Verizon: Rally Isn’t Over Yet – Be Patient

Summary:

• Verizon stock has struggled since its September 2024 peak, although its valuation bifurcation has narrowed markedly.
• Verizon is in the process of closing its Frontier acquisition to bolster its fiber footprint, which is pivotal in its convergence strategy.
• VZ’s forward dividend yield of more than 6% is attractive. Its commitment to maintaining its dividend is critical.
• VZ’s buying momentum has weakened, but its medium-term prospects remain favorable.
• I argue why investors should capitalize on its near-term consolidation to add more positions and wait patiently for its next rally.

Investors in Verizon Communications (NYSE:VZ) have struggled for traction since VZ reached its September 2024 peak. VZ’s mixed Q3 earnings release hasn’t afforded the breakout opportunity that I had anticipated in my previous article. As a result,

Analyst’s Disclosure: I/we have a beneficial long position in the shares of AAPL either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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