Erste Group Bank Has Negative Outlook of VZ FY2027 Earnings

Key Points

• Erste Group Bank slightly lowered its FY2027 EPS estimate for Verizon to $5.25 from $5.26 and kept a Hold rating on the stock.
• The new estimate remains above the broader consensus forecast of $4.96 per share, suggesting Erste still sees Verizon earning more than the average analyst expects.
• Verizon recently beat quarterly EPS expectations with $1.28 per share and also has several supportive developments, including a strengthened analyst consensus profile and positive news on spectrum and capital structure.

Verizon Communications Inc. (NYSE:VZ - Free Report) - Analysts at Erste Group Bank dropped their FY2027 earnings per share estimates for Verizon Communications in a research note issued to investors on Tuesday, May 12th. Erste Group Bank analyst H. Engel now anticipates that the cell phone carrier will post earnings of $5.25 per share for the year, down from their previous estimate of $5.26. Erste Group Bank has a "Hold" rating on the stock. The consensus estimate for Verizon Communications' current full-year earnings is $4.96 per share.

Several other equities analysts also recently commented on VZ. Weiss Ratings raised shares of Verizon Communications from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Thursday, February 5th. Royal Bank Of Canada upped their price objective on shares of Verizon Communications from $44.00 to $48.00 and gave the company a "sector perform" rating in a research note on Tuesday, February 3rd. KeyCorp reaffirmed a "sector weight" rating on shares of Verizon Communications in a research note on Monday, January 26th. William Blair raised shares of Verizon Communications to an "outperform" rating in a research note on Monday, February 2nd. Finally, Williams Trading set a $54.00 price objective on shares of Verizon Communications in a research note on Monday, February 2nd. One research analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and eleven have issued a Hold rating to the company's stock. Based on data from MarketBeat, Verizon Communications currently has an average rating of "Moderate Buy" and an average target price of $50.59.

Verizon Communications Stock Performance

Shares of VZ stock opened at $46.44 on Monday. The company has a debt-to-equity ratio of 1.38, a quick ratio of 0.61 and a current ratio of 0.64. Verizon Communications has a fifty-two week low of $38.39 and a fifty-two week high of $51.68. The stock has a 50 day moving average price of $48.46 and a two-hundred day moving average price of $44.52. The company has a market capitalization of $193.90 billion, a P/E ratio of 11.33, a PEG ratio of 0.97 and a beta of 0.24.

Verizon Communications (NYSE:VZ - Get Free Report) last announced its quarterly earnings data on Monday, April 27th. The cell phone carrier reported $1.28 earnings per share for the quarter, beating the consensus estimate of $1.21 by $0.07. Verizon Communications had a return on equity of 19.25% and a net margin of 12.46%.The firm had revenue of $34.44 billion during the quarter, compared to the consensus estimate of $34.82 billion. During the same quarter in the previous year, the company posted $1.19 earnings per share. The business's revenue was up 2.7% on a year-over-year basis. Verizon Communications has set its FY 2026 guidance at 4.950-4.990 EPS.

Insider Buying and Selling

In related news, SVP Mary-Lee Stillwell sold 8,569 shares of the stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $50.00, for a total value of $428,450.00. Following the completion of the transaction, the senior vice president directly owned 43,782 shares of the company's stock, valued at $2,189,100. This represents a 16.37% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Hans Erik Vestberg sold 200,000 shares of the stock in a transaction dated Tuesday, February 24th. The stock was sold at an average price of $49.61, for a total transaction of $9,922,000.00. Following the completion of the transaction, the director directly owned 145,069 shares of the company's stock, valued at approximately $7,196,873.09. The trade was a 57.96% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 0.03% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Verizon Communications

A number of institutional investors have recently bought and sold shares of the stock. Strengthening Families & Communities LLC raised its holdings in Verizon Communications by 490.0% in the fourth quarter. Strengthening Families & Communities LLC now owns 649 shares of the cell phone carrier's stock worth $26,000 after purchasing an additional 539 shares in the last quarter. Holos Integrated Wealth LLC bought a new position in Verizon Communications in the fourth quarter worth $28,000. Lam Group Inc. bought a new position in Verizon Communications in the first quarter worth $28,000. Foster Dykema Cabot & Partners LLC bought a new position in Verizon Communications in the third quarter worth $29,000. Finally, EQ Wealth Advisors LLC bought a new position in Verizon Communications in the fourth quarter worth $29,000. 62.06% of the stock is owned by institutional investors.

More Verizon Communications News

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

• Positive Sentiment: The FCC approved Verizon’s $1 billion purchase of spectrum assets from U.S. Cellular, a move that should expand Verizon’s network capacity and coverage and strengthen its competitive position. FCC approves Verizon's $1 billion spectrum purchase
• Positive Sentiment: Verizon joined AT&T and T-Mobile in a proposed satellite-based joint venture aimed at closing rural wireless dead zones, which could improve service quality, coverage reliability, and the industry’s long-term growth narrative. Verizon Joins Rivals On Satellite Venture Reshaping Coverage And Investor Focus
• Positive Sentiment: Verizon closed a $4 billion junior subordinated notes offering, which was framed as strengthening its capital structure and supporting refinancing/funding flexibility. Verizon Strengthens Capital Structure with $4 Billion Notes
• Positive Sentiment: A bullish piece highlighted Verizon as one of 2026’s top defensive picks, citing undervaluation, a well-covered dividend, and potential upside over the next year. Why Verizon Is One of Our Top Defensive Picks In 2026
• Neutral Sentiment: Several articles focused on Verizon’s competitive position versus T-Mobile, customer retention, and a customer-facing website blocking issue; these are more mixed in nature and do not clearly change the near-term investment case. T-Mobile vs. Verizon: Is It Time to Choose a New Carrier?
• Negative Sentiment: A report on new layoffs suggests Verizon is still pushing hard on cost cuts and restructuring, which may help margins but can also signal pressure on operations and demand. Verizon Announces New Layoffs as Cost-Cutting Continues Into 2026
• Negative Sentiment: One article warned that Verizon’s latest phone plan changes could push away customers, reinforcing concerns about churn in a highly competitive wireless market. Verizon’s latest phone plan change may drive away consumers

About Verizon Communications

Verizon Communications Inc NYSE: VZ is a major U.S.-based telecommunications company that provides a broad range of communications and information services. Its operations span consumer and business markets, with core offerings that include wireless voice and data services, fixed-line broadband and fiber-optic services, and enterprise networking solutions. Verizon is headquartered in New York City and operates a nationwide wireless network that supports consumer subscribers as well as business and government customers.

The company's consumer products include mobile phone plans, unlimited data services, and Fios, its branded fiber-optic internet, television and voice service for homes and small businesses.

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