Verizon Communications (NYSE:VZ) Shares Up 11.8% After Earnings Beat

Verizon Communications Inc. (NYSE:VZ) was up 11.8% during trading on Friday following a better than expected earnings announcement. The stock traded as high as $44.63 and last traded at $44.5170. Approximately 123,293,721 shares were traded during mid-day trading, an increase of 260% from the average daily volume of 34,242,641 shares. The stock had previously closed at $39.81.

The cell phone carrier reported $1.09 earnings per share for the quarter, topping the consensus estimate of $1.06 by $0.03. The business had revenue of $36.38 billion for the quarter, compared to analysts’ expectations of $36.20 billion. Verizon Communications had a net margin of 14.43% and a return on equity of 19.31%. The company’s revenue was up 2.0% compared to the same quarter last year. During the same quarter last year, the company posted $1.10 EPS. Verizon Communications has set its FY 2026 guidance at 4.900-4.950 EPS.

Verizon Communications Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, February 2nd. Shareholders of record on Monday, January 12th will be given a $0.69 dividend. The ex-dividend date is Monday, January 12th. This represents a $2.76 dividend on an annualized basis and a yield of 6.2%. Verizon Communications’s dividend payout ratio is presently 58.97%.

Verizon Communications News Summary

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

• Positive Sentiment: Q4 beat on EPS and revenue — Verizon reported $1.09 EPS vs. consensus $1.06 and revenue of $36.38B, topping estimates and showing 2% year-over-year revenue growth. Read More.
• Positive Sentiment: Raised FY‑2026 EPS guidance — management set guidance of $4.90–$4.95, above consensus, improving forward earnings visibility and supporting valuation. Read More.
• Positive Sentiment: Strong subscriber momentum — Verizon logged its highest quarterly wireless net adds in years (notably large postpaid phone adds), a primary driver of the upside in revenue and service growth metrics. Read More.
• Positive Sentiment: Capital return program — management outlined a large buyback program (cited in call writeups), which supports EPS and signals confidence in cash flow. Read More.
• Positive Sentiment: Unusual options activity — heavy call buying was reported intraday, consistent with speculative/hedged bullish positioning by some investors. (Options volume report)
• Neutral Sentiment: Operational resilience highlighted — company actions to harden networks for winter storms were noted; supports customer experience but is a longer-term benefit. Read More.
• Neutral Sentiment: Positive media/analyst writeups emphasize value after the beat, framing VZ as an income + growth story for yield-seeking investors. Read More.
• Negative Sentiment: Execution and cost risks called out — deeper analysis warns that aggressive subscriber promotions, the Frontier deal and integration/unit economics could pressure margins and near-term earnings visibility. Read More.
• Negative Sentiment: Analyst target cut — Wells Fargo trimmed its target in a sector reassessment, a reminder that some shops remain cautious on wireless pricing and capital intensity. Read More.
• Negative Sentiment: Dividend-safety concerns re-surfacing — articles questioning sustainability of the ~7% yield could weigh on long-term income-focused demand if cash flow dynamics shift. Read More.
• Negative Sentiment: Minor institutional selling — a small manager reduced its position, noted in filings; not a major red flag but adds to mixed signals. Read More.

Analyst Ratings Changes

Several research firms recently issued reports on VZ. JPMorgan Chase & Co. reduced their target price on shares of Verizon Communications from $49.00 to $47.00 and set a “neutral” rating for the company in a report on Thursday, October 30th. Weiss Ratings reiterated a “hold (c+)” rating on shares of Verizon Communications in a research report on Wednesday, January 21st. KeyCorp restated a “sector weight” rating on shares of Verizon Communications in a research report on Monday, January 26th. Barclays initiated coverage on shares of Verizon Communications in a report on Thursday, January 22nd. They issued an “equal weight” rating and a $43.00 price target on the stock. Finally, Wells Fargo & Company dropped their price objective on shares of Verizon Communications from $43.00 to $41.00 and set an “equal weight” rating for the company in a report on Monday, January 26th. One investment analyst has rated the stock with a Strong Buy rating, five have given a Buy rating and twelve have given a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $47.43.

Institutional Investors Weigh In On Verizon Communications

Large investors have recently added to or reduced their stakes in the stock. Cadinha & Co. LLC increased its stake in Verizon Communications by 2,916.8% during the second quarter. Cadinha & Co. LLC now owns 347,716 shares of the cell phone carrier’s stock worth $15,046,000 after acquiring an additional 336,190 shares during the last quarter. DekaBank Deutsche Girozentrale lifted its position in shares of Verizon Communications by 11.0% during the second quarter. DekaBank Deutsche Girozentrale now owns 7,297,469 shares of the cell phone carrier’s stock worth $309,551,000 after purchasing an additional 722,559 shares in the last quarter. CWA Asset Management Group LLC boosted its position in Verizon Communications by 378.7% in the 3rd quarter. CWA Asset Management Group LLC now owns 93,732 shares of the cell phone carrier’s stock valued at $4,120,000 after buying an additional 74,151 shares during the period. D.A. Davidson & CO. boosted its holdings in Verizon Communications by 8.4% in the third quarter. D.A. Davidson & CO. now owns 555,785 shares of the cell phone carrier’s stock valued at $24,427,000 after purchasing an additional 43,116 shares during the period. Finally, VIRGINIA RETIREMENT SYSTEMS ET Al boosted its stake in shares of Verizon Communications by 5.8% in the 3rd quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 2,762,705 shares of the cell phone carrier’s stock valued at $121,421,000 after buying an additional 151,100 shares during the period. 62.06% of the stock is owned by hedge funds and other institutional investors.

Verizon Communications Stock Up 11.8%

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 business’s 50 day moving average is $40.32 and its 200-day moving average is $41.58. The company has a market cap of $187.70 billion, a PE ratio of 9.51, a P/E/G ratio of 3.80 and a beta of 0.34.

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.