Verizon Communications (NYSE:VZ) Shares Down 0.5% - Here's Why

Shares of Verizon Communications Inc. (NYSE:VZ - Get Free Report) were down 0.5% during mid-day trading on Tuesday . The company traded as low as $42.66 and last traded at $42.81. Approximately 3,814,536 shares changed hands during mid-day trading, a decline of 81% from the average daily volume of 20,100,607 shares. The stock had previously closed at $43.00.

Wall Street Analysts Forecast Growth

A number of equities analysts recently issued reports on VZ shares. TD Cowen upgraded Verizon Communications to a "strong-buy" rating in a research note on Wednesday, January 15th. Royal Bank of Canada restated a "sector perform" rating and issued a $45.00 target price (up previously from $42.00) on shares of Verizon Communications in a research note on Tuesday, March 25th. Scotiabank lifted their price objective on Verizon Communications from $48.50 to $49.00 and gave the company a "sector perform" rating in a research note on Wednesday, April 23rd. StockNews.com lowered Verizon Communications from a "strong-buy" rating to a "buy" rating in a research note on Thursday, March 13th. Finally, Deutsche Bank Aktiengesellschaft lifted their price objective on Verizon Communications from $40.00 to $42.00 and gave the company a "hold" rating in a research note on Friday, January 24th. Nine investment analysts have rated the stock with a hold rating, eight have given a buy rating and two have given a strong buy rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $47.41.

Verizon Communications Trading Up 2.3%

The firm has a market capitalization of $182.68 billion, a price-to-earnings ratio of 10.47, a PEG ratio of 4.45 and a beta of 0.39. The company has a current ratio of 0.63, a quick ratio of 0.59 and a debt-to-equity ratio of 1.21. The company has a fifty day moving average price of $43.64 and a two-hundred day moving average price of $42.00.

Verizon Communications (NYSE:VZ - Get Free Report) last released its quarterly earnings results on Tuesday, April 22nd. The cell phone carrier reported $1.19 EPS for the quarter, beating the consensus estimate of $1.15 by $0.04. The firm had revenue of $33.50 billion for the quarter, compared to analyst estimates of $33.31 billion. Verizon Communications had a net margin of 12.99% and a return on equity of 19.80%. As a group, research analysts forecast that Verizon Communications Inc. will post 4.69 earnings per share for the current fiscal year.

Verizon Communications Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, May 1st. Stockholders of record on Thursday, April 10th were given a dividend of $0.6775 per share. This represents a $2.71 annualized dividend and a dividend yield of 6.25%. The ex-dividend date was Thursday, April 10th. Verizon Communications's payout ratio is presently 64.52%.

Insider Activity

In other news, EVP Vandana Venkatesh sold 10,000 shares of the company's stock in a transaction on Tuesday, February 25th. The stock was sold at an average price of $43.79, for a total transaction of $437,900.00. Following the sale, the executive vice president now owns 14,459 shares of the company's stock, valued at approximately $633,159.61. This represents a 40.88% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Kyle Malady sold 5,000 shares of the company's stock in a transaction on Wednesday, April 23rd. The stock was sold at an average price of $42.48, for a total value of $212,400.00. Following the sale, the chief executive officer now directly owns 36,508 shares in the company, valued at $1,550,859.84. This represents a 12.05% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 31,500 shares of company stock valued at $1,376,300. 0.10% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Verizon Communications

Several large investors have recently bought and sold shares of the stock. Bernard Wealth Management Corp. boosted its stake in shares of Verizon Communications by 81.0% during the first quarter. Bernard Wealth Management Corp. now owns 543 shares of the cell phone carrier's stock worth $25,000 after buying an additional 243 shares during the period. Garde Capital Inc. acquired a new stake in shares of Verizon Communications during the first quarter worth about $26,000. Cherry Tree Wealth Management LLC lifted its position in Verizon Communications by 71.8% in the first quarter. Cherry Tree Wealth Management LLC now owns 584 shares of the cell phone carrier's stock valued at $26,000 after purchasing an additional 244 shares during the period. Accent Capital Management LLC acquired a new stake in Verizon Communications in the first quarter valued at about $30,000. Finally, Mainstream Capital Management LLC acquired a new stake in Verizon Communications in the fourth quarter valued at about $28,000. Institutional investors and hedge funds own 62.06% of the company's stock.

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).