Verizon Communications Inc. (NYSE:VZ) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• Verizon Communications has a consensus analyst rating of “Moderate Buy” from 22 research firms, with an average 12-month target price of about $50.59.
• The company recently launched new wireless plans, Simplicity and Verizon One, aimed at attracting subscribers with simpler pricing and bundled mobile/home internet offerings.
• Verizon will be removed from the Dow Jones Industrial Average and replaced by Alphabet on June 29, a move that could hurt sentiment by reducing the stock’s blue-chip visibility.

Shares of Verizon Communications Inc. (NYSE:VZ - Get Free Report) have been given a consensus recommendation of "Moderate Buy" by the twenty-two research firms that are currently covering the stock, MarketBeat reports. Twelve equities research analysts have rated the stock with a hold recommendation, nine have assigned a buy recommendation and one has given a strong buy recommendation to the company. The average 12 month target price among brokers that have updated their coverage on the stock in the last year is $50.5938.

VZ has been the topic of several analyst reports. Freedom Capital upgraded Verizon Communications to a "hold" rating in a research note on Friday, June 12th. Barclays upped their price target on Verizon Communications from $43.00 to $47.00 and gave the stock an "equal weight" rating in a research note on Tuesday, March 31st. Weiss Ratings reiterated a "buy (b)" rating on shares of Verizon Communications in a research report on Friday, May 29th. Raymond James Financial reissued an "outperform" rating and issued a $56.00 price objective on shares of Verizon Communications in a research note on Thursday, March 12th. Finally, Citigroup upped their price objective on shares of Verizon Communications from $50.00 to $55.00 and gave the stock a "buy" rating in a research report on Friday, March 20th.

Key Headlines Impacting Verizon Communications

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

• Positive Sentiment: Verizon launched two new wireless offerings, Simplicity and Verizon One, to win back subscribers with simpler pricing and bundled mobile/home internet plans. That could help stabilize churn and support future revenue growth. Verizon (VZ) Launches Simplicity And Verizon One Plans To Win Back Subscribers
• Neutral Sentiment: Verizon has been a trending stock on Zacks, which suggests elevated investor interest, but the item itself does not point to a specific fundamental catalyst. Verizon Communications Inc. (VZ) Is a Trending Stock: Facts to Know Before Betting on It
• Negative Sentiment: Alphabet will replace Verizon in the Dow Jones Industrial Average on June 29. Being removed from the DJIA can weigh on sentiment because it reduces index visibility and is often interpreted as a relative loss of blue-chip status. Google-Parent Alphabet to Replace Verizon in Dow Jones Industrial Average

Institutional Investors Weigh In On Verizon Communications

A number of institutional investors have recently added to or reduced their stakes in VZ. Strengthening Families & Communities LLC boosted its stake in shares of Verizon Communications by 490.0% in the fourth quarter. Strengthening Families & Communities LLC now owns 649 shares of the cell phone carrier's stock valued at $26,000 after buying an additional 539 shares in the last quarter. Robinswood Financial LLC acquired a new stake in Verizon Communications in the first quarter valued at $27,000. Holos Integrated Wealth LLC acquired a new stake in Verizon Communications in the fourth quarter valued at $28,000. Lam Group Inc. purchased a new stake in shares of Verizon Communications during the 1st quarter worth $28,000. Finally, Foster Dykema Cabot & Partners LLC acquired a new position in shares of Verizon Communications during the 3rd quarter worth $29,000. Hedge funds and other institutional investors own 62.06% of the company's stock.

Verizon Communications Price Performance

Shares of NYSE:VZ opened at $46.78 on Wednesday. The company has a 50-day simple moving average of $46.89 and a 200-day simple moving average of $45.77. Verizon Communications has a one year low of $38.39 and a one year high of $51.68. 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 $195.33 billion, a price-to-earnings ratio of 11.41, a PEG ratio of 1.11 and a beta of 0.24.

Verizon Communications (NYSE:VZ - Get Free Report) last released its quarterly earnings results 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 for 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 business's revenue was up 2.7% on a year-over-year basis. During the same quarter last year, the company posted $1.19 earnings per share. Verizon Communications has set its FY 2026 guidance at 4.950-4.990 EPS. On average, analysts predict that Verizon Communications will post 4.97 EPS for the current year.

Verizon Communications Announces Dividend

The company 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 dividend on an annualized basis and a dividend yield of 6.0%. The ex-dividend date is Friday, July 10th. Verizon Communications's payout ratio is 69.02%.

Verizon Communications Company 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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