New Street Research - Telefonica Brasil S.A. (VIVT3) Vivo (Buy, TP: BRL55, +38%) Telefonica Brasil / Vivo Q4s - Dividend resolution in sight

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New Street Research

David Lopes ...

Soomit Datta

EUR 9623.00 For Business Accounts Only

Vivo (Buy, TP: BRL55, +38%) Telefonica Brasil / Vivo Q4s - Dividend resolution in sight

Vivo Q4s reported after close were solid, coming in 1-2% ahead at revenue and EBITDA. Perhaps more crucially for the stock Vivo has also started the process of asking Anatel for a Capital stock reduction of BRL5 billion. This should remove dividend overhang on the stock and pave the way for a yield - along with a BRL500m buy back - which should be in the 8-9% range we think.

16/02/2023 1 EN

Underlying

Telefonica Brasil S.A.

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BRVIVTACNOR0 BM&F Bovespa - Securities, Commodities and Futures Exchange Brazil

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New Street Research

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Analysts

David Lopes

Soomit Datta

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Vivo (Buy, TP: BRL55, +38%) Telefonica Brasil / Vivo Q4s - Dividend resolution in sight

Vivo (Buy, TP: BRL61, +15%) Vivo - Q4 23: Double digit EBITDA growth, improving cash returns

TIM/Vivo - Maintain Buys; Solid Wireless supported by improving Tower dynamics

Vivo (Buy, TP: BRL61, +30%) Vivo Q3 23 – Solid quarter, strong FCF paves way for bumper cash return

OpenAI: o3 is a game changer - a few steps away from AG. After the $1bn-to-train model, the $1m-inference model.

Airtel Africa (Buy, TP: GBp200, +85%) Second share buyback program

Takeaways from our conversation with VerticalScope (FORA-TO, Not rated)

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