Verizon Communications (NYSE:VZ) Stock Jumps 1.7% – Here’s Why

Verizon Communications Inc. (NYSE:VZ)’s stock price shot up 1.7% on Thursday. The stock traded as high as $47.77 and last traded at $47.2930. 20,805,695 shares changed hands during trading, a decline of 24% from the average daily volume of 27,364,420 shares. The stock had previously closed at $46.52.

Key Stories Impacting Verizon Communications

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

• Positive Sentiment: Verizon expanded its Motorola lineup with foldable phones, wearables and customer incentives, including device discounts, trade-in savings, flexible upgrades, loyalty rewards and AI features. The strategy could support wireless additions and reduce churn, although discounts may pressure margins. Verizon expands premium Motorola lineup
• Positive Sentiment: An investment analysis maintained a bullish view, citing lower churn, fiber expansion, the Frontier integration and AI Connect as potential earnings drivers. The analysis assigned VZ a $57 price target, implying substantial upside from recent levels, while noting the shares trade at a discount to the telecom sector. Verizon fiber, churn and AI Connect analysis
• Positive Sentiment: Verizon’s quarterly dividend remains a key attraction for income-focused investors. The company declared a $0.7075 quarterly payout, equivalent to approximately $2.83 annually and a yield near 6% based on recent prices. Verizon dividend and insider trading report
• Neutral Sentiment: KeyBanc’s bearish broadband call weighed on Comcast, but the firm left AT&T and Verizon unchanged. This suggests Verizon is viewed as comparatively stable, though it provides no new upgrade catalyst. KeyBanc broadband view and Verizon
• Neutral Sentiment: CEO Kyle Malady sold 1,100 shares under a pre-arranged Rule 10b5-1 plan. The transaction reduced his direct holdings by roughly 1%, making it a limited signal rather than a significant change in management sentiment. Verizon executive stock sale filing

Analyst Ratings Changes

A number of analysts have recently issued reports on the stock. Freedom Capital raised shares of Verizon Communications to a “hold” rating in a research note on Friday, June 12th. Moffett Nathanson lowered their target price on shares of Verizon Communications from $56.00 to $49.00 and set a “neutral” rating on the stock in a research note on Monday, July 20th. Morgan Stanley upped their target price on shares of Verizon Communications from $50.00 to $52.00 and gave the stock an “equal weight” rating in a report on Monday, July 27th. Barclays increased their price target on Verizon Communications from $45.00 to $46.00 and gave the stock an “equal weight” rating in a research note on Monday, July 27th. Finally, TD Cowen raised their price target on Verizon Communications from $54.00 to $56.00 and gave the company a “buy” rating in a report on Monday, July 27th. Eight investment analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company’s stock. According to MarketBeat, Verizon Communications presently has an average rating of “Hold” and a consensus target price of $50.97.

Verizon Communications Stock Performance

The company has a market capitalization of $195.74 billion, a P/E ratio of 12.27, a price-to-earnings-growth ratio of 1.61 and a beta of 0.26. The business has a 50 day moving average of $48.21 and a 200 day moving average of $47.41. The company has a quick ratio of 0.57, a current ratio of 0.60 and a debt-to-equity ratio of 1.36.

Verizon Communications (NYSE:VZ) last released 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 business had revenue of $34.25 billion for the quarter, compared to the consensus estimate 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 was down .7% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.22 EPS. Verizon Communications has set its FY 2026 guidance at 4.990-5.040 EPS. On average, sell-side analysts predict that Verizon Communications Inc. will post 5.03 earnings per share for the current year.

Verizon Communications Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, November 2nd. Investors of record on Friday, October 9th will be issued a $0.7075 dividend. The ex-dividend date of this dividend is Friday, October 9th. This represents a $2.83 dividend on an annualized basis and a dividend yield of 6.0%. Verizon Communications’s dividend payout ratio (DPR) is 73.70%.

Insiders Place Their Bets

In other Verizon Communications news, CEO Kyle Malady sold 1,100 shares of the stock in a transaction on Tuesday, September 22nd. The shares were sold at an average price of $47.65, for a total transaction of $52,415.00. Following the completion of the transaction, the chief executive officer owned 104,366 shares in the company, valued at $4,973,039.90. This trade represents a 1.04% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 5,500 shares of company stock valued at $271,557 in the last quarter. Insiders own 0.03% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in VZ. QRG Capital Management Inc. raised its stake in shares of Verizon Communications by 5.5% in the second quarter. QRG Capital Management Inc. now owns 836,939 shares of the cell phone carrier’s stock valued at $35,436,000 after acquiring an additional 43,313 shares during the period. Envestnet Portfolio Solutions Inc. boosted its stake in shares of Verizon Communications by 9.6% during the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 171,425 shares of the cell phone carrier’s stock worth $7,258,000 after purchasing an additional 14,974 shares during the period. Envestnet Asset Management Inc. grew its holdings in Verizon Communications by 1.7% during the 2nd quarter. Envestnet Asset Management Inc. now owns 13,110,356 shares of the cell phone carrier’s stock valued at $555,091,000 after purchasing an additional 214,932 shares during the last quarter. Security National Bank of Sioux City Iowa IA grew its holdings in Verizon Communications by 33.2% during the 2nd quarter. Security National Bank of Sioux City Iowa IA now owns 63,011 shares of the cell phone carrier’s stock valued at $2,668,000 after purchasing an additional 15,714 shares during the last quarter. Finally, Sequoia Financial Advisors LLC raised its position in Verizon Communications by 0.4% in the 2nd quarter. Sequoia Financial Advisors LLC now owns 338,532 shares of the cell phone carrier’s stock worth $14,333,000 after purchasing an additional 1,479 shares during the period. Hedge funds and other institutional investors own 62.06% of the company’s stock.

Verizon Communications Company Profile

Verizon Communications Inc is a telecommunications company that provides wireless communications, broadband, and related technology services. Its offerings include mobile voice and data plans, 5G connectivity, fixed wireless access, fiber-optic internet through Verizon Fios, home services, and connected-device solutions.

Through Verizon Business, the company serves enterprises, government agencies, and other organizations with communications networks, managed connectivity, cybersecurity, cloud and edge-computing services, unified communications, and Internet of Things solutions.