In the latest trading session, Verizon Communications (VZ) closed at $40.57, marking a +1.1% move from the previous day. This move outpaced the S&P 500's daily gain of 0.01%. At the same time, the Dow added 0.55%, and the tech-heavy Nasdaq lost 0.44%.
Heading into today, shares of the largest U.S. cellphone carrier had gained 0.53% over the past month, outpacing the Computer and Technology sector's loss of 0.69% and lagging the S&P 500's gain of 0.86%.
Analysts and investors alike will be keeping a close eye on the performance of Verizon Communications in its upcoming earnings disclosure. The company's earnings report is set to go public on January 30, 2026. The company is predicted to post an EPS of $1.06, indicating a 3.64% decline compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $35.92 billion, indicating a 0.66% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.68 per share and revenue of $137.81 billion, indicating changes of +1.96% and 0%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for Verizon Communications. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.54% lower. As of now, Verizon Communications holds a Zacks Rank of #3 (Hold).
Looking at its valuation, Verizon Communications is holding a Forward P/E ratio of 8.32. This indicates a discount in contrast to its industry's Forward P/E of 16.65.
We can also see that VZ currently has a PEG ratio of 3.48. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Wireless National industry had an average PEG ratio of 2.38.
The Wireless National industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 111, putting it in the top 46% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Verizon Communications Inc. (VZ): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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