Verizon Communications Inc. (NYSE:VZ) Stock Now Rated "Hold" by Wall Street Analysts

Key Points

• Analysts rate Verizon “Hold” overall: Twelve of 20 analysts recommend holding the stock, while eight recommend buying it. The average 12-month price target is $50.97, compared with a recent share price of $45.88.
• Quarterly earnings beat estimates, but revenue declined: Verizon reported EPS of $1.30 versus the $1.27 consensus, while revenue fell 0.7% year over year to $34.25 billion, below expectations.
• Income appeal is balanced by operational risks: Verizon’s annualized dividend of $2.83 provides a 6.2% yield, but the company faces potential customer dissatisfaction from a STARZ carriage dispute and continued costs tied to delayed copper-network retirements.

Verizon Communications Inc. (NYSE:VZ - Get Free Report) has been given a consensus recommendation of "Hold" by the twenty research firms that are currently covering the stock, MarketBeat.com reports. Twelve equities research analysts have rated the stock with a hold rating and eight have given a buy rating to the company. The average 12-month price objective among brokerages that have issued a report on the stock in the last year is $50.97.

A number of research analysts have issued reports on the company. Morgan Stanley lifted their price objective on Verizon Communications from $50.00 to $52.00 and gave the company an "equal weight" rating in a report on Monday, July 27th. Wells Fargo & Company upped their target price on shares of Verizon Communications from $43.00 to $47.00 and gave the stock an "equal weight" rating in a report on Monday, July 27th. Freedom Capital upgraded shares of Verizon Communications to a "hold" rating in a research report on Friday, June 12th. Moffett Nathanson reduced their price target on shares of Verizon Communications from $56.00 to $49.00 and set a "neutral" rating on the stock in a research report on Monday, July 20th. Finally, Royal Bank Of Canada upped their price objective on shares of Verizon Communications from $46.00 to $47.00 and gave the stock a "sector perform" rating in a research note on Monday, July 27th.

More Verizon Communications News

Here are the key news stories impacting Verizon Communications this week:

• Positive Sentiment: Potential earnings beat: Verizon’s strong earnings-surprise history, favorable analyst estimate trends and improving expectations for its upcoming quarterly report could support the stock. The company previously exceeded EPS estimates, although revenue declined year over year. Will Verizon Beat Estimates Again
• Positive Sentiment: Industrywide effort to eliminate dead zones: Verizon, AT&T and T-Mobile are forming a joint venture aimed at improving wireless coverage in underserved areas. The initiative could enhance network reliability and customer service, though the financial benefits and implementation costs are not yet clear. AT&T T-Mobile and Verizon Joint Venture
• Positive Sentiment: High dividend appeal: Verizon’s quarterly dividend of $0.7075 per share, or $2.83 annualized, provides a yield of roughly 6% based on the background trading data. That income profile may attract investors seeking defensive, cash-generating stocks, although elevated Treasury yields make high-yield telecom shares compete more directly with government bonds. Dividend Stocks and Treasury Yields
• Neutral Sentiment: Technology-focused board appointment: Verizon elected technology executive and private-equity investor Charles Phillips to its board. His background could support network and digital-infrastructure strategy, but the appointment is unlikely to immediately change earnings. Verizon Adds Charles Phillips to Its Board
• Neutral Sentiment: CEO stock sale: CEO Kyle Malady sold 1,100 shares worth approximately $51,040 under a pre-arranged Rule 10b5-1 plan. Because the sale represented only about 1% of his holdings and was scheduled in advance, it is a limited valuation signal. Verizon CEO Insider Sale
• Negative Sentiment: STARZ carriage dispute: Verizon Fios customers have lost access to STARZ channels, on-demand programming and the STARZ app after negotiations failed. The dispute could increase customer dissatisfaction and contribute to subscriber losses, although its direct financial impact appears limited. Verizon Fios Customers Lose STARZ
• Negative Sentiment: FCC pause on copper shutdown: Regulators halted Verizon’s planned automatic retirement of copper telephone service in parts of New Jersey. The delay may prolong legacy-network costs and slow the transition toward newer infrastructure. FCC Pause on Verizon Copper Retirement

