- BT Group stock has performed terribly recently, with an investment in the UK telecom giant producing a 50% total return loss over the past five years.
- Significantly higher capital spending is putting pressure on free cash flow, exacerbated by the firm's pension deficit. That ultimately culminated in the dividend being eliminated last year.
- Although sentiment is poor here, a lot of negativity is priced into the stock. A single-digit forward PE ratio means investors can still generate solid total returns from here.
For further details see:
BT Group Is Still Reasonable Value Amid Ongoing Cash Squeeze