Verizon Communications (NYSE:VZ) Trading Down 2.8% – Here’s What Happened

Verizon Communications Inc. (NYSE:VZ)’s stock price dropped 2.8% on Tuesday . The stock traded as low as $40.11 and last traded at $40.1350. Approximately 31,669,499 shares were traded during trading, an increase of 40% from the average daily volume of 22,661,705 shares. The stock had previously closed at $41.30.

Wall Street Analyst Weigh In

Several research firms have recently issued reports on VZ. BNP Paribas downgraded Verizon Communications from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, October 21st. JPMorgan Chase & Co. decreased their price target on shares of Verizon Communications from $49.00 to $47.00 and set a “neutral” rating for the company in a research report on Thursday, October 30th. Royal Bank Of Canada dropped their price target on shares of Verizon Communications from $46.00 to $44.00 and set a “sector perform” rating for the company in a research note on Thursday, October 30th. TD Cowen cut their price target on shares of Verizon Communications from $56.00 to $51.00 and set a “buy” rating on the stock in a report on Thursday, October 30th. Finally, Weiss Ratings downgraded Verizon Communications from a “buy (b-)” rating to a “hold (c+)” rating in a report on Friday, October 24th. Two equities research analysts have rated the stock with a Strong Buy rating, six have assigned a Buy rating and twelve have given a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $47.31.

Verizon Communications Stock Performance

The company has a debt-to-equity ratio of 1.19, a current ratio of 0.74 and a quick ratio of 0.69. The company’s 50-day moving average price is $40.48 and its two-hundred day moving average price is $42.27. The company has a market capitalization of $169.63 billion, a price-to-earnings ratio of 8.60, a PEG ratio of 3.56 and a beta of 0.33.

Verizon Communications (NYSE:VZ) last released its earnings results on Wednesday, October 29th. The cell phone carrier reported $1.21 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.19 by $0.02. The business had revenue of $33.82 billion for the quarter, compared to analyst estimates of $34.19 billion. Verizon Communications had a net margin of 14.43% and a return on equity of 19.31%. Verizon Communications’s revenue for the quarter was up 1.5% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.19 earnings per share. On average, equities research analysts anticipate that Verizon Communications Inc. will post 4.69 EPS for the current fiscal year.

Verizon Communications Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, February 2nd. Investors of record on Monday, January 12th will be given a dividend of $0.69 per share. The ex-dividend date is Monday, January 12th. This represents a $2.76 annualized dividend and a dividend yield of 6.9%. Verizon Communications’s dividend payout ratio is presently 58.97%.

Institutional Investors Weigh In On Verizon Communications

A number of hedge funds have recently added to or reduced their stakes in the business. Bulwark Capital Corp bought a new position in Verizon Communications during the second quarter worth $25,000. Advantage Trust Co boosted its position in shares of Verizon Communications by 549.5% during the 2nd quarter. Advantage Trust Co now owns 591 shares of the cell phone carrier’s stock worth $26,000 after purchasing an additional 500 shares in the last quarter. TruNorth Capital Management LLC boosted its position in shares of Verizon Communications by 95.3% during the 3rd quarter. TruNorth Capital Management LLC now owns 625 shares of the cell phone carrier’s stock worth $27,000 after purchasing an additional 305 shares in the last quarter. 1 North Wealth Services LLC acquired a new stake in shares of Verizon Communications in the 1st quarter valued at about $29,000. Finally, Foster Dykema Cabot & Partners LLC bought a new stake in Verizon Communications in the 3rd quarter valued at about $29,000. 62.06% of the stock is currently owned by institutional investors.

Verizon Communications Company Profile

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).