Verizon Stock Is Still A Great Value Buy Right Now


  • VZ stock has underperformed the major market indices for the past few months. I believe this picture should change shortly.
  • Verizon’s revenue remained flat in Q1, but FCF increased by 16% YoY, leading to a positive outlook for the company.
  • Verizon’s recent data on key operating metrics seems more than solid to me if we take the stagnant state of the telecom industry as a whole as a benchmark.
  • With a current WACC of 6.5% and a projected dividend growth rate of 1% annually, the stock has over 22% upside potential, excluding the dividend yield.
  • Therefore, I’m reiterating my previous “Buy” rating today.



My Thesis Update

I started covering Verizon Communications Inc. (NYSE:VZ) stock in January 2024 and updated it in April stating that VZ stock had a 20% nominal upside potential, not including the very high 6% dividend yield. In general, the

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in VZ over the next 72 hours. 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.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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