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Verizon Communications (VZ) Stock Sinks As Market Gains: What You Should Know
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Verizon Communications (VZ - Free Report) closed at $41.24 in the latest trading session, marking a -0.02% move from the prior day. This move lagged the S&P 500's daily gain of 0.69%. At the same time, the Dow added 0.64%, and the tech-heavy Nasdaq lost 0.2%.
Coming into today, shares of the largest U.S. cellphone carrier had lost 7.14% in the past month. In that same time, the Computer and Technology sector lost 14.62%, while the S&P 500 lost 9.94%.
Investors will be hoping for strength from Verizon Communications as it approaches its next earnings release, which is expected to be October 21, 2022. On that day, Verizon Communications is projected to report earnings of $1.28 per share, which would represent a year-over-year decline of 9.22%. Meanwhile, our latest consensus estimate is calling for revenue of $33.74 billion, up 2.51% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.19 per share and revenue of $136.33 billion. These totals would mark changes of -3.71% and +2.03%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Verizon Communications. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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 0.12% lower. Verizon Communications is currently a Zacks Rank #4 (Sell).
Digging into valuation, Verizon Communications currently has a Forward P/E ratio of 7.95. This represents a discount compared to its industry's average Forward P/E of 23.45.
Meanwhile, VZ's PEG ratio is currently 1.92. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Wireless National stocks are, on average, holding a PEG ratio of 1.98 based on yesterday's closing prices.
The Wireless National industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 152, putting it in the bottom 40% 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) Stock Sinks As Market Gains: What You Should Know
Verizon Communications (VZ - Free Report) closed at $41.24 in the latest trading session, marking a -0.02% move from the prior day. This move lagged the S&P 500's daily gain of 0.69%. At the same time, the Dow added 0.64%, and the tech-heavy Nasdaq lost 0.2%.
Coming into today, shares of the largest U.S. cellphone carrier had lost 7.14% in the past month. In that same time, the Computer and Technology sector lost 14.62%, while the S&P 500 lost 9.94%.
Investors will be hoping for strength from Verizon Communications as it approaches its next earnings release, which is expected to be October 21, 2022. On that day, Verizon Communications is projected to report earnings of $1.28 per share, which would represent a year-over-year decline of 9.22%. Meanwhile, our latest consensus estimate is calling for revenue of $33.74 billion, up 2.51% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.19 per share and revenue of $136.33 billion. These totals would mark changes of -3.71% and +2.03%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Verizon Communications. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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 0.12% lower. Verizon Communications is currently a Zacks Rank #4 (Sell).
Digging into valuation, Verizon Communications currently has a Forward P/E ratio of 7.95. This represents a discount compared to its industry's average Forward P/E of 23.45.
Meanwhile, VZ's PEG ratio is currently 1.92. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Wireless National stocks are, on average, holding a PEG ratio of 1.98 based on yesterday's closing prices.
The Wireless National industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 152, putting it in the bottom 40% 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.