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    Vodafone Group (LSE:VOD) Joins Satellite Spectrum Bid, Is The 2% Undervaluation Enough?

    Simply Wall St·10/23/2026 05:43:54
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    Vodafone Group (LSE:VOD) has been pulled into focus after joining Deutsche Telekom, Orange and Telefónica in signing a Letter of Intent to explore a joint bid for Mobile Satellite Services spectrum across Europe.

    For context, Vodafone Group shares last closed at £1.198, and the stock has logged a 20.72% share price return year to date. The 1-year total shareholder return of 41.67% and 3-year total shareholder return of 94.76% point to momentum that has been building over a longer stretch, despite some recent 30-day share price softness of 4.27% as investors weigh moves like this satellite spectrum push against previous catalysts.

    Scan beyond Vodafone Group and line up joint satellite and mobile network plays with the hand-picked 42 power grid technology and infrastructure stocks at the center of critical connectivity infrastructure.

    Vodafone Group now sits at the crossroads of a fast-moving satellite push and a share price that has already run hard. Do you pay up today for that optionality, or hold fire for a cheaper shot?

    Most Popular Narrative: 2% Undervalued

    Vodafone Group is framed as modestly undervalued, with a fair value of £1.22 sitting just above the recent £1.198 close, and the core debate now revolves around whether its execution can catch up with that narrative.

    The integration of VodafoneThree in the U.K., with increased annual cost and CapEx synergy ambitions of £800 million by FY2030 and a path to £1b by FY2032, is expected to improve net margins and free cash flow as duplicate network and operating costs are removed.

    The planned £11b investment over 10 years to build a 5G standalone network in the U.K., targeting 99.96% population coverage and materially higher capacity and speeds, is expected to support higher mobile ARPU and service revenue as customers pay for improved network quality.

    See why 168 investors see Vodafone Group as 2% undervalued.

    Result: Fair Value of £1.22 (UNDERVALUED)

    Still, if Germany sees deeper EBITDA pressure than management anticipates or the VodafoneThree merger runs into integration snags, the Vodafone Group fair value story could quickly fray.

    Find out about the key risks to this Vodafone Group narrative.

    Next Steps

    If the Vodafone Group story so far feels finely balanced between promise and pressure, consider reviewing the detailed 3 key rewards and 2 important warning signs and assessing the numbers for yourself.

    Looking for more Vodafone Group-sized opportunities?

    If Vodafone Group has sharpened your focus, do not stop here. Use Simply Wall Street's screener to surface fresh ideas before the crowd moves on.