Verizon Communications (NYSE:VZ) Stock Price Up 2.6% – Here’s Why

Verizon Communications Inc. (NYSE:VZ) rose 2.6% on Thursday . The company traded as high as $48.24 and last traded at $48.1850. 17,898,395 shares were traded during mid-day trading, a decline of 38% from the average session volume of 28,763,104 shares. The stock had previously closed at $46.98.

Key Headlines Impacting Verizon Communications

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

• Positive Sentiment: Verizon is leveraging its fiber network to provide connectivity for AI data centers and hyperscalers. A reported agreement worth more than $1 billion with Google, along with additional deals under discussion, could create a new long-term growth opportunity beyond traditional wireless services. Can AI Infrastructure Drive Verizon’s Next Long-Term Growth?
• Positive Sentiment: Analysts and market commentary point to rising earnings estimates, stronger wireless trends and expanding fiber and AI infrastructure opportunities. These factors support the case for Verizon as a relatively defensive growth-and-income stock. Should You Bet on VZ Stock Amid Rising Earnings Estimate Revisions?
• Positive Sentiment: Verizon continues to attract value-focused investors, with a modest earnings multiple, substantial shareholder distributions and a broad wireless and fiber customer base. The company’s Pixel 11 launch and upgrade offerings may also support device sales and customer retention. Here’s Why Verizon Communications Is a Strong Value Stock
• Neutral Sentiment: Brokerages maintain an average “Hold” recommendation, indicating that the potential from AI, fiber and wireless growth is balanced by concerns about Verizon’s leverage, capital spending and intense industry competition. Verizon Receives Average Hold Recommendation
• Negative Sentiment: Although Verizon has returned significant cash to shareholders—roughly $59 billion according to one analysis—the stock has lagged the broader market. This raises questions about whether dividends and buybacks have generated sufficient returns and whether future investment can improve performance. VZ Paid Holders $59 Billion While The Stock Trailed The Market
• Negative Sentiment: Recent fiber vandalism in Southern California caused service interruptions for thousands of customers, highlighting network-security and reliability risks, although Verizon has offered a $25,000 reward for information leading to convictions. Verizon Announces a $25,000 Reward Program

Wall Street Analyst Weigh In

Several research firms have recently weighed in on VZ. Royal Bank Of Canada increased their price objective on Verizon Communications from $46.00 to $47.00 and gave the company a “sector perform” rating in a report on Monday, July 27th. Barclays upped their price target on shares of Verizon Communications from $45.00 to $46.00 and gave the company an “equal weight” rating in a research report on Monday, July 27th. Weiss Ratings reiterated a “buy (b)” rating on shares of Verizon Communications in a research note on Friday, May 29th. Wells Fargo & Company raised their price objective on shares of Verizon Communications from $43.00 to $47.00 and gave the stock an “equal weight” rating in a research report on Monday, July 27th. Finally, BNP Paribas Exane dropped 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 note on Tuesday, July 14th. Nine research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company. Based on data from MarketBeat.com, Verizon Communications has a consensus rating of “Hold” and a consensus target price of $50.84.

Verizon Communications Trading Up 2.6%

The business’s 50-day moving average is $45.17 and its two-hundred day moving average is $46.92. The company has a debt-to-equity ratio of 1.36, a quick ratio of 0.57 and a current ratio of 0.60. The stock has a market capitalization of $200.20 billion, a PE ratio of 12.55, a price-to-earnings-growth ratio of 1.32 and a beta of 0.25.

Verizon Communications (NYSE:VZ) last announced its quarterly earnings data on Friday, July 24th. The cell phone carrier reported $1.30 EPS 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 company had revenue of $34.25 billion during the quarter, compared to the consensus estimate of $35.16 billion. During the same quarter in the prior year, the firm earned $1.22 EPS. Verizon Communications’s quarterly revenue was down .7% on a year-over-year basis. Verizon Communications has set its FY 2026 guidance at 4.990-5.040 EPS. As a group, equities research analysts anticipate that Verizon Communications Inc. will post 5.03 earnings per share for the current year.

Verizon Communications Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, August 3rd. Investors of record on Friday, July 10th were issued a dividend of $0.7075 per share. This represents a $2.83 annualized dividend and a yield of 5.9%. The ex-dividend date of this dividend was Friday, July 10th. Verizon Communications’s dividend payout ratio is currently 73.70%.

Institutional Investors Weigh In On Verizon Communications

A number of institutional investors have recently added to or reduced their stakes in VZ. Norges Bank acquired a new position in shares of Verizon Communications during the 4th quarter worth $2,357,158,000. Bank of America Corp DE increased its holdings in shares of Verizon Communications by 15.4% in the 1st quarter. Bank of America Corp DE now owns 62,101,021 shares of the cell phone carrier’s stock valued at $3,117,471,000 after purchasing an additional 8,289,877 shares in the last quarter. Bank of New York Mellon Corp lifted its stake in shares of Verizon Communications by 31.2% in the fourth quarter. Bank of New York Mellon Corp now owns 31,584,162 shares of the cell phone carrier’s stock valued at $1,286,423,000 after purchasing an additional 7,509,055 shares during the period. State Street Corp boosted its holdings in Verizon Communications by 3.5% during the fourth quarter. State Street Corp now owns 222,951,399 shares of the cell phone carrier’s stock worth $9,080,810,000 after buying an additional 7,461,335 shares in the last quarter. Finally, Charles Schwab Investment Management Inc. boosted its holdings in Verizon Communications by 5.3% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 116,570,816 shares of the cell phone carrier’s stock worth $4,747,930,000 after buying an additional 5,851,715 shares in the last quarter. Hedge funds and other institutional investors own 62.06% of the company’s stock.

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.