Goldman Sachs Raises Price Target for Telefonica Brasil to $12.60

Goldman Sachs raises Telefonica Brasil's (VIV) price target from $11.40 to $12.60, a 10.53% increase. The analyst maintains a "Buy" rating, reflecting a positive outlook for the stock. Telefonica Brasil is Brazil's largest wireless carrier with 102 million customers and 70% of revenue from wireless services and equipment. Wall Street analysts forecast an average price target of $12.67 with a high estimate of $13.50 and a low estimate of $11.00.

Goldman Sachs has significantly raised its price target for Telefonica Brasil (VIV), reflecting a positive outlook on the company's future prospects. The analyst firm has increased its price target from $11.40 to $12.60, representing a 10.53% increase. This new target aligns with the broader market sentiment, which forecasts an average price target of $12.67, ranging from a high estimate of $13.50 to a low estimate of $11.00 [1].

Telefonica Brasil, known as Vivo, is Brazil's largest wireless carrier with a customer base of 102 million subscribers, accounting for approximately 39% of the market share. The company's strong position is bolstered by its 70% revenue contribution from wireless services and equipment. Despite the recent earnings miss, the company's solid financial position is evident, with a market capitalization of $20 billion and a P/E ratio of 19.83 [2].

Goldman Sachs maintains a "Buy" rating for VIV, indicating a bullish stance on the stock. This move follows a broader trend of analysts adjusting their ratings and price targets in response to changing market conditions and company performance. For instance, Robeco Institutional Asset Management B.V. and Barclays PLC have recently increased their stakes in the company, while other analysts have also revised their price targets [2].

Telefonica Brasil's recent financial performance highlights its strong profitability and effective cost control, with a net margin of 9.18% and a return on equity (ROE) of 1.97%. The company's prudent debt management, with a debt-to-equity ratio of 0.3, further underscores its financial stability. Additionally, the company's extensive fiber network and pay-TV services contribute to its diverse revenue streams.

In conclusion, Goldman Sachs' raised price target for Telefonica Brasil reflects a positive outlook on the company's future prospects, supported by its strong market position and financial performance. Investors should closely monitor the company's ongoing developments and analyst ratings to make informed investment decisions.

References:
[1] https://www.benzinga.com/insights/analyst-ratings/25/08/47217515/expert-outlook-telefonica-brasil-through-the-eyes-of-4-analysts
[2] https://www.marketbeat.com/instant-alerts/filing-telefonica-brasil-sa-nyseviv-shares-sold-by-xtx-topco-ltd-2025-08-15/