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BullDigest's May 5 Pre-Market Summary of Verizon Communications Inc.

  • 5 hours ago
  • bulldigest.com
  • Keywords: Pre-Market, Summary, Verizon Communications Inc.

Check out BullDigest's May 5 Pre-Market Summary of Verizon Communications Inc.. We provide a summary of the key news before the market opens.

Pre-Market SummaryVZsentiment_satisfiedTsentiment_satisfiedTMUSsentiment_satisfied

Estimated market influence

Verizon Communications

Verizon Communications

Positivesentiment_satisfied
Analyst rating: Buy

Axa S.A. increased its holdings, institutional ownership up, upgraded by Oppenheimer, raised to 'strong-buy' by TD Cowen, Evercore ISI upgraded, positive financials with EPS exceeding estimates, dividend declared, Jim Cramer's optimistic analysis, Q1 earnings beat estimates despite losing post-paid customers.

Axa S.A.

Positivesentiment_satisfied
Analyst rating: N/A

Increased VZ holdings by 6.1% in Q4 to 1,464,774 shares worth $58.58M.

Oppenheimer

Positivesentiment_satisfied
Analyst rating: N/A

Upgraded Verizon's price objective to $50 with an 'outperform' rating.

Wolfe Research

Negativesentiment_dissatisfied
Analyst rating: N/A

Downgraded VZ to 'peer perform' rating.

TD Cowen

Positivesentiment_satisfied
Analyst rating: N/A

Raised VZ to a 'strong-buy' rating.

Scotiabank

Positivesentiment_satisfied
Analyst rating: N/A

Increased target price on VZ shares to $49.

Evercore ISI

Positivesentiment_satisfied
Analyst rating: N/A

Upgraded VZ to 'outperform' rating and set a $48 price target.

Vandana Venkatesh

Negativesentiment_dissatisfied
Analyst rating: N/A

EVP sold 10,000 shares at $43.79.

Kyle Malady

Negativesentiment_dissatisfied
Analyst rating: N/A

CEO sold 8,000 shares at $39.88.

AQR Capital Management

Positivesentiment_satisfied
Analyst rating: N/A

Increased VZ holdings by 11.4%, owning 0.09% of VZ worth $147M.

AT&T

AT&T

Positivesentiment_satisfied
Analyst rating: Buy

Winner in Q1 telecom earnings, exceeded expectations in net post-paid additions.

T-Mobile

T-Mobile

Positivesentiment_satisfied
Analyst rating: Buy

Leads in total customer growth during Q1 telecom earnings.

Context

Verizon Communications (VZ) Stock Update Analysis

Institutional Ownership

  • Axa S.A. Increase: Axa S.A. increased its VZ holdings by 6.1% in Q4 to 1,464,774 shares worth $58.58M.
  • Total Institutional Ownership: 62.06% of VZ is institutionally owned.

Analyst Ratings

  • Upgrades: Oppenheimer upgraded VZ to "$50" with an "outperform" rating; TD Cowen raised it to a "strong-buy"; Evercore ISI set a $48 price target and rated it "outperform."
  • Downgrade: Wolfe Research downgraded to "peer perform."
  • Consensus Rating: "Moderate Buy" with a $47.41 average price target.

Insider Trading

  • Executives' Sales: EVP Vandana Venkatesh sold 10,000 shares at $43.79; CEO Kyle Malady sold 8,000 shares at $39.88.
  • Total Insider Sales: 30,500 shares worth $1.30M in the last three months.
  • Insider Ownership: Insiders own 0.10% of the company.

Financials

  • Opening Price: $43.74.
  • Market Cap: $184.42B.
  • P/E Ratio: 10.57.
  • Moving Averages: 50-day at $43.68; 200-day at $41.96.
  • EPS: $1.19 (beat estimates by $0.04).
  • Revenue: $33.50B.

Dividend

  • Quarterly Dividend: $0.6775/share (6.20% yield).
  • Payment Date: May 1st to shareholders of record April 10th.

Business Overview

  • Segments: Consumer and Business segments providing communications, technology, information, and entertainment globally.

Legal Settlement

  • Customer Payment Entitlement: Verizon Wireless post-paid customers from 2016-2023 may be entitled to payment under a proposed class action lawsuit settlement.

Expert Analysis

  • Jim Cramer's Outlook (May 2025): Believes VZ will offer Samsung deals to improve gross margins.

Q1 Telecom Earnings (April 2025)

  • AT&T Performance: Won with net post-paid additions exceeding expectations.
  • T-Mobile Lead: Leads in total customer growth.
  • Verizon's Performance: Lost post-paid customers but beat analyst estimates, leading to a small stock price increase.

Hedge Fund Activity

  • AQR Capital Management Increase: Increased holdings by 11.4%, owning 0.09% of VZ worth $147M.

Key Takeaways:

  • Mixed Analyst Sentiment: While some analysts upgraded VZ, others downgraded it, reflecting competitive dynamics in the telecom sector.
  • Strong Financials and Dividend Yield: VZ's solid EPS performance and 6.20% dividend yield make it attractive for income-focused investors.
  • Customer Growth Challenges: Verizon lost post-paid customers in Q1, while AT&T and T-Mobile outperformed, highlighting competitive pressures.
  • Strategic Opportunities: Potential deals with Samsung could improve margins, as suggested by Jim Cramer.
  • Hedge Fund Confidence: AQR Capital's increased stake signals confidence in VZ's long-term prospects despite challenges.