(VOD) Vodafone - Ratings and Ratios
Mobile Services, Telecommunication, Connectivity, Internet, Financial Services
Description: VOD Vodafone
Vodafone Group PLC ADR (NASDAQ:VOD) is a leading telecommunications company providing a range of services including mobile and fixed services, connectivity business solutions, IoT, and financial services across various regions including Germany, the UK, and South Africa. The companys diverse service portfolio includes cloud and edge computing, M-PESA (a mobile money platform), and international voice and roaming services, catering to both private and public sector customers across multiple industries.
From a business perspective, Vodafones key strengths include its diversified revenue streams across different geographies and services, a strong presence in the European market, and its innovative offerings such as IoT and M-PESA. To evaluate the companys performance, key performance indicators (KPIs) such as revenue growth, average revenue per user (ARPU), and operating margins are crucial. For instance, a steady increase in ARPU indicates a healthy demand for premium services, while operating margins reflect the companys efficiency in managing its operations.
Analyzing Vodafones financial health, we can look at metrics such as debt-to-equity ratio, interest coverage ratio, and return on invested capital (ROIC). A manageable debt-to-equity ratio and a positive interest coverage ratio are indicative of a stable financial position. Vodafones market capitalization is approximately $26.7 billion USD, and its forward P/E ratio is around 9.22, suggesting a relatively stable valuation compared to its earnings. The companys return on equity (RoE) is currently negative, indicating a need for improvement in generating profits from shareholder equity.
To assess the attractiveness of Vodafone as an investment, its essential to consider its growth prospects, competitive positioning, and dividend yield. The companys efforts in expanding its IoT and 5G services, along with its strategic partnerships, are critical factors that could drive future growth. Additionally, Vodafones dividend policy and yield can be attractive to income-seeking investors, making it a stock worth considering for those looking for a relatively stable income stream.
VOD Stock Overview
| Market Cap in USD | 28,567m |
| Sub-Industry | Wireless Telecommunication Services |
| IPO / Inception | 1988-10-25 |
VOD Stock Ratings
| Growth Rating | 25.2% |
| Fundamental | 72.3% |
| Dividend Rating | 22.1% |
| Return 12m vs S&P 500 | 1.10% |
| Analyst Rating | 3.0 of 5 |
VOD Dividends
| Dividend Yield 12m | 4.71% |
| Yield on Cost 5y | 5.07% |
| Annual Growth 5y | -6.95% |
| Payout Consistency | 90.4% |
| Payout Ratio | 101.4% |
VOD Growth Ratios
| Growth Correlation 3m | 93.1% |
| Growth Correlation 12m | 65.2% |
| Growth Correlation 5y | -61.3% |
| CAGR 5y | 6.71% |
| CAGR/Max DD 3y | 0.24 |
| CAGR/Mean DD 3y | 0.49 |
| Sharpe Ratio 12m | -0.16 |
| Alpha | 4.07 |
| Beta | 0.948 |
| Volatility | 23.67% |
| Current Volume | 4032.5k |
| Average Volume 20d | 4050.9k |
| Stop Loss | 11.4 (-3.5%) |
| Signal | -0.36 |
Piotroski VR‑10 (Strict, 0-10) 7.5
| Net Income (-1.02b TTM) > 0 and > 6% of Revenue (6% = 4.46b TTM) |
| FCFTA 0.18 (>2.0%) and ΔFCFTA 5.99pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 7.89% (prev 13.95%; Δ -6.07pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.25 (>3.0%) and CFO 31.93b > Net Income -1.02b (YES >=105%, WARN >=100%) |
| Net Debt (44.06b) to EBITDA (27.15b) ratio: 1.62 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.26 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (2.45b) change vs 12m ago -9.24% (target <= -2.0% for YES) |
| Gross Margin 35.38% (prev 31.68%; Δ 3.69pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 54.51% (prev 46.46%; Δ 8.05pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 2.22 (EBITDA TTM 27.15b / Interest Expense TTM 4.56b) >= 6 (WARN >= 3) |
Altman Z'' -4.01
| (A) 0.05 = (Total Current Assets 28.62b - Total Current Liabilities 22.75b) / Total Assets 128.52b |
| (B) -0.96 = Retained Earnings (Balance) -123.50b / Total Assets 128.52b |
| (C) 0.07 = EBIT TTM 10.12b / Avg Total Assets 136.44b |
| (D) -1.60 = Book Value of Equity -119.18b / Total Liabilities 74.61b |
| Total Rating: -4.01 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 72.25
| 1. Piotroski 7.50pt = 2.50 |
| 2. FCF Yield 43.70% = 5.0 |
| 3. FCF Margin 31.45% = 7.50 |
| 4. Debt/Equity 0.85 = 2.15 |
| 5. Debt/Ebitda 1.64 = 0.69 |
| 6. ROIC - WACC 4.29% = 5.36 |
| 7. RoE -1.76% = -0.29 |
| 8. Rev. Trend 16.19% = 0.81 |
| 9. Rev. CAGR -1.66% = -0.28 |
| 10. EPS Trend -47.62% = -1.19 |
| 11. EPS CAGR 0.0% = 0.0 |
What is the price of VOD shares?
