Vodafone share price forecast: here are the latest analyst predictions

The Vodafone share price takes another tumble as earnings fail to impress, but is this now a buying opportunity? Here’s the latest consensus from analysts.

| More on:

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.

Image source: Vodafone Group plc

When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.

Read More

The content of this article is provided for information purposes only and is not intended to be, nor does it constitute, any form of personal advice. Investments in a currency other than sterling are exposed to currency exchange risk. Currency exchange rates are constantly changing, which may affect the value of the investment in sterling terms. You could lose money in sterling even if the stock price rises in the currency of origin. Stocks listed on overseas exchanges may be subject to additional dealing and exchange rate charges, and may have other tax implications, and may not provide the same, or any, regulatory protection as in the UK.

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More.

The Vodafone (LSE:VOD) share price has seemingly stagnated in 2024. Despite encouraging progress being made to turn the telecom business around, the group’s latest interim results failed to impress. Consequently, the shares gave back the little gains they had made during the year.

But is there hope for shareholders? Let’s take a look at the latest results and explore what analysts now predict for the Vodafone share price moving forward.

Investors are still unconvinced

Vodafone’s been delivering lacklustre performance for over six years now. And the latest attempt to right the ship comes in the form of new CEO Margherita Della Valle.

Should you invest £1,000 in JD Sports right now?

When investing expert Mark Rogers has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets. And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if JD Sports made the list?

See the 6 stocks

To her credit, she certainly seems to be making far better progress than her predecessor, refocusing operations and using disposal proceeds to pay down debt. And looking at the latest results, there are some positives. Top-line sales between March and September were actually up by a modest 1.6%, driven by a 1.7% increase in service revenue. And when paired with lower costs, underlying earnings grew at a slightly faster 3.8% pace.

Plus, with what appears to look like a potential greenlight from the Competition and Markets Authority, Vodafone’s merger with Three seems on track to be completed in early 2025. And that could definitely help bolster performance in the UK market.

Unfortunately, it’s the performance in Germany that analysts are most worried about. With over a third of sales originating from this core market, management’s promised to get its German operations back on track. Yet, once again, the latest results continue to show customer attrition and market share losses.

As such, opinions from analysts, while not dire, aren’t exactly positive either.

OpinionAnalysts
Buy3
Outperform3
Hold10
Sell1
Strong Sell1

Vodafone share price forecast

With mixed views on Vodafone’s business, the share price forecasts are equally mixed. However, the average consensus among institutional analysts indicates that the stock will rise to around 82.8p by this time next year. Compared to the current share price, that suggests a potential upside of 20%.

Analyst forecasts should always be taken with a pinch of salt since investors don’t know what assumptions have been baked into them. But it’s also worth pointing out that the continuous stream of disappointments over the years has set the bar pretty low.

However, short of seeing German performance bounce back, I’m sceptical that the Vodafone share price will be able to maintain upward momentum. Therefore, it’s something shareholders likely need to pay close attention to.

Management’s brought in new leadership for its German operations as well as cut the headcount by 3,100 to bring down costs. It’s also started deploying artificial intelligence (AI) to improve customer experiences that’ll hopefully start creating some goodwill to improve pricing power and loyalty. But until these actions start translating into actual value creation, this isn’t a business I’m rushing to buy, even at its currently depressed valuation.

Investing in AI: 3 Stocks with Huge Potential!

🤖 Are you fascinated by the potential of AI? 🤖

Imagine investing in cutting-edge technology just once, then watching as it evolves and grows, transforming industries and potentially even yielding substantial returns.

If the idea of being part of the AI revolution excites you, along with the prospect of significant potential gains on your initial investment…

Then you won't want to miss this special report inside Motley Fool Share Advisor – 'AI Front Runners: 3 Surprising Stocks Riding The AI Wave’!

And today, we're giving you exclusive access to ONE of these top AI stock picks, absolutely free!

Get your free AI stock pick

Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

Zaven Boyrazian has no position in any of the shares mentioned. The Motley Fool UK has recommended Vodafone Group Public. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

More on Investing Articles

Investing Articles

£20K invested in Tesla stock last April is now worth…

Despite all the bad headlines lately, Tesla stock has put in a storming performance over a 12-month timeframe. Is this…

Read more »

Investing Articles

If a 40 year old invests £600 a month in a SIPP, here’s what they could have by retirement

With no retirement savings at 40, an investor could put £600 a month into a SIPP and grow its value…

Read more »

Stack of British pound coins falling on list of share prices
Investing Articles

Why hasn’t its 9.9% yield boosted the Phoenix share price?

Phoenix Group has a dividend close to double digits, but saw a weak share price performance in recent years. Christopher…

Read more »

Silhouette of a bull standing on top of a landscape with the sun setting behind it
Investing Articles

With average 10% yields, these mid-cap FTSE shares could supercharge a passive income portfolio

Some of the best passive income gems can be found on the UK's smaller indexes like the FTSE 250 and…

Read more »

A coin being dropped into a piggy bank
Investing Articles

As the Barclays share price tanks 19% in 2 days, is this a great buying opportunity?

As a trade war sends the Barclays share price into a tailspin, Andrew Mackie steps back to look at the…

Read more »

Portrait of elderly man wearing white denim shirt and glasses looking up with hand on chin. Thoughtful senior entrepreneur, studio shot against grey background.
Investing Articles

Is Fundsmith Equity still a good choice for a Stocks and Shares ISA in 2025?

Many Britons hold the Fundsmith Equity fund in their Stocks and Shares ISAs. Is this still a good move? Edward…

Read more »

Investing Articles

Nvidia stock is down 24% this year. Time to buy the dip?

Christopher Ruane has been eyeing Nvidia stock as a potential addition to his portfolio for a while. Is a recent…

Read more »

Petrochemical engineer working at night with digital tablet inside oil and gas refinery plant
Investing Articles

Down 25% since January, this resilient dividend stock’s catching my eye

Maintaining the UK’s rail, water, and energy infrastructure isn’t the most exciting business. But it has made this a solid…

Read more »