1204 GMT - Telefonica is entering a pivotal phase but the outcomes remain uncertain, UBS analysts write in a note. While the exact direction remains unclear, the Spanish telecommunication company's changes in leadership and shareholder structure reflect a broader strategic reset, they say. The upcoming capital market days should provide more clarity on this matter, they add. For now, the market is likely to be in wait-and-see mode, and if things go well, smart capital allocation could reduce debt over time, they say. If not, the company might need to raise capital or cut its dividend to fund M&A, which may not be well received by investors, they add. Shares are down 0.02% at 4.58 euros.( najat.kantouar@wsj.com)

(END) Dow Jones Newswires

September 01, 2025 08:04 ET (12:04 GMT)

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