Trading at PE 10.77 below the sector average PE of 27.04, China Mobile presents a defensive, dividend-oriented profile. The company is facing headwinds from increased VAT on telecom services from 6% to 9% starting January 1, 2026, but maintains strong fundamentals with a largely rolled-out 5G network launched in late 2019.
Cyborg Score Rationale
Solid fundamentals with EPS 7.36, PE 10.84, high dividend yield 6.69%, and value-oriented pricing versus sector PE of 27.04. Recent VAT increases pose margin pressure, but market leadership and dividend yield support stability.
Top Insights
Market cap of $219.03 billion as of February 2026, ranking 79th globally
High dividend yield of 6.69% with payout ratio near 72.34%, attracting income investors
Dominates wireless sector with ~61% market share in China
VAT increase from 6% to 9% effective January 1, 2026 will pressure profit margins
Named Competitors
China Telecom — Second-largest telecom operator in China
China Unicom — Third-largest telecom operator in China
HKT Limited — Regional telecom operator in Hong Kong
Recent Developments
(February 2026) Goldman Sachs downgraded to Hold rating on earnings concerns