“France Telecom's general meeting this week confirmed the dividend for this year at 1.40 euro but the pressure (especially from employees which as shareholders have ~ 5% of the shares) has increased to reduce it to 1 euro; it was acted that it will be decreased this coming year”
Eoin Treacy's view Thank you for this informative email. France Telecom's yield of 14.13% is suspiciously high but even if it is reduced to an annual €1 at today's prices the share will still yield 10%.
France Telecom is not a growth stock but has a cash flow driven business that gives it utility-like characteristics. As mentioned on Friday, the medium-term downtrend remains in place. Vivendi with a yield of 7% continues to outperform.