Vodafone Group Public Stock Forecast, Price & News NASDAQ:VOD

A D/E ratio of 1 means its debt is equivalent to its common equity. When comparing this ratio to different stocks in different industries, take note that some businesses are more capital intensive than others. A D/E ratio of 2 might be par for the course in one industry, while 0.50 would be considered normal for another. So it’s a good idea to compare a stock’s debt to equity ratio to its industry to see how it stacks up to its peers first. Enterprise Value (EV) is Market Capitalization + Debt – Cash.

The content of this article was relevant at the time of publishing. Circumstances change continuously and caution should therefore be exercised when relying upon any content contained within this article. Vodafone is a popular UK dividend stock due to its high yield.

Growth Scorecard

Zacks’ proprietary data indicates that Vodafone Group PLC is currently rated as a Zacks Rank 5 and we are expecting a below average return from the VOD shares relative to the market in the next few months. In addition, Vodafone Group PLC has a VGM Score of B (this is a weighted average of the individual Style Scores which allow you to focus on the stocks that best fit your personal trading style). Valuation metrics show that Vodafone Group PLC may be undervalued. Its Value Score of A indicates it would be a good pick for value investors. The financial health and growth prospects of VOD, demonstrate its potential to outperform the market. Recent price changes and earnings estimate revisions indicate this would be a good stock for momentum investors with a Momentum Score of B.

• A higher number means the company has more debt to equity, whereas a lower number means it has less debt to equity.
• If you require any personal advice or recommendations, please speak to an independent qualified financial adviser.
• Seeing a company’s projected sales growth instantly tells you what the outlook is for their products and services.
• Shameel Joosub has an approval rating of 99% among the company’s employees.

An industry with a larger percentage of Zacks Rank #1’s and #2’s will have a better average Zacks Rank than one with a larger percentage of Zacks Rank #4’s and #5’s. The Zacks Industry Rank assigns a rating to each of the 265 X (Expanded) Industries based on their average Zacks Rank. It does not appear as if Vodafone’s prospects are going to improve any time soon. Investors may be better off looking elsewhere for income. That said, while any growth is positive, in the face of high-single-digit inflation, the numbers are not all that impressive. And Vodafone cannot meaningfully cut this spending as it might lose market share.

Should I buy Vodafone shares in 2022?

Additionally, the company’s profits are expected to rise in the years ahead. For the year ending 31 March 2023, City analysts expect the group to generate earnings per share of 11.5 euro cents, up from 9.9 euro cents (estimated) the year before. If profits keep trending up, the share price could get a boost. For the year ended 31 March, analysts https://trading-market.org/ expect Vodafone to pay out nine euro cents per share in dividends. At the current share price of 128p, that equates to a yield of about 5.9% – not bad at all in today’s low-interest-rate environment. A company with an ROE of 10%, for example, means it created 10 cents of assets for every $1 of shareholder equity in a given year.

The firm was able to reduce overall debt by packing up some of its infrastructure assets into a new business, Vantage Towers, which unlocked €2bn in an IPO. That might not seem too bad on the face of it, but if you exclude dividends, the shares have returned -59%. © 2023 Market data https://day-trading.info/ provided is at least 10-minutes delayed and hosted by Barchart Solutions. Information is provided ‘as-is’ and solely for informational purposes, not for trading purposes or advice, and is delayed. To see all exchange delays and terms of use please see Barchart’s disclaimer.

About Vodafone Group Public (NASDAQ:VOD) Stock

The Growth Scorecard table also displays the values for its respective Industry along with the values and Growth Score of its three closest peers. The Value Scorecard table also displays the values for its respective Industry along with the values and Value Score of its three closest peers. The industry with the best average Zacks Rank would be considered the top industry (1 out of 265), which would place it in the top 1% of Zacks Ranked Industries. The industry with the worst average Zacks Rank (265 out of 265) would place in the bottom 1%.

The X Industry values displayed in this column are the median values for all of the stocks within their respective industry. When evaluating a stock, it can be useful to compare it to its industry as a point of reference. The Value Scorecard identifies the stocks most likely to outperform based on its valuation metrics. This list of both classic and unconventional valuation items helps separate which stocks are overvalued, rightly lowly valued, and temporarily undervalued which are poised to move higher.

reasons investors should consider buying Uber stock now

And, of course, the 4 week change helps put the 1 week change into context. This shows the percentage of profit a company earns on its sales. Debt to Capital (or D/C ratio) is the fraction of debt (including mortgages and long-term leases) to long-term capitalization. Enterprise Value / Earnings Before Interest, Taxes, https://investmentsanalysis.info/ Depreciation and Amortization is a valuation metric used to measure a company’s value and is helpful in comparing one stock to another. The VGM score is based on the trading styles of Growth, VAlue, and Momentum. The Growth Scorecard evaluates sales and earnings growth along with other important growth measures.

• The value of stocks, shares and any dividend income may fall as well as rise and is not guaranteed, so you may get back less than you invested.
• It’s an integral part of the Zacks Rank and a critical part in effective stock evaluation.
• If we were to see a recession in the near future, I’d expect the business (and the share price) to hold up pretty well, as telecommunications companies typically aren’t badly affected by economic downturns.
• But company fundamentals remain extremely robust, with a solid net debt progression.
• One share of VOD stock can currently be purchased for approximately $9.48.
• The Value Scorecard table also displays the values for its respective Industry along with the values and Value Score of its three closest peers.

But my argument for investing in the company is similar to my argument in terms of investing in other telcos, which have double digits in my portfolio. Given the climate, I feel it’s also likely that the dividend will be cut this year. The dividend was only covered by earnings 1.3 times last year. New CEO Margherita Della Valle may have more leeway to cut the dividend without admitting strategic defeat — she only took over in January. But I need the capital elsewhere, and I had grown a little unsure about the stock.