We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Healthy Wireless Traction to Aid Verizon (VZ) Q3 Earnings
Read MoreHide Full Article
Verizon Communications Inc. (VZ - Free Report) is scheduled to release third-quarter 2019 results before the opening bell on Oct 25. The company is likely to have recorded higher year-over-year revenues from the Wireless segment, which accounts for lion’s share of total revenues.
Factors at Play
During the quarter, Verizon spurred technological innovation and economic development by making the ecosystem more pervasive with 4G LTE, and focused on increased 5G deployment across select U.S. cities. The telecom behemoth launched 5G Ultra Wideband network in certain locations of Atlanta, Detroit, Indianapolis, Washington DC, Phoenix, St. Paul, New York City, Panama City and Boise to bring the tally to 13. Also, Verizon launched its fifth 5G-enabled device — Inseego Corp.’s MiFi M1000 — that combines large bandwidth and fast download speeds for data-extensive applications. These are expected to be reflected in third-quarter results.
The Wireless segment margin is likely to have witnessed healthy improvement in on the back of a solid fiber-optic network. Notably, the segment EBITDA is expected to improve 0.9% year over year to $11,063 million. Net subscriber addition in the domestic Wireless retail postpaid division is likely to be 527 million, up from 515 million in the prior-year quarter.
Overall Expectations
The Zacks Consensus Estimate for the Wireless segment operating income stands at $8,769 million, indicating a rise of 3% from the year-ago reported number. The consensus estimate for the segment’s operating revenues is pegged at $23,437 million, suggesting 2% growth from the year-ago reported figure of $22,973 million. The higher revenue expectations can be attributed to an uptick in demand and an upgrade to state-of-the-art infrastructure.
The consensus mark for total revenues is $32,715 million. It generated revenues of $32,607 million in the prior-year quarter. The Zacks Consensus Estimate for earnings is currently pegged at $1.24 per share, up from $1.22 reported in the year-earlier quarter. (Read More: Can Wireless Strength Drive Verizon's Q3 Earnings?)
Earnings Whispers
Our proven model predicts an earnings beat for Verizon in the third quarter. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. This is perfectly the case here.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is +0.40%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Verizon Communications Inc. Price and EPS Surprise
Here are some other companies that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this quarter:
The Earnings ESP for T-Mobile US, Inc. (TMUS - Free Report) is +0.55% and it carries a Zacks Rank of 2. The company is set to report quarterly numbers on Oct 28.
The Earnings ESP for Sprint Corporation (S - Free Report) is +27.78% and it carries a Zacks Rank of 3. The company is set to report quarterly numbers on Oct 30.
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Image: Bigstock
Healthy Wireless Traction to Aid Verizon (VZ) Q3 Earnings
Verizon Communications Inc. (VZ - Free Report) is scheduled to release third-quarter 2019 results before the opening bell on Oct 25. The company is likely to have recorded higher year-over-year revenues from the Wireless segment, which accounts for lion’s share of total revenues.
Factors at Play
During the quarter, Verizon spurred technological innovation and economic development by making the ecosystem more pervasive with 4G LTE, and focused on increased 5G deployment across select U.S. cities. The telecom behemoth launched 5G Ultra Wideband network in certain locations of Atlanta, Detroit, Indianapolis, Washington DC, Phoenix, St. Paul, New York City, Panama City and Boise to bring the tally to 13. Also, Verizon launched its fifth 5G-enabled device — Inseego Corp.’s MiFi M1000 — that combines large bandwidth and fast download speeds for data-extensive applications. These are expected to be reflected in third-quarter results.
The Wireless segment margin is likely to have witnessed healthy improvement in on the back of a solid fiber-optic network. Notably, the segment EBITDA is expected to improve 0.9% year over year to $11,063 million. Net subscriber addition in the domestic Wireless retail postpaid division is likely to be 527 million, up from 515 million in the prior-year quarter.
Overall Expectations
The Zacks Consensus Estimate for the Wireless segment operating income stands at $8,769 million, indicating a rise of 3% from the year-ago reported number. The consensus estimate for the segment’s operating revenues is pegged at $23,437 million, suggesting 2% growth from the year-ago reported figure of $22,973 million. The higher revenue expectations can be attributed to an uptick in demand and an upgrade to state-of-the-art infrastructure.
The consensus mark for total revenues is $32,715 million. It generated revenues of $32,607 million in the prior-year quarter. The Zacks Consensus Estimate for earnings is currently pegged at $1.24 per share, up from $1.22 reported in the year-earlier quarter. (Read More: Can Wireless Strength Drive Verizon's Q3 Earnings?)
Earnings Whispers
Our proven model predicts an earnings beat for Verizon in the third quarter. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. This is perfectly the case here.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is +0.40%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Verizon Communications Inc. Price and EPS Surprise
Verizon Communications Inc. price-eps-surprise | Verizon Communications Inc. Quote
Zacks Rank: Verizon has a Zacks Rank #2.
Other Stocks to Consider
Here are some other companies that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this quarter:
AT&T Inc. (T - Free Report) is set to release quarterly numbers on Oct 28. It has an Earnings ESP of +0.50% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Earnings ESP for T-Mobile US, Inc. (TMUS - Free Report) is +0.55% and it carries a Zacks Rank of 2. The company is set to report quarterly numbers on Oct 28.
The Earnings ESP for Sprint Corporation (S - Free Report) is +27.78% and it carries a Zacks Rank of 3. The company is set to report quarterly numbers on Oct 30.
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Click for details >>