PLDT recently inaugurated its 11th data center in Sta. Rosa, Laguna, as part of its expansion strategy, positioning the company for enhanced future capabilities with plans for a larger facility in Cavite. Over the last week, PLDT's shares rose by 3%, aligning closely with the overall market trend, which saw a 2% increase amid significant movements driven by earnings reports and speculation on tariff developments. The company's expansion announcements add context to its performance, as investors welcomed these strategic infrastructure developments, which could bolster future growth prospects amidst a generally positive market sentiment.

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The inauguration of PLDT's latest data center, combined with the broad market uplift, has contributed to its short-term share price increase. Over the past five years, the company's total return was 43.59%, signaling solid performance over the long term. This is especially noteworthy given last year's underperformance compared to the PH Wireless Telecom industry, which posted returns of 15.3% in that period.

The company's recent expansion into 5G and AI-driven initiatives and asset monetization strategies may prompt adjustments in revenue and earnings forecasts. Analysts anticipate earnings to rise to ₱39.2 billion by 2028, with a projected PE ratio of 13.5x needed to align with the consensus price target of ₱1755.42. With a current share price of ₱1286, there remains room for potential appreciation in PLDT's valuation.

Explore historical data to track PLDT's performance over time in our past results report.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include PSE:TEL.

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