Proactive Investors - Vodafone Group PLC (LON:VOD)'s share price target has been slashed by Deutsche Bank (ETR:DBKGn) but shares could still more than double if the investment bank is right.
Investors in the telco have endured a miserable time with shares down 15% year-to-date and 43% in the past 12 months.
Today, Deutsche analyst Robert Grindle cut his share price target by 19% to 155p from 185p but that still offers more than 100% upside from today's 73p share price.
“Vodafone continues to suffer from a series of unfortunate events with newer ones arriving before older ones see their impact fully wane,” Grindle said.
He said there were pockets of supportive news but the firm has made “missteps”.
He pointed out despite achieving price rises, a top-notch multiple on the Vantage Towers deal and the Three merger, shares have hit new lows.
Grindle said a sector de-rating – pure telcos were down 8% in the second quarter - and paying a final dividend of €4.5 cents “doesn't help the optics”.
Deutsche has a 'buy' rating on Vodafone.