Ritholtz Wealth Management Grows Stock Position in Verizon Communications Inc. $VZ

Key Points

• Ritholtz Wealth Management increased its Verizon stake by 20.9% in the first quarter, buying 38,530 more shares and bringing its total holding to 222,881 shares worth about $11.2 million.
• Verizon is facing a modest sentiment hit after Alphabet replaced it in the Dow Jones Industrial Average, while the company is also launching new low-cost wireless plans to help stem subscriber losses.
• Wall Street remains broadly constructive: analysts’ consensus is Moderate Buy with an average price target of $50.59, and Verizon recently reported earnings of $1.28 per share, ahead of estimates, while maintaining a quarterly dividend yield of 6.2%.

Ritholtz Wealth Management boosted its stake in shares of Verizon Communications Inc. (NYSE:VZ - Free Report) by 20.9% in the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 222,881 shares of the cell phone carrier's stock after acquiring an additional 38,530 shares during the quarter. Ritholtz Wealth Management's holdings in Verizon Communications were worth $11,189,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other institutional investors also recently bought and sold shares of the stock. Vanguard Group Inc. increased its stake in Verizon Communications by 1.5% in the 4th quarter. Vanguard Group Inc. now owns 379,402,347 shares of the cell phone carrier's stock worth $15,453,058,000 after purchasing an additional 5,497,598 shares during the period. State Street Corp boosted its stake in shares of Verizon Communications by 3.5% during the fourth quarter. State Street Corp now owns 222,951,399 shares of the cell phone carrier's stock valued at $9,080,810,000 after purchasing an additional 7,461,335 shares during the period. Charles Schwab Investment Management Inc. boosted its stake in shares of Verizon Communications by 5.3% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 116,570,816 shares of the cell phone carrier's stock valued at $4,747,930,000 after purchasing an additional 5,851,715 shares during the period. Geode Capital Management LLC grew its holdings in shares of Verizon Communications by 0.9% in the fourth quarter. Geode Capital Management LLC now owns 102,632,509 shares of the cell phone carrier's stock worth $4,168,080,000 after purchasing an additional 867,694 shares during the last quarter. Finally, Norges Bank bought a new position in shares of Verizon Communications in the fourth quarter worth approximately $2,357,158,000. 62.06% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Verizon Communications

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

• Negative Sentiment: Alphabet will join the Dow Jones Industrial Average, replacing Verizon, which may weigh on sentiment as Verizon loses a prestigious index position. Alphabet added to Dow Jones Industrial Average, replacing Verizon
• Negative Sentiment: Verizon is leaving the Dow partly because its low share price gave it an “immaterial impact” on the index, highlighting its limited influence in the benchmark. Could Nike Get the Boot from the Dow? Why Berkshire Hathaway Might Take Its Place.
• Neutral Sentiment: Verizon launched new wireless plans focused on affordability and simplicity to stem subscriber losses, which could help stabilize the business but also underscores competitive pressure. Verizon (VZ) Launches Simplicity And Verizon One Plans To Win Back Subscribers
• Neutral Sentiment: Despite the stock’s weakness, some investors continue to view Verizon as a defensive dividend name with an attractive yield. Why Johnson & Johnson, Altria, Verizon, and Other Safe Dividend Stocks Climbed Today

Wall Street Analysts Forecast Growth

Several research analysts recently commented on the stock. Barclays lifted their target price on shares of Verizon Communications from $43.00 to $47.00 and gave the stock an "equal weight" rating in a research note on Tuesday, March 31st. Freedom Capital raised shares of Verizon Communications to a "hold" rating in a research report on Friday, June 12th. JPMorgan Chase & Co. raised their price target on shares of Verizon Communications from $49.00 to $52.00 and gave the stock a "neutral" rating in a report on Thursday, April 30th. Morgan Stanley boosted their price objective on shares of Verizon Communications from $49.00 to $50.00 and gave the company an "equal weight" rating in a research report on Tuesday, April 28th. Finally, Citigroup upped their price objective on shares of Verizon Communications from $50.00 to $55.00 and gave the company a "buy" rating in a research note on Friday, March 20th. One investment analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and twelve have given a Hold rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $50.59.

Verizon Communications Price Performance

VZ opened at $45.70 on Thursday. The company has a debt-to-equity ratio of 1.38, a quick ratio of 0.61 and a current ratio of 0.64. The stock has a market capitalization of $190.82 billion, a PE ratio of 11.15, a price-to-earnings-growth ratio of 1.14 and a beta of 0.24. The stock's 50 day moving average price is $46.89 and its 200-day moving average price is $45.80. Verizon Communications Inc. has a 52-week low of $38.39 and a 52-week high of $51.68.

Verizon Communications (NYSE:VZ - Get Free Report) last announced its quarterly earnings results on Monday, April 27th. The cell phone carrier reported $1.28 EPS for the quarter, topping analysts' consensus estimates of $1.21 by $0.07. The company had revenue of $34.44 billion during the quarter, compared to analyst estimates of $34.82 billion. Verizon Communications had a return on equity of 19.25% and a net margin of 12.46%.The firm's revenue was up 2.7% on a year-over-year basis. During the same quarter last year, the firm posted $1.19 earnings per share. Verizon Communications has set its FY 2026 guidance at 4.950-4.990 EPS. On average, equities research analysts predict that Verizon Communications Inc. will post 4.97 EPS for the current year.

Verizon Communications Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, August 3rd. Shareholders of record on Friday, July 10th will be issued a $0.7075 dividend. The ex-dividend date is Friday, July 10th. This represents a $2.83 annualized dividend and a yield of 6.2%. Verizon Communications's dividend payout ratio is 69.02%.

Verizon Communications Profile

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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