VEON stock soars to 52-week high, touches $29.75 By Investing.com

In a remarkable display of market resilience, VEON Ltd. shares have surged to a 52-week high, reaching a price level of $29.75. This peak represents a significant milestone for the telecommunications giant, reflecting a robust period of trading that has caught the attention of investors and market analysts alike. Over the past year, VEON, also known as VimpelCom (NASDAQ:) Ltd., has witnessed an impressive 1-year change, with its stock value climbing by 48.08%. This substantial growth underscores the company’s strong performance and investor confidence in its strategic direction amidst a dynamic and competitive industry landscape.

In other recent news, VEON Ltd. reported a strong performance for the second quarter of 2024, showcasing robust growth and healthy liquidity. The company’s U.S. dollar revenues saw a year-over-year increase of 12.1%, while Group EBITDA experienced a 10.6% rise. Notably, VEON’s digital revenues now account for 10% of total revenues in the first half of 2024, indicating a successful focus on digital strategy and 4G network expansion.

VEON’s operating companies in Ukraine, Pakistan, Kazakhstan, and Bangladesh all reported growth. However, the company faced a cyber-attack in Ukraine, impacting revenue and EBITDA by approximately $46 million and $47 million, respectively. In Bangladesh, network disruptions caused operational challenges, though the situation has since stabilized.

Looking ahead, VEON anticipates continued revenue growth of 16-18% and EBITDA growth of 18-20% for the full year of 2024. The company is also focused on managing its 2025 debt maturities. These recent developments underline VEON’s ability to navigate market challenges while capitalizing on growth opportunities, particularly in digital services and network expansion.

InvestingPro Insights

VEON Ltd.’s ascent to a 52-week high is supported by a notable 1-year price total return of 48.78%, as investors show their optimism about the company’s prospects. In the last twelve months as of Q2 2024, VEON has displayed a solid financial performance, with a revenue growth of 6.53% and a substantial operating income margin of 25.03%. These figures are a testament to the company’s effective operational management and its ability to capitalize on market opportunities.

InvestingPro Tips suggest that VEON’s stock price movements are quite volatile, which could indicate a higher risk-reward scenario for traders and investors. Additionally, analysts predict the company will be profitable this year, which aligns with the company’s positive basic and diluted EPS of 4.36 USD. These insights, along with the detailed metrics and additional tips, are available on the InvestingPro platform, which currently lists 6 more tips for VEON, providing a comprehensive investment outlook.

As VEON trades near its 52-week high, with a price 97% of that peak, the market’s valuation of the company appears to be strong. The InvestingPro Fair Value estimation of 32.38 USD suggests potential upside, while the analyst target of 40 USD indicates even more optimistic expectations. These valuations, coupled with the company’s profitability over the last twelve months, paint a promising picture for VEON’s financial health and future performance.

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