Verizon Communications Inc. (NYSE: VZ) is scheduled to report its fourth-quarter results Thursday before the market opens. Currently Thomson Reuters has consensus estimates of $0.73 in earnings per share on $32.67 billion in revenue. In the fourth quarter of the previous year, Verizon posted $0.66 in earnings per share and revenue of $31.06 billion.
With the increased market volatility of recent days and more of the same on the horizon as higher interest rates loom, safe-yield stocks should be a hot commodity going forward in this market. Along with Verizon, AT&T Inc. (NYSE: T) is also a top pick. Each has an iron-clad balance sheet and yields above 4%, and both participate in one of the hottest sectors in America, wireless communications. Another advantage these companies hold is that their smaller competitors have made no progress in taking wireless market share from either AT&T or Verizon.
Looking ahead, one of the biggest considerations for the coming year for Verizon is the current price war with AT&T, Sprint Corp. (NYSE: S) and T-Mobile US Inc. (NYSE: TMUS). The price war among these giants has put short-term pressure on earnings for Verizon’s wireless segment.
ALSO READ: T-Mobile’s Ugly Future
In the days before its fourth-quarter earnings debut, a couple of analysts gave a mixed view on Verizon. Barclays downgraded the telecom giant to an Equal Weight rating from Overweight and lowered its price target to $51 from $54. However, Canaccord Genuity disagreed and upgraded Verizon to a Buy rating.
The 50-day moving average is at $48.88, and the 200-day moving average is at $47.87. Shares are currently in this area as well, and some lateral movement is expected following the release of earnings.
Verizon shares fell 0.6% at $47.87 in the first half hour of Wednesday’s trading day. The stock has a consensus analyst price target of $52.35 and a 52-week trading range of $45.09 to $53.66. The market cap is near $200 billion.
100 Million Americans Are Missing This Crucial Retirement Tool
The thought of burdening your family with a financial disaster is most Americans’ nightmare. However, recent studies show that over 100 million Americans still don’t have proper life insurance in the event they pass away.
Life insurance can bring peace of mind – ensuring your loved ones are safeguarded against unforeseen expenses and debts. With premiums often lower than expected and a variety of plans tailored to different life stages and health conditions, securing a policy is more accessible than ever.
A quick, no-obligation quote can provide valuable insight into what’s available and what might best suit your family’s needs. Life insurance is a simple step you can take today to help secure peace of mind for your loved ones tomorrow.
Click here to learn how to get a quote in just a few minutes.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.