Erste Group Bank Issues Optimistic Forecast for VZ Earnings

Verizon Communications Inc. (NYSE:VZ) – Analysts at Erste Group Bank upped their FY2026 EPS estimates for Verizon Communications in a research report issued to clients and investors on Wednesday, July 15th. Erste Group Bank analyst H. Engel now anticipates that the cell phone carrier will post earnings per share of $4.97 for the year, up from their prior forecast of $4.96. Erste Group Bank has a “Hold” rating on the stock. The consensus estimate for Verizon Communications’ current full-year earnings is $4.98 per share. Erste Group Bank also issued estimates for Verizon Communications’ FY2027 earnings at $5.23 EPS.

Several other analysts also recently weighed in on VZ. BNP Paribas Exane lowered their price target on shares of Verizon Communications from $46.00 to $44.00 and set a “neutral” rating for the company in a research note on Tuesday. Dbs Bank cut Verizon Communications from a “moderate buy” rating to a “hold” rating in a research note on Tuesday, April 7th. Weiss Ratings reiterated a “buy (b)” rating on shares of Verizon Communications in a report on Friday, May 29th. Barclays lowered their target price on Verizon Communications from $47.00 to $45.00 and set an “equal weight” rating for the company in a research note on Wednesday, July 8th. Finally, JPMorgan Chase & Co. increased their target price on Verizon Communications from $49.00 to $52.00 and gave the company a “neutral” rating in a report on Thursday, April 30th. Nine investment analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $50.09.

Verizon Communications Price Performance

VZ stock opened at $43.57 on Friday. The company has a debt-to-equity ratio of 1.38, a quick ratio of 0.61 and a current ratio of 0.64. Verizon Communications has a 52 week low of $38.39 and a 52 week high of $51.68. The firm’s fifty day moving average is $45.67 and its 200 day moving average is $46.07. The firm has a market cap of $181.91 billion, a P/E ratio of 10.63, a P/E/G ratio of 1.07 and a beta of 0.26.

Verizon Communications (NYSE:VZ) last posted its quarterly earnings results on Monday, April 27th. The cell phone carrier reported $1.28 EPS for the quarter, topping the consensus estimate of $1.21 by $0.07. Verizon Communications had a net margin of 12.46% and a return on equity of 19.25%. The firm had revenue of $34.44 billion for the quarter, compared to the consensus estimate of $34.82 billion. During the same period last year, the firm posted $1.19 earnings per share. The business’s revenue 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 firm also recently announced a quarterly dividend, which will be paid on Monday, August 3rd. Investors of record on Friday, July 10th will be paid a $0.7075 dividend. The ex-dividend date of this dividend is Friday, July 10th. This represents a $2.83 annualized dividend and a dividend yield of 6.5%. Verizon Communications’s dividend payout ratio (DPR) is presently 69.02%.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of VZ. Robinswood Financial LLC purchased a new position in shares of Verizon Communications during the first quarter valued at approximately $27,000. Lam Group Inc. purchased a new stake in Verizon Communications in the first quarter worth $28,000. Strengthening Families & Communities LLC lifted its stake in Verizon Communications by 490.0% in the fourth quarter. Strengthening Families & Communities LLC now owns 649 shares of the cell phone carrier’s stock worth $26,000 after acquiring an additional 539 shares during the period. Holos Integrated Wealth LLC bought a new stake in Verizon Communications in the fourth quarter valued at $28,000. Finally, EQ Wealth Advisors LLC bought a new stake in Verizon Communications in the fourth quarter valued at $29,000. Hedge funds and other institutional investors own 62.06% of the company’s stock.

Verizon Communications News Summary

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

• Positive Sentiment: Verizon is moving to sell 274 company-owned retail stores to franchisees and cut roughly 3,000 jobs, a restructuring that could lower operating costs and improve margins over time. Reuters: Verizon to shed 274 stores, lay off another 500 corporate employees
• Positive Sentiment: Market reaction has been favorable to the cost-reset story, with articles noting VZ rose as investors responded to the store shakeup and expense reduction plans. Yahoo Finance: VZ Stock Rises — Verizon Moves To Slash Costs With Major Store Shakeup
• Neutral Sentiment: Erste Group Bank slightly raised its FY2026 earnings estimate for Verizon and kept a Hold rating, suggesting only modest near-term earnings improvement. MarketBeat analyst update
• Neutral Sentiment: Verizon is expected to report earnings on Friday, which keeps investors focused on whether the restructuring and broadband growth can offset slower revenue trends. American Banking News: Verizon Communications (VZ) to Post Earnings on Friday
• Negative Sentiment: Some analysts are cautioning that Verizon already trades at a premium relative to peers, which could limit upside if earnings growth disappoints. Trefis: VZ Earns Its Premium Over Peers. Now What?
• Negative Sentiment: Scotiabank also lowered its price target to $51.50, reflecting some skepticism about the pace of Verizon’s improvement. American Banking News: Verizon Communications (NYSE:VZ) Price Target Lowered to $51.50 at Scotiabank

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.