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Verizon Communications (VZ) Gains But Lags Market: What You Should Know
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In the latest trading session, Verizon Communications (VZ - Free Report) closed at $59.55, marking a +0.37% move from the previous day. This change lagged the S&P 500's 1.64% gain on the day. Elsewhere, the Dow gained 0.88%, while the tech-heavy Nasdaq added 2.56%.
Prior to today's trading, shares of the largest U.S. cellphone carrier had lost 0.34% over the past month. This has lagged the Computer and Technology sector's gain of 3.41% and the S&P 500's gain of 2.44% in that time.
VZ will be looking to display strength as it nears its next earnings release, which is expected to be October 21, 2020. The company is expected to report EPS of $1.22, down 2.4% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $31.61 billion, down 3.89% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.78 per share and revenue of $127.90 billion. These totals would mark changes of -0.62% and -3.01%, respectively, from last year.
Any recent changes to analyst estimates for VZ should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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 0.06% lower. VZ currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, VZ is holding a Forward P/E ratio of 12.41. For comparison, its industry has an average Forward P/E of 24.92, which means VZ is trading at a discount to the group.
We can also see that VZ currently has a PEG ratio of 3.64. 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. The Wireless National was holding an average PEG ratio of 4.19 at yesterday's closing price.
The Wireless National industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 124, putting it in the top 50% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
To follow VZ in the coming trading sessions, be sure to utilize Zacks.com.
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Verizon Communications (VZ) Gains But Lags Market: What You Should Know
In the latest trading session, Verizon Communications (VZ - Free Report) closed at $59.55, marking a +0.37% move from the previous day. This change lagged the S&P 500's 1.64% gain on the day. Elsewhere, the Dow gained 0.88%, while the tech-heavy Nasdaq added 2.56%.
Prior to today's trading, shares of the largest U.S. cellphone carrier had lost 0.34% over the past month. This has lagged the Computer and Technology sector's gain of 3.41% and the S&P 500's gain of 2.44% in that time.
VZ will be looking to display strength as it nears its next earnings release, which is expected to be October 21, 2020. The company is expected to report EPS of $1.22, down 2.4% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $31.61 billion, down 3.89% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.78 per share and revenue of $127.90 billion. These totals would mark changes of -0.62% and -3.01%, respectively, from last year.
Any recent changes to analyst estimates for VZ should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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 0.06% lower. VZ currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, VZ is holding a Forward P/E ratio of 12.41. For comparison, its industry has an average Forward P/E of 24.92, which means VZ is trading at a discount to the group.
We can also see that VZ currently has a PEG ratio of 3.64. 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. The Wireless National was holding an average PEG ratio of 4.19 at yesterday's closing price.
The Wireless National industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 124, putting it in the top 50% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
To follow VZ in the coming trading sessions, be sure to utilize Zacks.com.