Verizon Communications (NYSE:VZ) Stock Price Up 1.1% - What's Next?

Key Points

• Verizon shares rose 1.1% to $45.21 in mid-day trading, with volume slightly above average. The stock remains below its 50-day and 200-day moving averages.
• Analysts have a consensus “Hold” rating and a $51.05 price target; recent firms lowered targets, while Freedom Broker upgraded the stock to “Buy.”
• Verizon reported quarterly EPS of $1.31, exceeding estimates, while revenue of $34.31 billion fell short of forecasts. The company declared a quarterly dividend of $0.7075 per share, representing an annualized yield of about 6.3%.

Verizon Communications Inc. (NYSE:VZ - Get Free Report) traded up 1.1% during mid-day trading on Monday. The company traded as high as $45.32 and last traded at $45.21. 28,608,205 shares changed hands during mid-day trading, an increase of 4% from the average daily volume of 27,430,637 shares. The stock had previously closed at $44.73.

Analysts Set New Price Targets

VZ has been the topic of a number of research reports. Barclays reduced their price objective on Verizon Communications from $46.00 to $44.00 and set an "equal weight" rating on the stock in a research note on Tuesday, October 27th. Daiwa Securities Group lowered their price objective on shares of Verizon Communications from $55.00 to $52.00 and set a "buy" rating for the company in a research report on Tuesday, October 27th. Citigroup decreased their target price on shares of Verizon Communications from $55.00 to $53.00 and set a "buy" rating on the stock in a research report on Tuesday, October 27th. The Goldman Sachs Group lowered their price objective on Verizon Communications from $51.00 to $47.00 in a research note on Tuesday, October 27th. Finally, Freedom Broker upgraded Verizon Communications from a "hold" rating to a "buy" rating and raised their price target for the stock from $53.00 to $55.00 in a research report on Wednesday, October 28th. Thirteen research analysts have rated the stock with a Buy rating and sixteen have issued a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus target price of $51.05.

Verizon Communications Stock Up 1.1%

The company has a 50-day simple moving average of $47.04 and a 200 day simple moving average of $46.73. The company has a market cap of $187.84 billion, a P/E ratio of 11.53, a P/E/G ratio of 1.81 and a beta of 0.26. The company has a current ratio of 0.63, a quick ratio of 0.58 and a debt-to-equity ratio of 1.33.

Verizon Communications (NYSE:VZ - Get Free Report) last issued its earnings results on Monday, October 26th. The cell phone carrier reported $1.31 EPS for the quarter, topping analysts' consensus estimates of $1.27 by $0.04. Verizon Communications had a net margin of 11.78% and a return on equity of 19.75%. The business had revenue of $34.31 billion for the quarter, compared to analyst estimates of $34.77 billion. During the same period last year, the company posted $1.21 earnings per share. The company's quarterly revenue was up 1.5% compared to the same quarter last year. On average, equities analysts anticipate that Verizon Communications Inc. will post 5.08 EPS for the current year.

Verizon Communications Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, November 2nd. Shareholders of record on Friday, October 9th will be issued a dividend of $0.7075 per share. The ex-dividend date is Friday, October 9th. This represents a $2.83 dividend on an annualized basis and a yield of 6.3%. Verizon Communications's dividend payout ratio is currently 72.19%.

Insider Transactions at Verizon Communications

In other news, CEO Kyle Malady sold 1,100 shares of Verizon Communications stock in a transaction on Tuesday, October 27th. The stock was sold at an average price of $43.00, for a total value of $47,300.00. Following the transaction, the chief executive officer directly owned 98,866 shares in the company, valued at approximately $4,251,238. This trade represents a 1.10% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 11,000 shares of company stock worth $516,373. 0.03% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Bank of America Corp DE raised its stake in Verizon Communications by 15.4% in the 1st quarter. Bank of America Corp DE now owns 62,101,021 shares of the cell phone carrier's stock worth $3,117,471,000 after acquiring an additional 8,289,877 shares during the last quarter. Bank of New York Mellon Corp increased its stake in shares of Verizon Communications by 20.8% in the 1st quarter. Bank of New York Mellon Corp now owns 38,164,982 shares of the cell phone carrier's stock valued at $1,915,882,000 after purchasing an additional 6,580,820 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. acquired a new stake in Verizon Communications in the third quarter valued at approximately $239,584,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in shares of Verizon Communications by 14.1% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 41,173,226 shares of the cell phone carrier's stock valued at $1,743,274,000 after purchasing an additional 5,075,794 shares during the period. Finally, Jupiter Topco LLC purchased a new position in Verizon Communications in the 2nd quarter valued at about $184,260,000. Institutional investors own 62.06% of the company's stock.

Verizon Communications Company Profile

Verizon Communications Inc is a telecommunications company that provides wireless communications, broadband, and digital connectivity services. Through its consumer business, Verizon offers mobile voice and data plans, smartphones and other connected devices, home internet, fixed wireless access, and fiber-optic broadband services under the Fios brand.

Verizon also serves businesses, government agencies, and other organizations with wireless connectivity, private networks, internet and data services, managed communications, cloud and security solutions, and Internet of Things services.

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