Verizon Communications (NYSE:VZ) Stock Price Up 3.1% – Still a Buy?

Verizon Communications Inc. (NYSE:VZ)’s share price rose 3.1% on Tuesday . The company traded as high as $46.85 and last traded at $46.78. Approximately 22,628,589 shares were traded during trading, a decline of 20% from the average session volume of 28,320,996 shares. The stock had previously closed at $45.36.

More Verizon Communications News

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

• Positive Sentiment: Verizon launched new Simplicity and Verizon One plans aimed at winning back wireless subscribers, which could support future customer growth and revenue. Verizon (VZ) Launches Simplicity And Verizon One Plans To Win Back Subscribers
• Positive Sentiment: Some investors are rotating into defensive dividend stocks, and Verizon’s roughly 6% dividend yield continues to make it attractive for income-focused buyers. Why Johnson & Johnson, Altria, Verizon, and Other Safe Dividend Stocks Climbed Today
• Neutral Sentiment: Verizon’s exit from the Dow is a headline event, but it does not change the company’s underlying business operations or fundamentals. Google-Parent Alphabet to Replace Verizon in Dow Jones Industrial Average
• Negative Sentiment: S&P Dow Jones Indices said Verizon is being removed from the Dow in part because its low share price gives it an “immaterial impact” on the index, reinforcing concerns that the stock has limited market influence. Could Nike Get the Boot from the Dow? Why Berkshire Hathaway Might Take Its Place.
• Negative Sentiment: Recent trading reports show Verizon has been falling more steeply than the broader market, suggesting momentum remains weak. Verizon Communications (VZ) Falls More Steeply Than Broader Market: What Investors Need to Know

Analysts Set New Price Targets

Several research analysts have commented on VZ shares. JPMorgan Chase & Co. raised their price objective on Verizon Communications from $49.00 to $52.00 and gave the company a “neutral” rating in a research report on Thursday, April 30th. Oppenheimer increased their target price on Verizon Communications from $50.00 to $56.00 and gave the company an “outperform” rating in a research note on Wednesday, March 11th. Wells Fargo & Company raised their target price on Verizon Communications from $44.00 to $46.00 and gave the company an “equal weight” rating in a report on Tuesday, April 28th. Scotiabank raised Verizon Communications from a “sector perform” rating to a “sector outperform” rating and boosted their price target for the stock from $50.25 to $54.50 in a research report on Monday, March 9th. Finally, Raymond James Financial restated an “outperform” rating and issued a $56.00 price target on shares of Verizon Communications in a report on Thursday, March 12th. One analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and twelve have issued a Hold rating to the company. According to MarketBeat.com, Verizon Communications currently has an average rating of “Moderate Buy” and an average target price of $50.59.

Verizon Communications Price Performance

The business has a fifty day moving average of $46.89 and a 200 day moving average of $45.80. The company has a debt-to-equity ratio of 1.38, a current ratio of 0.64 and a quick ratio of 0.61. The stock has a market cap of $192.93 billion, a PE ratio of 11.27, a P/E/G ratio of 1.14 and a beta of 0.24.

Verizon Communications (NYSE:VZ) last announced its earnings results on Monday, April 27th. The cell phone carrier reported $1.28 earnings per share (EPS) for the quarter, beating 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 company had revenue of $34.44 billion for the quarter, compared to analyst estimates of $34.82 billion. During the same period in the prior year, the company posted $1.19 EPS. Verizon Communications’s quarterly revenue was up 2.7% on a year-over-year basis. Verizon Communications has set its FY 2026 guidance at 4.950-4.990 EPS. Sell-side analysts anticipate that Verizon Communications Inc. will post 4.97 earnings per share for the current year.

Verizon Communications Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, August 3rd. Stockholders of record on Friday, July 10th will be paid a $0.7075 dividend. This represents a $2.83 dividend on an annualized basis and a dividend yield of 6.1%. The ex-dividend date is Friday, July 10th. Verizon Communications’s dividend payout ratio is 69.02%.

Hedge Funds Weigh In On Verizon Communications

A number of hedge funds have recently bought and sold shares of VZ. Strengthening Families & Communities LLC increased its holdings in shares of Verizon Communications by 490.0% in the 4th quarter. Strengthening Families & Communities LLC now owns 649 shares of the cell phone carrier’s stock valued at $26,000 after acquiring an additional 539 shares during the last quarter. Robinswood Financial LLC bought a new position in Verizon Communications during the first quarter worth $27,000. Holos Integrated Wealth LLC acquired a new position in Verizon Communications in the fourth quarter worth $28,000. Lam Group Inc. bought a new stake in Verizon Communications during the first quarter valued at $28,000. Finally, Foster Dykema Cabot & Partners LLC bought a new stake in Verizon Communications during the third quarter valued at $29,000. 62.06% of the stock is currently owned by institutional investors and hedge funds.

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.