Verizon Communications (NYSE:VZ) Shares Up 2.6% – Still a Buy?

Verizon Communications Inc. (NYSE:VZ)’s share price was up 2.6% during trading on Thursday . The stock traded as high as $48.24 and last traded at $48.1850. Approximately 17,898,395 shares changed hands during trading, a decline of 38% from the average daily volume of 28,763,104 shares. The stock had previously closed at $46.98.

Key Verizon Communications News

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

• Positive Sentiment: Verizon is using its fiber network to support AI-related connectivity, including a reported $1 billion-plus agreement with Google and potential additional hyperscaler contracts. These deals could create new enterprise revenue opportunities beyond traditional wireless services. Can AI Infrastructure Drive Verizon’s Next Long-Term Growth?
• Positive Sentiment: Analysts continue to highlight Verizon as a value stock, supported by its relatively modest valuation, income potential and defensive telecommunications business. That profile may appeal to investors seeking stability while broader markets remain elevated. Here’s Why Verizon Communications Is a Strong Value Stock
• Positive Sentiment: Verizon’s preparation for Tropical Storm Lala in Hawaii— including backup generators, satellite assets and pre-positioned equipment— reinforces network reliability and customer support, though the immediate financial impact is likely limited. Verizon Readies for Tropical Storm Lala
• Neutral Sentiment: A comparison with Nokia emphasizes Verizon’s connectivity strengths as both companies position for AI-driven telecom demand. The article does not identify a material change to Verizon’s near-term earnings outlook. Verizon vs. Nokia: Which Telecom Stock is the Better Buy Now?
• Negative Sentiment: Investors remain mindful that Verizon has returned substantial cash to shareholders while its stock has lagged the broader market. This raises questions about whether dividends and buybacks are producing sufficient shareholder value compared with reinvestment in growth. VZ Paid Holders $59 Billion While the Stock Trailed the Market

Analyst Ratings Changes

A number of analysts have recently issued reports on the company. Freedom Capital upgraded Verizon Communications to a “hold” rating in a research report on Friday, June 12th. BNP Paribas Exane decreased their price objective on shares of Verizon Communications from $46.00 to $44.00 and set a “neutral” rating on the stock in a research report on Tuesday, July 14th. Erste Group Bank reaffirmed a “hold” rating on shares of Verizon Communications in a research note on Tuesday, May 5th. Weiss Ratings reiterated a “buy (b)” rating on shares of Verizon Communications in a research report on Friday, May 29th. Finally, JPMorgan Chase & Co. boosted their price target on shares of Verizon Communications from $49.00 to $52.00 and gave the stock a “neutral” rating in a research note on Thursday, April 30th. Nine analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company’s stock. Based on data from MarketBeat, Verizon Communications has a consensus rating of “Hold” and a consensus price target of $50.84.

Verizon Communications Stock Up 0.6%

The company has a quick ratio of 0.57, a current ratio of 0.60 and a debt-to-equity ratio of 1.36. The stock has a 50-day simple moving average of $45.30 and a two-hundred day simple moving average of $46.99. The firm has a market cap of $201.51 billion, a PE ratio of 12.63, a P/E/G ratio of 1.34 and a beta of 0.25.

Verizon Communications (NYSE:VZ) last posted its quarterly earnings data on Friday, July 24th. The cell phone carrier reported $1.30 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.27 by $0.03. The firm had revenue of $34.25 billion during the quarter, compared to analysts’ expectations of $35.16 billion. Verizon Communications had a return on equity of 19.48% and a net margin of 11.64%.The company’s revenue for the quarter was down .7% compared to the same quarter last year. During the same period in the prior year, the business earned $1.22 EPS. Verizon Communications has set its FY 2026 guidance at 4.990-5.040 EPS. Analysts expect that Verizon Communications Inc. will post 5.03 earnings per share for the current year.

Verizon Communications Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Monday, August 3rd. Shareholders of record on Friday, July 10th were paid a $0.7075 dividend. The ex-dividend date of this dividend was Friday, July 10th. This represents a $2.83 annualized dividend and a yield of 5.8%. Verizon Communications’s dividend payout ratio is currently 73.70%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the business. USS Investment Management Ltd boosted its position in Verizon Communications by 4.6% during the 1st quarter. USS Investment Management Ltd now owns 713,156 shares of the cell phone carrier’s stock valued at $35,790,000 after buying an additional 31,354 shares during the period. Teacher Retirement System of Texas grew its holdings in Verizon Communications by 41.0% in the 4th quarter. Teacher Retirement System of Texas now owns 2,197,366 shares of the cell phone carrier’s stock worth $89,499,000 after acquiring an additional 639,380 shares during the last quarter. Clarity Financial LLC increased its position in shares of Verizon Communications by 697.0% in the fourth quarter. Clarity Financial LLC now owns 471,127 shares of the cell phone carrier’s stock valued at $19,189,000 after acquiring an additional 412,018 shares during the period. Cibc World Market Inc. increased its position in shares of Verizon Communications by 15.3% in the fourth quarter. Cibc World Market Inc. now owns 2,382,975 shares of the cell phone carrier’s stock valued at $97,059,000 after acquiring an additional 316,854 shares during the period. Finally, Keudell Morrison Wealth Management purchased a new position in shares of Verizon Communications in the fourth quarter valued at about $2,171,000. 62.06% of the stock is currently owned by institutional investors.

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.