VZ's FQ2'24 results have been misunderstood indeed, with the decrease in wireless equipment revenues well-balanced by growth in service revenues and robust net adds. This may be further aided by the robust net additions for both mobility and fixed wireless in the Business segment, further underscoring why the management has reiterated their FY2024 guidance. The consensus have also upgraded their forward estimates, with VZ expected to report increasingly rich adj EBITDA margins and Free Cash Flow margins through FY2026.
Verizon (VZ) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
The VZ stock Q2 earnings report provides another example of growth challenges. Combined with the selling pressure afterward, I see large odds for VZ prices to fall below a key support level of $38.5 in the next 6–12 months. Investors with a short timeframe should thus consider selling.
Verizon shares fell on a decline in prepaid phone subscribers as a government subsidy program ended. However, the company's core postpaid wireless and broadband businesses continue to perform well.
Many investors flock to high-yield dividend stocks because they offer a simple premise. You can put your money into a stock and generate high cash flow that gets treated more favorably when it's time to file taxes.
Verizon failed to meet sales expectations in the second quarter. The miss was driven by lower equipment revenue as customers pulled back on upgrading their smartphones.
Verizon's shares dropped 6% after missing Q2 revenue targets, but the telecom nonetheless saw growth in wireless, broadband and free cash flow. Verizon's free cash flow supports its high dividend yield, providing income investors with a safety margin. Despite revenue miss, Verizon's valuation is attractive, making it a good long-term investment for income investors.
Shares of Verizon Communications Inc. VZ were under pressure in early trading on Tuesday, after declining more than 6% following the company's second-quarter results.
Verizon's Q2 revenue miss has wiped out its ~8% YTD gains all at once, taking the stock's choppy performance this year back to square one. Yet the company has continued to deliver favourable progress on its three pillars - namely, wireless service revenue growth, adjusted EBITDA expansion, and FCF growth. Postpaid wireless net adds have also returned to the positive side, with increasing adoption of its premium myPlan and myHome offerings coupled with comparatively limited churn.
Sector rotation is on investors' minds, and no stock provides value, yield, or opportunity like Verizon NYSE: VZ. Its shares are down more than 5% following its Q2 release, setting up a significant opportunity that will deliver double-digit stock price gains in addition to the 6.5% yield within the next year or two.
Verizon missed revenue estimates as hardware sales dropped from a year ago. Key wireless revenue was up, which is why earnings were strong in the quarter.
That was Verizon Communications Inc. VZ, -6.34% Chair and Chief Executive Hans Vestberg, discussing how people are no longer upgrading their smartphones as often as they used to in an interview with CNBC on Monday morning.