Over the past week, the price has changed by +0.08%, over one month by +1.20%, over three months by +15.33% and over the past year by +20.20%.
Is Vodafone a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of VOD is around 12.26 USD . This means that VOD is currently overvalued and has a potential downside of 3.81%.
Is VOD a buy, sell or hold?
- Strong Buy: 0
- Buy: 0
- Hold: 3
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the VOD price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 11.2 | -5.5% |
| Analysts Target Price | 11.2 | -5.5% |
| ValueRay Target Price | 13.2 | 11.3% |
Last update: 2025-09-06 04:51
VOD Fundamental Data Overview
CCE Cash And Equivalents = 15.49b EUR (Cash And Short Term Investments, last fiscal year)
P/E Forward = 14.245
P/S = 0.7628
P/B = 0.456
P/EG = 0.6057
Beta = 0.465
Revenue TTM = 74.37b EUR
EBIT TTM = 10.12b EUR
EBITDA TTM = 27.15b EUR
Long Term Debt = 37.62b EUR (from longTermDebt, last fiscal year)
Short Term Debt = 7.05b EUR (from shortTermDebt, last fiscal year)
Debt = 44.66b EUR (Calculated: Short Term 7.05b + Long Term 37.62b)
Net Debt = 44.06b EUR (from netDebt column, last fiscal year)
Enterprise Value = 53.52b EUR (24.35b + Debt 44.66b - CCE 15.49b)
Interest Coverage Ratio = 2.22 (Ebit TTM 10.12b / Interest Expense TTM 4.56b)
FCF Yield = 43.70% (FCF TTM 23.39b / Enterprise Value 53.52b)
FCF Margin = 31.45% (FCF TTM 23.39b / Revenue TTM 74.37b)
Net Margin = -1.37% (Net Income TTM -1.02b / Revenue TTM 74.37b)
Gross Margin = 35.38% ((Revenue TTM 74.37b - Cost of Revenue TTM 48.06b) / Revenue TTM)
Tobins Q-Ratio = -0.45 (set to none) (Enterprise Value 53.52b / Book Value Of Equity -119.18b)
Interest Expense / Debt = 2.02% (Interest Expense 903.8m / Debt 44.66b)
Taxrate = 26.47% (598.8m / 2.26b)
NOPAT = 7.44b (EBIT 10.12b * (1 - 26.47%))
Current Ratio = 1.26 (Total Current Assets 28.62b / Total Current Liabilities 22.75b)
Debt / Equity = 0.85 (Debt 44.66b / last Fiscal Year total Stockholder Equity 52.74b)
Debt / EBITDA = 1.64 (Net Debt 44.06b / EBITDA 27.15b)
Debt / FCF = 1.91 (Debt 44.66b / FCF TTM 23.39b)
Total Stockholder Equity = 58.08b (last 4 quarters mean)
RoA = -0.79% (Net Income -1.02b, Total Assets 128.52b )
RoE = -1.76% (Net Income TTM -1.02b / Total Stockholder Equity 58.08b)
RoCE = 10.57% (Ebit 10.12b / (Equity 58.08b + L.T.Debt 37.62b))
RoIC = 8.61% (NOPAT 7.44b / Invested Capital 86.45b)
WACC = 4.32% (E(24.35b)/V(69.01b) * Re(9.51%)) + (D(44.66b)/V(69.01b) * Rd(2.02%) * (1-Tc(0.26)))
Shares Correlation 3-Years: -75.04 | Cagr: -1.31%
Discount Rate = 9.51% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 76.82% ; FCFE base≈21.08b ; Y1≈26.01b ; Y5≈44.37b
Fair Price DCF = 240.7 (DCF Value 580.21b / Shares Outstanding 2.41b; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: -47.62 | EPS CAGR: 0.0% | SUE: 0.0 | # QB: False
Revenue Correlation: 16.19 | Revenue CAGR: -1.66%
Additional Sources for VOD Stock
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Fund Manager Positions: Dataroma | Stockcircle