What is Erste Group Bank's Estimate for VZ FY2026 Earnings?

Key Points

• Erste Group Bank raised its FY2026 EPS estimate for Verizon to $4.99, up from $4.97, while maintaining a “Hold” rating.
• The estimate is slightly below the broader analyst consensus of $5.04 per share, but it falls within Verizon’s FY2026 guidance range of $4.99 to $5.04.
• Verizon recently reported quarterly EPS of $1.30, beating estimates of $1.27, though revenue declined 0.7% year over year to $34.25 billion.

Verizon Communications Inc. (NYSE:VZ - Free Report) - Research analysts at Erste Group Bank increased their FY2026 earnings estimates for shares of Verizon Communications in a research note issued to investors on Monday, July 27th. Erste Group Bank analyst H. Engel now expects that the cell phone carrier will earn $4.99 per share for the year, up from their previous forecast of $4.97. Erste Group Bank has a "Hold" rating on the stock. The consensus estimate for Verizon Communications' current full-year earnings is $5.04 per share.

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

Several other research analysts also recently weighed in on the company. Wells Fargo & Company boosted their price target on Verizon Communications from $43.00 to $47.00 and gave the company an "equal weight" rating in a report on Monday. Moffett Nathanson lowered their price target on 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 cut their price objective on shares of Verizon Communications from $46.00 to $44.00 and set a "neutral" rating on the stock in a report on Tuesday, July 14th. Scotiabank boosted their target price on shares of Verizon Communications from $51.50 to $52.50 and gave the company a "sector outperform" rating in a report on Monday. Finally, TD Cowen increased their price target on shares of Verizon Communications from $54.00 to $56.00 and gave the stock a "buy" rating in a research note on Monday. Nine research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the stock. Based on data from MarketBeat, Verizon Communications has a consensus rating of "Hold" and an average target price of $50.84.

Verizon Communications Stock Performance

Shares of NYSE VZ opened at $48.23 on Wednesday. The company has a 50-day simple moving average of $45.40 and a 200-day simple moving average of $46.35. The company has a debt-to-equity ratio of 1.36, a current ratio of 0.60 and a quick ratio of 0.57. The company has a market cap of $201.37 billion, a PE ratio of 12.56, a price-to-earnings-growth ratio of 1.14 and a beta of 0.26. Verizon Communications has a 12 month low of $38.39 and a 12 month high of $51.68.

Verizon Communications Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, August 3rd. Investors of record on Friday, July 10th will be issued a $0.7075 dividend. The ex-dividend date is Friday, July 10th. This represents a $2.83 annualized dividend and a yield of 5.9%. Verizon Communications's dividend payout ratio (DPR) is presently 73.70%.

Institutional Investors Weigh In On Verizon Communications

A number of large investors have recently added to or reduced their stakes in VZ. Baker Avenue Asset Management LP increased its position in shares of Verizon Communications by 174.9% during the second quarter. Baker Avenue Asset Management LP now owns 60,121 shares of the cell phone carrier's stock worth $2,546,000 after acquiring an additional 38,250 shares during the last quarter. Meramec Financial Planners LLC increased its holdings in Verizon Communications by 1,945.6% during the 2nd quarter. Meramec Financial Planners LLC now owns 1,166 shares of the cell phone carrier's stock worth $49,000 after purchasing an additional 1,109 shares during the last quarter. Victory Financial Group LLC raised its position in shares of Verizon Communications by 9.2% in the 2nd quarter. Victory Financial Group LLC now owns 13,888 shares of the cell phone carrier's stock valued at $588,000 after purchasing an additional 1,171 shares in the last quarter. Banco Santander S.A. boosted its stake in shares of Verizon Communications by 36.7% during the 2nd quarter. Banco Santander S.A. now owns 11,823 shares of the cell phone carrier's stock valued at $501,000 after buying an additional 3,175 shares during the last quarter. Finally, Harel Insurance Investments & Financial Services Ltd. grew its position in shares of Verizon Communications by 131.6% during the second quarter. Harel Insurance Investments & Financial Services Ltd. now owns 9,098 shares of the cell phone carrier's stock worth $385,000 after buying an additional 5,170 shares in the last quarter. 62.06% of the stock is owned by institutional investors and hedge funds.

Key Verizon Communications News

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

• Positive Sentiment: Verizon’s second-quarter performance showed improving wireless subscriber growth, lower churn, reduced promotional costs, stronger broadband additions, and robust cash flow. Management raised its 2026 financial and free-cash-flow outlook, strengthening the investment case for earnings growth and dividend coverage. VZ Q2 Earnings Call Signals Faster Growth From Churn Gains
• Positive Sentiment: A more than $1 billion dark-fiber agreement with Alphabet, along with Verizon’s AI Connect initiative, could provide a new source of revenue from AI infrastructure and connectivity. Management expects more meaningful revenue and margin contributions beginning next year. Verizon May Be an AI Infrastructure Stock Hiding in Plain Sight
• Positive Sentiment: At least six analysts raised their price targets following the earnings update. TD Cowen increased its target to $56 and kept a Buy rating, while Scotiabank raised its target to $52.50 and maintained Sector Outperform. The improved outlook has also prompted a bullish rating upgrade from Seeking Alpha. VZ Stock Is Up 22% This Year
• Neutral Sentiment: Verizon is expanding 5G, fiber, converged services, and AI connectivity to diversify beyond traditional wireless. These investments could support long-term growth, but their returns depend on successful execution and continued demand. How Verizon is Positioning Itself for the Next Wave of AI Connectivity
• Negative Sentiment: Some analysts still see limited upside at the current level. Morgan Stanley, Wells Fargo, Barclays, and RBC retained Equal Weight or Sector Perform ratings, with targets ranging from $46 to $52. Competitive pressure and the need to sustain subscriber momentum remain key risks.

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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