After years of woe, the BT (LSE: BT.A) share price finally put on a show last month. It ended May 25.76% higher than it began the month, which is quite a turnaround. On the FTSE 100, only a resurgent Hargreaves Lansdown did better.
Long-term investors will still be hurting though. Over one year, BT shares are still down 11.07%. Over five years, they’re down 32.6%. And that’s after taking into account the recent bounce.
The BT jump is a great advertisement for buying oversold FTSE 100 stocks, which is exactly what I like to do. Unfortunately, it isn’t easy. Plenty of investors will have snatched at this falling knife in recent years, and regretted it. Now there’s another danger. Is this just a so-called dead cat bounce?
Beating the FTSE 100
BT shares jumped on a surprisingly upbeat set of results. Well, upbeat by its standards. Annual profits actually dropped 31%. However, investors chose to look past…