Verizon Communications Price Performance

Shares of Verizon Communications stock opened at $45.88 on Friday. The firm has a fifty day moving average price of $48.40 and a two-hundred day moving average price of $47.25. Verizon Communications has a fifty-two week low of $38.39 and a fifty-two week high of $51.68. The company has a debt-to-equity ratio of 1.36, a current ratio of 0.60 and a quick ratio of 0.57. The company has a market cap of $190.62 billion, a PE ratio of 11.95, a price-to-earnings-growth ratio of 1.56 and a beta of 0.27.

Verizon Communications (NYSE:VZ - Get Free Report) last posted its quarterly earnings results on Friday, July 24th. The cell phone carrier reported $1.30 earnings per share for the quarter, topping analysts' consensus estimates of $1.27 by $0.03. Verizon Communications had a net margin of 11.64% and a return on equity of 19.48%. The firm had revenue of $34.25 billion for the quarter, compared to the consensus estimate of $35.16 billion. During the same quarter in the previous year, the company earned $1.22 earnings per share. The business's revenue was down .7% compared to the same quarter last year. Verizon Communications has set its FY 2026 guidance at 4.990-5.040 EPS. Analysts expect that Verizon Communications will post 5.03 EPS for the current year.

Verizon Communications Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, November 2nd. Shareholders of record on Friday, October 9th will be issued a dividend of $0.7075 per share. The ex-dividend date of this dividend is Friday, October 9th. This represents a $2.83 dividend on an annualized basis and a yield of 6.2%. Verizon Communications's dividend payout ratio is currently 73.70%.

Insider Activity at Verizon Communications

In other Verizon Communications news, CEO Kyle Malady sold 1,100 shares of the stock in a transaction on Tuesday, September 29th. The stock was sold at an average price of $46.40, for a total value of $51,040.00. Following the transaction, the chief executive officer directly owned 103,266 shares in the company, valued at approximately $4,791,542.40. This trade represents a 1.05% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 6,600 shares of company stock worth $322,597 over the last quarter. 0.03% of the stock is owned by corporate insiders.

Institutional Trading of Verizon Communications

Institutional investors have recently bought and sold shares of the business. Robinswood Financial LLC acquired a new position in Verizon Communications in the 1st quarter worth $27,000. Lam Group Inc. acquired a new stake in shares of Verizon Communications in the 1st quarter valued at about $28,000. Gill Capital Partners LLC lifted its holdings in shares of Verizon Communications by 74.6% in the second quarter. Gill Capital Partners LLC now owns 620 shares of the cell phone carrier's stock valued at $26,000 after purchasing an additional 265 shares in the last quarter. Sarver Vrooman Wealth Advisors lifted its holdings in shares of Verizon Communications by 173.0% in the fourth quarter. Sarver Vrooman Wealth Advisors now owns 707 shares of the cell phone carrier's stock valued at $29,000 after purchasing an additional 448 shares in the last quarter. Finally, Bare Financial Services Inc lifted its holdings in shares of Verizon Communications by 37.4% in the second quarter. Bare Financial Services Inc now owns 841 shares of the cell phone carrier's stock valued at $36,000 after purchasing an additional 229 shares in the last quarter. Institutional investors and hedge funds own 62.06% of the company's stock.

About Verizon Communications

Verizon Communications Inc is a telecommunications company headquartered in New York City and listed on the New York Stock Exchange under the symbol VZ. The company was formed in 2000 through the merger of Bell Atlantic and GTE and has developed into one of the largest communications providers in the United States.

Verizon's consumer business provides wireless voice and data services, smartphones and other connected devices, home internet, broadband, and related communications products.

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