SPOT
7.32
Entertainment Industry
- Max
- 12.34
- Q3
- 7.67
- Median
- 5.06
- Q1
- 2.72
- Min
- 0.67
SPOT’s P/S Ratio of 7.32 aligns with the market consensus for the Entertainment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
TEF
0.61
Diversified Telecommunication Services Industry
- Max
- 4.55
- Q3
- 2.45
- Median
- 1.74
- Q1
- 0.98
- Min
- 0.36
In the lower quartile for the Diversified Telecommunication Services industry, TEF’s P/S Ratio of 0.61 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
Price-to-Book Ratio (MRQ)
SPOT
20.23
Entertainment Industry
- Max
- 22.84
- Q3
- 10.54
- Median
- 6.60
- Q1
- 2.30
- Min
- 0.65
SPOT’s P/B Ratio of 20.23 is in the upper tier for the Entertainment industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
TEF
1.25
Diversified Telecommunication Services Industry
- Max
- 7.27
- Q3
- 3.97
- Median
- 2.45
- Q1
- 1.25
- Min
- 0.27
TEF’s P/B Ratio of 1.25 is within the conventional range for the Diversified Telecommunication Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | SPOT | TEF |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 150.95 | -- |
| Price-to-Sales Ratio (TTM) | 7.32 | 0.61 |
| Price-to-Book Ratio (MRQ) | 20.23 | 1.25 |
| Price-to-Free Cash Flow Ratio (TTM) | 43.14 | 4.75 |