Verizon Communications Inc. $VZ Position Trimmed by KLCM Advisors Inc.

Key Points

• KLCM Advisors sharply reduced its Verizon stake in the first quarter, cutting holdings by 72.9% and selling 242,443 shares.
• Verizon posted better-than-expected earnings for the latest quarter, with EPS of $1.28 topping estimates, while revenue rose 2.7% year over year. The company also reaffirmed FY 2026 EPS guidance of 4.95 to 4.99.
• Verizon declared a quarterly dividend of $0.7075 per share, implying an annualized yield of about 6.7%, and analysts currently have a consensus rating of Hold with an average target price of $50.28.

KLCM Advisors Inc. decreased its holdings in Verizon Communications Inc. (NYSE:VZ - Free Report) by 72.9% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 90,312 shares of the cell phone carrier's stock after selling 242,443 shares during the period. KLCM Advisors Inc.'s holdings in Verizon Communications were worth $4,534,000 as of its most recent SEC filing.

A number of other hedge funds have also made changes to their positions in VZ. Vanguard Group Inc. boosted its stake in shares of Verizon Communications by 1.5% during the 4th quarter. Vanguard Group Inc. now owns 379,402,347 shares of the cell phone carrier's stock valued at $15,453,058,000 after buying an additional 5,497,598 shares during the period. State Street Corp increased its stake in shares of Verizon Communications by 3.5% in the fourth quarter. State Street Corp now owns 222,951,399 shares of the cell phone carrier's stock worth $9,080,810,000 after acquiring an additional 7,461,335 shares during the last quarter. Charles Schwab Investment Management Inc. increased its stake in shares of Verizon Communications by 5.3% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 116,570,816 shares of the cell phone carrier's stock worth $4,747,930,000 after acquiring an additional 5,851,715 shares during the last quarter. Geode Capital Management LLC raised its holdings in shares of Verizon Communications by 0.9% during 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 acquiring an additional 867,694 shares in the last quarter. Finally, Norges Bank purchased a new stake in shares of Verizon Communications during the fourth quarter worth $2,357,158,000. 62.06% of the stock is owned by hedge funds and other institutional investors.

Verizon Communications News Roundup

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

• Positive Sentiment: Verizon is being highlighted as a potentially attractive dividend stock, with Barron’s saying now may be a good time to buy income-oriented names like VZ as yields look more compelling. Why Verizon, Clorox and More Dividend Stocks Are Flashing a Buy Signal
• Positive Sentiment: Verizon won a new automotive connectivity contract through its KDDI partnership, becoming the U.S. connectivity provider for newly manufactured BMW Group vehicles, which could support growth in its enterprise and IoT business. Verizon named U.S. connectivity provider for newly manufactured BMW Group vehicles through KDDI partnership
• Positive Sentiment: Analysts also flagged Verizon as a telecom name worth owning, noting its fiber and wireless expansion strategy and suggesting it may have a good setup for its next earnings report. T or VZ: Which Telecom Stock Deserves a Place in Your Portfolio?
• Positive Sentiment: Another recent report said Verizon has a strong earnings surprise history and could beat estimates again, which tends to support investor confidence ahead of results. Will Verizon (VZ) Beat Estimates Again in Its Next Earnings Report?
• Neutral Sentiment: Goldman Sachs won asset-management mandates tied to Verizon’s retirement assets, but this is mainly a financial-services arrangement rather than an operational development for Verizon. Goldman Sachs wins $70 billion in asset management deals with Verizon, Lockheed Martin
• Neutral Sentiment: Some broader commentary on enterprise internet reliability and telecom competition, including Starlink-related pressure, may add noise to the sector outlook, but it is not a direct negative catalyst for Verizon itself. Verizon NYSE: VZ Dow Exit Deepens Starlink Market Pressure

Verizon Communications Stock Down 0.2%

Shares of VZ stock traded down $0.10 on Friday, hitting $42.14. The company's stock had a trading volume of 27,697,528 shares, compared to its average volume of 33,171,120. The company has a debt-to-equity ratio of 1.38, a current ratio of 0.64 and a quick ratio of 0.61. Verizon Communications Inc. has a fifty-two week low of $38.39 and a fifty-two week high of $51.68. The firm's fifty day moving average price is $46.10 and its 200-day moving average price is $45.97. The stock has a market capitalization of $175.95 billion, a price-to-earnings ratio of 10.28, a P/E/G ratio of 1.03 and a beta of 0.26.

Verizon Communications (NYSE:VZ - Get Free Report) last issued its quarterly earnings data on Monday, April 27th. The cell phone carrier reported $1.28 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.21 by $0.07. The firm had revenue of $34.44 billion during the quarter, compared to analysts' expectations of $34.82 billion. Verizon Communications had a net margin of 12.46% and a return on equity of 19.25%. Verizon Communications's revenue for the quarter was up 2.7% on a year-over-year basis. During the same period in the prior year, the company posted $1.19 earnings per share. Verizon Communications has set its FY 2026 guidance at 4.950-4.990 EPS. Research analysts anticipate that Verizon Communications Inc. will post 4.98 EPS for the current year.

Verizon Communications Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, August 3rd. Stockholders of record on Friday, July 10th will be paid a dividend of $0.7075 per share. This represents a $2.83 annualized dividend and a dividend yield of 6.7%. The ex-dividend date is Friday, July 10th. Verizon Communications's dividend payout ratio is 69.02%.

Analyst Upgrades and Downgrades

A number of research analysts have commented on the company. Citigroup boosted their target price on Verizon Communications from $50.00 to $55.00 and gave the company a "buy" rating in a research note on Friday, March 20th. Dbs Bank downgraded Verizon Communications from a "moderate buy" rating to a "hold" rating in a research note on Tuesday, April 7th. JPMorgan Chase & Co. lifted their price target on Verizon Communications from $49.00 to $52.00 and gave the company a "neutral" rating in a report on Thursday, April 30th. Weiss Ratings reissued a "buy (b)" rating on shares of Verizon Communications in a research note on Friday, May 29th. Finally, Freedom Capital upgraded Verizon Communications to a "hold" rating in a report on Friday, June 12th. Nine analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and an average target price of $50.28.

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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