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Verizon Communications (VZ) Gains But Lags Market: What You Should Know
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Verizon Communications (VZ - Free Report) closed the most recent trading day at $35.61, moving +0.39% from the previous trading session. This change lagged the S&P 500's 0.93% gain on the day. Meanwhile, the Dow gained 0.56%, and the Nasdaq, a tech-heavy index, added 1.71%.
Coming into today, shares of the largest U.S. cellphone carrier had lost 5.64% in the past month. In that same time, the Computer and Technology sector gained 10.74%, while the S&P 500 gained 4.61%.
Verizon Communications will be looking to display strength as it nears its next earnings release, which is expected to be July 25, 2023. On that day, Verizon Communications is projected to report earnings of $1.17 per share, which would represent a year-over-year decline of 10.69%. Meanwhile, our latest consensus estimate is calling for revenue of $33.53 billion, down 0.75% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.68 per share and revenue of $135.08 billion. These totals would mark changes of -9.65% and -1.28%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Verizon Communications. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Verizon Communications is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Verizon Communications's current valuation metrics, including its Forward P/E ratio of 7.57. Its industry sports an average Forward P/E of 18.81, so we one might conclude that Verizon Communications is trading at a discount comparatively.
We can also see that VZ currently has a PEG ratio of 2.05. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Wireless National industry currently had an average PEG ratio of 1.27 as of yesterday's close.
The Wireless National industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 169, which puts it in the bottom 33% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Verizon Communications (VZ) Gains But Lags Market: What You Should Know
Verizon Communications (VZ - Free Report) closed the most recent trading day at $35.61, moving +0.39% from the previous trading session. This change lagged the S&P 500's 0.93% gain on the day. Meanwhile, the Dow gained 0.56%, and the Nasdaq, a tech-heavy index, added 1.71%.
Coming into today, shares of the largest U.S. cellphone carrier had lost 5.64% in the past month. In that same time, the Computer and Technology sector gained 10.74%, while the S&P 500 gained 4.61%.
Verizon Communications will be looking to display strength as it nears its next earnings release, which is expected to be July 25, 2023. On that day, Verizon Communications is projected to report earnings of $1.17 per share, which would represent a year-over-year decline of 10.69%. Meanwhile, our latest consensus estimate is calling for revenue of $33.53 billion, down 0.75% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.68 per share and revenue of $135.08 billion. These totals would mark changes of -9.65% and -1.28%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Verizon Communications. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Verizon Communications is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Verizon Communications's current valuation metrics, including its Forward P/E ratio of 7.57. Its industry sports an average Forward P/E of 18.81, so we one might conclude that Verizon Communications is trading at a discount comparatively.
We can also see that VZ currently has a PEG ratio of 2.05. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Wireless National industry currently had an average PEG ratio of 1.27 as of yesterday's close.
The Wireless National industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 169, which puts it in the bottom 33% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.