Vodafone Stock Value

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Vodafone Stock Value

Vodafone (Vod): Stock Value Over 5 Years

quick look at the performance of Vodafone in the stock market during the last 5 years shows a bleak picture. The long-term investors of the Vodafone ended up losing a big portion of their money.The telecom giant from the FTSE 100 saw weak sales in the European markets. In addition to that, Vodafone also faced issues like high debt levels, high operating costs, and so on. These issues were so significant that the company had to cut its dividend.

Vodafone Down By 57.6%

All of these factors sent the Vodafone shares lower and the stock lost 57.6% of its value! So, if someone had invested 10K in the Vodafone, it would now be worth 4238 only.However, the Vodafone CEO claims to have a plan that will change things for the better. According to her, the Vodafone is already making progress and is heading in the right direction.So far, Vodafone has already exited the Italian and Spanish markets where it was making a loss. The company has used the money from this to pay its debt and to initiate share buybacks.According to experts, our lives are now more digitalized than ever before. This means the telecom services will see a big jump in the demand, even in the European market.That's why, Citi believes that the Vodafone business will make a strong comeback. Citi also added that the company will likely make an earnings reversal of 13% in the financial year.This means the current P/E ratio of Vodafone is around 8.5 for the next financial year. On paper, this looks like a really good deal for the investors.But, we also need to understand that Vodafone had a series of difficult years on the stock market. So, even if the Citi analysts are optimistic, one needs to be cautious when investing in Vodafone.

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