Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, French telecommunications giant France Telecom
With that in mind, let's take a closer look at France Telecom's business and see what CAPS investors are saying about the stock right now.
France Telecom facts
Headquarters (founded) | Paris (1990) |
Market Cap | $38.7 billion |
Industry | Integrated telecom services |
Trailing-12-Month Revenue | $59.6 billion |
Management | Chairman/CEO Stephane Richard CFO Gervais Pellissier |
Return on Equity (average, past 3 years) | 11.9% |
Cash/Debt | $11.9 billion / $55.2 billion |
Dividend Yield | 9.2% |
Competitors |
Bouygues
Societe Francaise du Radiotelephone Vodafone Group |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 96% of the 725 members who have rated France Telecom believe the stock will outperform the S&P 500 going forward.
Just last week, one of those bulls, All-Star Lituus, tapped the stock as an intriguing income opportunity:
[W]hy did I just buy this stock? Because the valuation is cheap and I love the dividend. The payout ratio is 86% so considering how things are going I would not be surprised if it is cut this year. But still, even if the dividend is cut in half it will still yield ~5%. Also, despite the tough competitive situation I think there is some nice upside potential for when Europe eventually recovers.
Of course, despite its four-star rating, France Telecom may not be your top choice. If that's the case, we've compiled a special free report for investors called "Secure Your Future With 11 Rock-Solid Dividend Stocks," which uncovers several other juicy income opportunities. The report is 100% free, but it won't be around forever, so click here to access it now.
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