Category Archives: $VOD

@prossi $VOD (Vodafone) FV = 155 + 30bn of Surplus Cash which…

£6bn or so is being used to buy ONO FInance.£20bn could be used to buy back stock i.e. increase EPS by 30% which increase FV to 200 + ONO Finance should also be earnings accretive.

At 220 VOD it is on a 5% forward dividend yield,

If you like the stock buy (some big houses have overweight recommendations on VOD according to Google Finance) for the yield and then potential to use the surplus cash in other more earnings enhancing ways than just buying back stock.