Verizon Communications (VZ) closed at $42.83 in the latest trading session, marking a -1.66% move from the prior day. This change lagged the S&P 500's 0.79% loss on the day. Meanwhile, the Dow lost 0.94%, and the Nasdaq, a tech-heavy index, lost 0.92%.
Prior to today's trading, shares of the largest U.S. cellphone carrier had lost 0.57% lagged the Computer and Technology sector's gain of 7.88% and the S&P 500's gain of 5.22%.
The investment community will be paying close attention to the earnings performance of Verizon Communications in its upcoming release. The company is slated to reveal its earnings on July 21, 2025. The company is expected to report EPS of $1.18, up 2.61% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $33.54 billion, indicating a 2.28% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $4.69 per share and a revenue of $137.12 billion, representing changes of +2.18% and +1.73%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Verizon Communications. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.08% lower. Verizon Communications is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Verizon Communications has a Forward P/E ratio of 9.29 right now. This indicates a discount in contrast to its industry's Forward P/E of 22.27.
Also, we should mention that VZ has a PEG ratio of 3.23. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Wireless National industry stood at 3.23 at the close of the market yesterday.
The Wireless National industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 157, finds itself in the bottom 37% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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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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