Report
Allan C. Nichols
EUR 101.80 For Business Accounts Only

KPN's consumer business continues to grow while the business segment struggles.

KPN reported mixed third-quarter results, with weak revenue but solid EBITDA margins. We are maintaining our fair value estimates of EUR 2.90 for the local shares and $3.40 for the ADRs and believe the shares are fairly valued. The firm reported a worse-than-expected year-over-year revenue decline of 6.6% in the quarter versus our full-year projection of down 2.4%. While KPN’s convergence program is doing well, with 62% of its postpaid wireless customers on a converged plan and average revenue p...
Underlying
Royal KPN NV

Koninklijke KPN is an integrated information and communications technology service provider. Co. provides its consumer customers data broadband services, IPTV services, mobile (voice, data and SMS) and fixed line telephony. Co. provides its business customers broadband services, mobile, fixed line and data services. Co. operates in the following segments: Consumer Mobile, which provides mobile services and products; Consumer Residential, which provides services in and around the house; Business, which provides fixed and mobile telephony services; NetCo, which includes fixed wholesale services; Belgium, which provides mobile telephony; and iBasis, which provides wholesale network services.

Provider
Morningstar
Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

Analysts
Allan C. Nichols

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