Vodafone entice investors despite a fall in revenue

Despite falls in revenue Sheridan Admans, investment research manager at The Share Centre, continues to recommend investors call on Vodafone for income.
 
"This morning, Vodafone's results demonstrated that pressure still remains on the US and emerging market operations to offset the mobile phone operator's declining European revenues for the second consecutive quarter.
 
"Revenue weakness in Europe was broadly expected, however declines in the UK of -5.2% were not. Data revenue continues to grow, balancing declines in voice and message services and supported by smart phone penetration in Europe reaching 33.4%
 
"Vodafone continues to be the top dividend payer of the FTSE 100, with a forecast dividend yield for 2013 of over 6%. The stock also offers investors defensive qualities, strong levels of free cash flow - albeit at the lower end of its expectations, a debt reduction plan and a concentration on its core growth opportunities.
 
"We recommend Vodafone as a ‘buy' for income seekers, however its current challenges mean it's a struggle to see any short to medium-term catalyst to re-rate the price higher."

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