Abstract

In this article the financial position of Hellenic Telecommunications Organisation S.A. is analysed and evaluated by a consistent free cash flow to firm model taking into consideration the expected restructuring of group which is needed for the company’s sustainability. The results obtained by this model are also validated by a comparable valuation of firm vs. its European peers through the three most common equity value multiples namely the price-to-earnings (P/E) ratio, the price-to-book (P/B) ratio and the price-to-sales (P/S) ratio. Consequently, the target price for the market capital of Hellenic Telecommunications Organisation S.A. is provided under a realistic and sustainable restructuring scenario of group.

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