Verizon Communications (NYSE:VZ) Trading 3.2% Higher After Strong Earnings

Verizon Communications Inc. (NYSE:VZ - Get Free Report)'s share price traded up 3.2% during mid-day trading on Tuesday following a stronger than expected earnings report. The company traded as high as $39.97 and last traded at $39.82. 8,591,181 shares were traded during mid-day trading, a decline of 57% from the average session volume of 20,044,602 shares. The stock had previously closed at $38.60.

The cell phone carrier reported $1.15 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.12 by $0.03. Verizon Communications had a return on equity of 20.71% and a net margin of 8.67%. The firm had revenue of $33 billion during the quarter, compared to analysts' expectations of $33.23 billion. During the same period last year, the business posted $1.20 earnings per share. The company's revenue for the quarter was up .3% compared to the same quarter last year.

Verizon Communications Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, May 1st. Investors of record on Wednesday, April 10th will be given a dividend of $0.665 per share. This represents a $2.66 annualized dividend and a yield of 6.70%. The ex-dividend date is Tuesday, April 9th. Verizon Communications's dividend payout ratio is currently 96.38%.

Wall Street Analyst Weigh In

VZ has been the topic of several research analyst reports. Royal Bank of Canada raised their price objective on Verizon Communications from $36.00 to $40.00 and gave the company a "sector perform" rating in a report on Tuesday, April 2nd. Citigroup raised their price objective on Verizon Communications from $45.00 to $47.00 and gave the company a "buy" rating in a report on Tuesday, January 30th. Oppenheimer reissued an "outperform" rating and issued a $48.00 price objective on shares of Verizon Communications in a report on Tuesday. Raymond James lifted their price target on Verizon Communications from $42.00 to $46.00 and gave the stock an "outperform" rating in a research note on Wednesday, January 24th. Finally, Daiwa Capital Markets raised Verizon Communications from a "neutral" rating to an "outperform" rating and lifted their price target for the stock from $36.00 to $47.00 in a research note on Wednesday, January 24th. Seven investment analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company's stock. According to MarketBeat, Verizon Communications presently has a consensus rating of "Moderate Buy" and an average price target of $44.21.

Insiders Place Their Bets

In other Verizon Communications news, CEO Kyle Malady sold 24,000 shares of the business's stock in a transaction on Thursday, February 22nd. The stock was sold at an average price of $40.80, for a total transaction of $979,200.00. Following the transaction, the chief executive officer now owns 35,201 shares of the company's stock, valued at $1,436,200.80. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. 0.03% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Verizon Communications

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Wetzel Investment Advisors Inc. raised its position in Verizon Communications by 35.9% in the first quarter. Wetzel Investment Advisors Inc. now owns 14,225 shares of the cell phone carrier's stock valued at $571,000 after purchasing an additional 3,760 shares during the period. Bell Bank raised its position in Verizon Communications by 3.0% in the first quarter. Bell Bank now owns 181,433 shares of the cell phone carrier's stock valued at $7,613,000 after purchasing an additional 5,249 shares during the period. Triad Wealth Partners LLC purchased a new stake in Verizon Communications in the first quarter valued at $227,000. Busey Bank raised its position in Verizon Communications by 2.6% in the first quarter. Busey Bank now owns 61,083 shares of the cell phone carrier's stock valued at $2,563,000 after purchasing an additional 1,570 shares during the period. Finally, Precedent Wealth Partners LLC raised its holdings in shares of Verizon Communications by 22.9% in the 1st quarter. Precedent Wealth Partners LLC now owns 11,179 shares of the cell phone carrier's stock valued at $469,000 after buying an additional 2,082 shares during the period. Hedge funds and other institutional investors own 62.06% of the company's stock.

Verizon Communications Price Performance

The company has a current ratio of 0.69, a quick ratio of 0.65 and a debt-to-equity ratio of 1.47. The stock has a market cap of $166.85 billion, a PE ratio of 14.38, a P/E/G ratio of 3.30 and a beta of 0.41. The company has a fifty day moving average of $40.52 and a 200-day moving average of $38.44.

About Verizon Communications

Verizon Communications Inc, through its subsidiaries, engages in the provision of communications, technology, information, and entertainment products and services to consumers, businesses, and governmental entities worldwide. It operates in two segments, Verizon Consumer Group (Consumer) and Verizon Business Group (Business).