One-glance verdict
Undervalued
$54.43 our estimate vs market $22.03
Wall Street consensus: $29.44 (-45.9% lower than our fair-value estimate)
60% below our estimate, below the bear case
Fundamentals snapshot
América Móvil, S.A.B. de C.V.
AMX · NYQ · Communication Services · Telecom Services
Current price
$22.03
52-week range
$19.71 - $28.46
Market cap
$65.87B
Balance sheet
Stretched
2.43x Stretched
Net debt $34.84B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
3 Risks
3 rewards · 3 risks
- Reward Revenue grew 8.6% last year.
- Reward Returns 21.6% on equity, ahead of 60% of its peers.
- Risk Stock trades 1273.7% above its 5-year average P/E.
- Risk Net debt grew 26.6% over 3 years.
What this company does
América Móvil, S.A.B. de C.V.
América Móvil is a major telecommunications company that acts like the main phone and internet provider for much of Latin America. The company earns most of its revenue (the total money brought in from sales) from millions of customers paying monthly bills for mobile phone service, home internet, and cable TV. Because these are often seen as essential services, this can create a steady and predictable stream of income for the business.
How the company got here
América Móvil was created in 2000 when the Mexican telephone company Telmex spun off its wireless business. Led by Carlos Slim, one of the world's wealthiest individuals, the company grew rapidly by acquiring other telecom companies across Latin America. A key moment was in 2011 when it combined more closely with its former parent, Telmex, to strengthen its position in both mobile and fixed-line services. This series of acquisitions and consolidations established it as a dominant telecommunications provider in the region.
What it actually does
América Móvil is a telecommunications giant that provides the services many people use every day to connect with others and the internet. Think of them as the company that provides your mobile phone service, home internet, and even cable TV in many parts of Latin America and Europe. They sell mobile phones and accessories in their stores and offer different plans, whether you pay as you go (prepaid) or have a monthly contract (postpaid). For businesses, they offer a range of services from internet and phone lines to more complex IT solutions like data centers and cybersecurity.
Mobile Services
This is the company's largest business, making money by providing wireless voice and data services to millions of customers. People and businesses pay for mobile phone plans, which can be either prepaid (paying for service upfront) or postpaid (paying a monthly bill). This segment also includes the sale of mobile devices and accessories. Operating under well-known brands like Telcel in Mexico and Claro in many other Latin American countries, this is the core of their business.
Fixed-Line Services
This part of the company provides services that are wired directly to homes and businesses. This includes home internet (broadband), traditional landline phone services, and data services for corporate clients. Customers pay a monthly fee for these services, often bundled together in a package. While mobile is larger, the fixed-line business, which includes brands like Telmex, is a significant and steady source of revenue (the total amount of money a company brings in from sales).
Pay Television
In many countries, América Móvil offers cable and satellite television services. Customers pay a monthly subscription fee to access a variety of TV channels, similar to how cable or satellite TV works in other parts of the world. This segment allows the company to offer a "bundle" of services—phone, internet, and TV—which can be more convenient for customers and helps the company retain them. While not available in all its markets, it represents another way the company generates recurring revenue.
What management is betting on now
The company is heavily focused on upgrading its networks to the latest technologies, like 5G for mobile and fiber optic cables for home internet, to provide faster and more reliable service. They are also expanding their services for businesses, moving beyond basic connectivity to offer things like cloud computing and cybersecurity. Another key strategy is to bundle mobile, internet, and sometimes TV services together to increase customer loyalty and value. Management is also looking for opportunities to acquire smaller companies to consolidate their position in key markets.
Price history
How the share price has moved
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Is it cheap or expensive?
Fair value $54.43 vs current price $22.03
Wall Street consensus is the average analyst price target: $29.44 (-45.9% lower than our fair-value estimate).
Our most-likely fair value is $54.43 a share — about 147.1% above today's price of $22.03, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Stretched
Net debt $34.8B. Interest coverage 2.4x.
Net debt
$34.84B
Interest coverage
2.43x
América Móvil, S.A.B. de C.V.'s profit covers its interest bill about 2.4 times over. which is weaker than most peers shown here.
Stretched
Worse cushion
Baseline
Better cushion
AMX
BASELINE
América Móvil, S.A.B. de C.V.
Total debt $39.11B Interest coverage 2.43x This is the baseline the peer rows are being compared against.
Total debt $165.76B Interest coverage 3.67x +51% vs AMX Carries about 1.5x more debt cushion than AMX.
Total debt $193.65B Interest coverage 4.37x +80% vs AMX Carries about 1.8x more debt cushion than AMX.
Total debt $3.83B Interest coverage 12.48x +413% vs AMX Carries about 5.1x more debt cushion than AMX.
Total debt $12.09B Interest coverage 2.55x +5% vs AMX Has roughly the same debt cushion as AMX.
What you should know
The case for and against AMX
3 Rewards
3 Risks
Rewards
-
Revenue grew 8.6% last year.
-
Returns 21.6% on equity, ahead of 60% of its peers.
-
Free cash flow was positive in 4/10 years.
Risks
-
Stock trades 1273.7% above its 5-year average P/E.
-
Net debt grew 26.6% over 3 years.
-
Insider ownership is only 0.0% (peer median: 0.1%).
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
13.11x
Forward P/E
10.57x
P/B
3.13x
P/S
0.07x
EV/EBITDA
2.35x
PEG ratio
0.75x
Profitability
How much profit each dollar creates
Gross margin
62.8%
Operating margin
21.5%
Net margin
9.4%
ROE
21.6%
ROA
6.4%
Health
Liquidity and balance-sheet strength
Debt / equity
1.58x
Current ratio
0.71x
Quick ratio
0.61x
Total debt
$39.11B
Total cash
$4.28B
Growth
How the business has been compounding
Revenue TTM
$54.07B
Revenue 5Y CAGR
3.8%
EPS TTM
1.68
EPS 5Y CAGR
4.9%
Cash flow
How much cash the business throws off
Operating CF TTM
$15.41B
Free CF TTM
$8.01B
FCF margin
14.8%
Dividend
Shareholder payout
Yield
2.7%
Payout ratio
35.2%
Last ex-div date
2026-07-14