Telecom stocks are very attractive for income-oriented investors, considering that they typically are entrenched businesses with high dividend yields. These are low-risk stocks, to be sure, but they are also often low-growth investments, too. That means what you make in regular quarterly dividends may be offset by a slide in share prices.
I watch more than 5,000 publicly traded companies with my Portfolio Grader tool, ranking companies by a number of fundamental and quantitative measures. And this week, I’ve highlighted seven telecom stocks to sell.
Each one of these stocks gets a “D” or “F” according to my research, meaning it is a “sell” or “strong sell.”
China Telecom (NYSE:CHA) is an integrated information service provider with full-service capabilities. In the last year, CHA stock has dropped 20%, compared to a 3% gain for the Dow Jones in the same time. China Telecom stock gets an “F” grade for the magnitude in which earnings projections have increased over the past months. For more information, view my complete analysis of CHA stock.
France Telecom (NYSE:FTE) is a mobile operator, an asymmetric digital subscriber line and Internet access provider. Since last April, France Telecom stock is down 40%. FTE stock gets a “D” grade for the magnitude in which earnings projections have increased over the past months, and a “D” grade for cash. For more information, view my complete analysis of FTE stock.
Telecom Italia (NYSE:TI) provides fixed and mobile telecommunications services. TI stock is down 30% in the last 12 months. Telecom Italia stock gets an “F” grade for sales growth, an “F” grade for operating margin growth, an “F” grade for earnings momentum, and an “F” grade for its ability to exceed the consensus earnings estimates on Wall Street. For more information, view my complete analysis of TI stock.
Telefonica (NYSE:TEF) is a Spanish telecom company that has watched its stock value drop 41% since this time last year. Telefonica stock gets an “F” grade for sales growth, an “F” grade for operating margin growth, a “D” grade for earnings momentum, and a “D” grade for the magnitude in which earnings projections have increased over the past months. For more information, view my complete analysis of TEF stock.
America Movil (NYSE:AMX) provides wireless communications services in Latin America. Since last April, America Movil stock has dropped 20%, compared to gains by the broader markets. AMX stock gets an “F” grade for sales growth, a “D” grade for earnings growth, and a “D” grade for earnings momentum. For more information, view my complete analysis of AMX stock.
NTT DOCOMO (NYSE:DCM) is a Japanese mobile communication business that has experienced a stock dip of 8% since January 1. DCM stock gets an “F” grade for its ability to exceed the consensus earnings estimates on Wall Street, and a “D” grade for the magnitude in which earnings projections have increased over the past months. For more information, view my complete analysis of DCM stock.
VimpelCom (NYSE:VIP) is a group of integrated telecommunications services operators with operations across the globe. VimpelCom stock is down 26% since last April. VIP stock gets a “D” grade for operating margin growth, a “D” grade for earning growth, an “F” grade for earnings momentum. and a “D” grade for the magnitude in which earnings projections have increased over the past months. For more information, view my complete analysis of VIP stock.
Get more analysis of these picks and other publicly-traded stocks with Louis Navellier’s Portfolio Grader tool, a 100% free stock-rating tool that measures both quantitative buying pressure and eight fundamental factors.
