Tuesday, April 2, 2013

Vodafone Group Reaches 5-Year High

LONDON -- Vodafone� (LSE: VOD  ) (NASDAQ: VOD  ) continued its recent climb, rising 5.4% to reach 196.65 pence, off the back of further speculation surrounding�Verizon Communications�mulling its options regarding Vodafone's shares in their joint venture, Verizon Wireless.

The move in share price comes following reports from the�Financial Times Alphaville blog that Verizon and AT&T have been working on a "share break-up bid," valuing Vodafone at 260 pence per share, around $245 billion. This would surpass AOL and Time Warner's $165 billion merger, and even Vodafone AirTouch's acquisition of Mannesmann AG for $202.8 billion in 1999, the current record holder.

Vodafone's shares had previously reached 191 pence in early August 2012, with today likely to end on a new five-year high. Following the recent rumors, the telecom company's share price has climbed as the market appeared to have new-found hope for the stock. And on a price-to-earnings ratio of below 12 and a healthy yield forecast of 5.1%, well above the FTSE 100's average of around 3%-3.5%, it's not hard to see why.

Rising over 46 pence to 6,458 pence at the time of writing, the news has helped push the FTSE 100 back toward�its own five-year high of 6,533.99, reached on March 12.

If you already hold Vodafone shares and you're looking for a stock on a similar yield, then you may wish to read�this exclusive free in-depth report. The FTSE 100 company in question offers a 5.6% income, and�might be worth 850 pence�versus around 775 pence currently. Just�click here�to download the report -- it's absolutely free.

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