Erste Group Bank Issues Pessimistic Estimate for VZ Earnings

Verizon Communications Inc. (NYSE:VZ) – Analysts at Erste Group Bank lowered their FY2027 earnings per share (EPS) estimates for shares of Verizon Communications in a research report issued to clients and investors on Friday, June 5th. Erste Group Bank analyst H. Engel now anticipates that the cell phone carrier will post earnings of $5.24 per share for the year, down from their prior forecast of $5.25. Erste Group Bank currently has a “Hold” rating on the stock. The consensus estimate for Verizon Communications’ current full-year earnings is $4.97 per share.

A number of other equities analysts have also weighed in on VZ. JPMorgan Chase & Co. boosted their price objective on shares of Verizon Communications from $49.00 to $52.00 and gave the stock a “neutral” rating in a report on Thursday, April 30th. Scotiabank upgraded shares of Verizon Communications from a “sector perform” rating to a “sector outperform” rating and boosted their price objective for the stock from $50.25 to $54.50 in a report on Monday, March 9th. Barclays boosted their price objective on shares of Verizon Communications from $43.00 to $47.00 and gave the stock an “equal weight” rating in a report on Tuesday, March 31st. Citigroup boosted their price objective on shares of Verizon Communications from $50.00 to $55.00 and gave the stock a “buy” rating in a report on Friday, March 20th. Finally, Morgan Stanley boosted their price objective on shares of Verizon Communications from $49.00 to $50.00 and gave the stock an “equal weight” rating in a report on Tuesday, April 28th. One investment analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and eleven have given a Hold rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $50.59.

Verizon Communications Price Performance

Shares of NYSE VZ opened at $46.95 on Thursday. Verizon Communications has a twelve month low of $38.39 and a twelve month high of $51.68. The firm has a market cap of $196.06 billion, a P/E ratio of 11.45, a PEG ratio of 1.12 and a beta of 0.24. The company has a 50 day moving average of $47.29 and a 200 day moving average of $45.41. The company has a quick ratio of 0.61, a current ratio of 0.64 and a debt-to-equity ratio of 1.38.

Verizon Communications (NYSE:VZ) last issued its quarterly earnings results on Monday, April 27th. The cell phone carrier reported $1.28 EPS for the quarter, topping analysts’ consensus estimates of $1.21 by $0.07. Verizon Communications had a return on equity of 19.25% and a net margin of 12.46%.The firm had revenue of $34.44 billion for the quarter, compared to analysts’ expectations of $34.82 billion. During the same period in the previous year, the firm posted $1.19 EPS. The business’s revenue for the quarter was up 2.7% compared to the same quarter last year. Verizon Communications has set its FY 2026 guidance at 4.950-4.990 EPS.

Verizon Communications Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, August 3rd. Shareholders of record on Friday, July 10th will be paid a dividend of $0.7075 per share. The ex-dividend date is Friday, July 10th. This represents a $2.83 dividend on an annualized basis and a yield of 6.0%. Verizon Communications’s payout ratio is currently 69.02%.

Institutional Investors Weigh In On Verizon Communications

A number of hedge funds have recently added to or reduced their stakes in the stock. RKL Wealth Management LLC raised its stake in Verizon Communications by 4.3% during the 1st quarter. RKL Wealth Management LLC now owns 5,338 shares of the cell phone carrier’s stock valued at $268,000 after buying an additional 218 shares during the last quarter. Strategic Investment Solutions Inc. IL raised its stake in Verizon Communications by 8.6% during the 4th quarter. Strategic Investment Solutions Inc. IL now owns 2,765 shares of the cell phone carrier’s stock valued at $113,000 after buying an additional 219 shares during the last quarter. Frazier Financial Advisors LLC raised its stake in Verizon Communications by 32.7% during the 1st quarter. Frazier Financial Advisors LLC now owns 888 shares of the cell phone carrier’s stock valued at $45,000 after buying an additional 219 shares during the last quarter. FAS Wealth Partners Inc. raised its stake in Verizon Communications by 1.2% during the 1st quarter. FAS Wealth Partners Inc. now owns 18,421 shares of the cell phone carrier’s stock valued at $925,000 after buying an additional 223 shares during the last quarter. Finally, Sumitomo Life Insurance Co. raised its stake in Verizon Communications by 0.7% during the 4th quarter. Sumitomo Life Insurance Co. now owns 35,023 shares of the cell phone carrier’s stock valued at $1,426,000 after buying an additional 227 shares during the last quarter. 62.06% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting Verizon Communications

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

• Positive Sentiment: Verizon’s shares have been rising alongside a broader market pullback, suggesting investors are favoring the stock’s defensive characteristics and income appeal. Verizon Communications (VZ) Rises As Market Takes a Dip: Key Facts
• Positive Sentiment: Analyst coverage is emphasizing Verizon’s fiber expansion and its potential to benefit from rising AI, cloud, and data-center connectivity demand, which supports the long-term growth case for VZ. Can Verizon’s Fiber Expansion Strategy Benefit From Rising AI Demand?
• Positive Sentiment: Verizon continues to be framed as a compelling dividend stock for income-focused investors, which can attract buyers seeking stable cash flow and relatively low volatility. 3 Dividend Stocks Built for Retirement to Buy in June
• Neutral Sentiment: Several comparison articles pitted Verizon against AT&T, T-Mobile, and AST SpaceMobile, keeping the stock in focus but not adding a clear new catalyst by themselves. VZ vs. ASTS: Which Connectivity Stock is the Better Buy?
• Neutral Sentiment: Verizon has also seen increased investor attention online, which can reflect growing interest but does not necessarily signal a fundamental change. Investors Heavily Search Verizon Communications Inc. (VZ): Here is What You Need to Know

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.