The Vodafone share price has struggled substantially in the past few weeks. The VOD stock is trading at 112.54p, which is about 21% below the highest level this year. This makes it one of the worst-performing FTSE 100 index in the past few months.
Vodafone is a giant telecommunication company with operations in key markets like the UK, Egypt, India, and Ghana. It operates in about 22 countries around the world. In these, the firm provides data and voice services.
The VOD share price has crashed in the past few months as investors watch the ongoing Vodafone Idea crisis. Also, the firm published relatively weak results in November. Its revenue for the first half of the year was €22.49 billion, which was higher than the €21.43 billion it made in the previous year. Still, its operating profit declined by 21% to €2.62 billion.
While the Vodafone share price is dull, there are some possible catalysts. For example, there are rumours that the company could become an acquisition target. Rumours pointed to a potential bid by CVC Capital, one of the biggest PE firms in Europe. Still, the two firms have not confirmed the rumours.
Vodafone share price forecast
The daily chart shows that the VOD share price has been in a tight range in the past few days. As a result, the stock is along the 25-day and 50-day moving averages. The stock is slightly above the key support at 107p, where it formed a double-bottom pattern. It is slightly below the descending trendline that is shown in blue while the MACD is along the neutral level.
Therefore, there is a likelihood that the stock will end the year in this range. The next key support level to watch will be at 107p.