don´t go for Telefonica, not for the long run. You may get a short time spectacular rebound, but it is not a stock you want to marry to. I don´t know much about fundamentals but I am Spanish and I have followed the Ibex35 for a while.
P.S. Iberdrola is a Spanish utility much more interesting for the long run…. well… I just had a hunch.
I see that Chris recommended TEF back in October 2011 in an article in Intl Living. I wonder if he’s changed his mind now that the price has halved and the yield has doubled. At the time he noted that 60% of its business was outside Spain and more than half its revenues came from emerging markets.
With this in mind would anyone care to hazard a guess as to what would happen to TEF if Spain exits the EU (i.e. Spanish Euros get turned into “new pesos” at a devalued rate)?