Vodafone Group Plc New (NASDAQ:VOD)

CAPS Rating: 4 out of 5

Vodafone connects people throughout Europe and beyond, providing wireless voice and data services.


Player Avatar Gainster (42.39) Submitted: 4/16/2013 6:18:13 PM : Outperform Start Price: $22.94 VOD Score: +21.07

The second largest mobile company in the world, after China Mobile. They have had a growth of 100 million customers from 2011 to 2012 and is therefore close to half a billion customers. They are present in something like half of the world.

I imagine that Vodafone sooner or later will provide some sort of international subscription, that will be attractive to many people (business and travelling) and be hard to compete with for other mobile operators.

The need for mobile voice and data is growing. It provides a comfort that people do not want to be without once they have become accustomed to it.

They have a low price / book ratio of 1.3, and they provide a good dividend of approx. 3.5%.

So I consider this a good growth stock with a nice dividend.

I personally used their service in Germany and Dominican Republic on vacations, buying a local sim, and I was very satisfied by their 3G coverage. The service in Germany was very good. The service in Dominican Republic was bad to put it mildly, but that's the standard outside the tourist resorts.

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