Verizon Communications (NYSE:VZ) Stock Price Down 1.6% After Insider Selling

Key Points

• Verizon shares fell 1.6% to about $49.37 after CEO Kyle Malady sold 1,100 shares worth approximately $55,066 under a pre-arranged Rule 10b5-1 trading plan. Trading volume was roughly 16.4 million shares, below the average daily volume.
• Analysts maintain a generally cautious outlook, with nine Buy ratings and twelve Holds producing a consensus “Hold” rating and an average price target of $50.84.
• Verizon reported quarterly EPS of $1.30, exceeding estimates, though revenue declined 0.7% year over year. The company pays a quarterly dividend of $0.7075, or $2.83 annually, representing a 5.7% yield.

Shares of Verizon Communications Inc. (NYSE:VZ - Get Free Report) dropped 1.6% on Thursday after an insider sold shares in the company. The stock traded as low as $49.12 and last traded at $49.3720. Approximately 16,369,181 shares traded hands during trading, a decline of 42% from the average daily volume of 28,029,484 shares. The stock had previously closed at $50.19.

Specifically, CEO Kyle Malady sold 1,100 shares of the company's stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $50.06, for a total transaction of $55,066.00. Following the completion of the transaction, the chief executive officer directly owned 108,766 shares in the company, valued at approximately $5,444,825.96. This represents a 1.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently issued reports on VZ shares. Moffett Nathanson dropped their target price on shares of Verizon Communications from $56.00 to $49.00 and set a "neutral" rating for the company in a report on Monday, July 20th. BNP Paribas Exane decreased their price target on Verizon Communications from $46.00 to $44.00 and set a "neutral" rating on the stock in a research note on Tuesday, July 14th. Scotiabank lifted their price objective on Verizon Communications from $51.50 to $52.50 and gave the company a "sector outperform" rating in a research note on Monday, July 27th. JPMorgan Chase & Co. boosted their price objective on Verizon Communications from $49.00 to $52.00 and gave the company a "neutral" rating in a report on Thursday, April 30th. Finally, Barclays increased their target price on Verizon Communications from $45.00 to $46.00 and gave the stock an "equal weight" rating in a research note on Monday, July 27th. Nine equities research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $50.84.

Verizon Communications Trading Down 1.6%

The stock has a market cap of $205.13 billion, a price-to-earnings ratio of 12.86, a P/E/G ratio of 1.40 and a beta of 0.25. The business's 50 day moving average is $45.73 and its 200 day moving average is $47.38. The company has a debt-to-equity ratio of 1.36, a current ratio of 0.60 and a quick ratio of 0.57.

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

Verizon Communications Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Monday, August 3rd. Shareholders of record on Friday, July 10th were issued a dividend of $0.7075 per share. The ex-dividend date of this dividend was Friday, July 10th. This represents a $2.83 annualized dividend and a dividend yield of 5.7%. Verizon Communications's dividend payout ratio (DPR) is presently 73.70%.

Institutional Trading of Verizon Communications

Institutional investors and hedge funds have recently made changes to their positions in the company. Robinswood Financial LLC acquired a new stake in shares of Verizon Communications in the first quarter valued at approximately $27,000. Lam Group Inc. acquired a new position in shares of Verizon Communications in the 1st quarter valued at $28,000. Gill Capital Partners LLC raised its position in Verizon Communications by 74.6% in the 2nd 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 during the last quarter. Strengthening Families & Communities LLC boosted its stake in Verizon Communications by 490.0% during the 4th 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 during the period. Finally, EQ Wealth Advisors LLC acquired a new stake in Verizon Communications during the 4th quarter worth $29,000. 62.06% of the stock is owned by hedge funds and other institutional investors.

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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