Raymond James Reaffirms Outperform on Verizon (VZ) Amid High Dividend and Cost-Cutting Strategy

Verizon Communications Inc. (NYSE:VZ) ranks among the best telecom stocks to invest in. Raymond James reaffirmed its Outperform rating on Verizon Communications Inc. (NYSE:VZ) on December 16 with a price target of $47, citing the company’s strong dividend yield and potential for subscriber growth. The firm believes that in order to finance customer acquisition and care programs, Verizon’s management is working on cost-cutting measures.

According to Raymond James, Verizon Communications Inc. (NYSE:VZ) is analyzing legacy expenditures that are “long overdue to be rolled back”. The firm stated that Verizon intends to greatly reduce or cancel ineffective initiatives like Mobile Edge Compute, Internet of Things emphasis, and Private Networks. The rewards of these strategy improvements are likely to manifest largely between late 2026 and early 2027, with Fixed Wireless Access (FWA) likely to receive attention.

Furthermore, Verizon Communications Inc. (NYSE:VZ) established a new 100G specialized optical ring for Monumental Sports & Entertainment, which improves the network infrastructure of the Monumental Sports Network. In addition, the company successfully completed the sale of €2.25 billion and £1 billion in subordinated notes due in 2056, which included prominent financial institutions like BNP Paribas and Goldman Sachs.

Verizon Communications Inc. (NYSE:VZ) is a leading provider of technology, entertainment, and communication services worldwide.

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Disclosure: None. This article is originally published at Insider Monkey.