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Verizon Communications (VZ) Advances But Underperforms Market: Key Facts
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The latest trading session saw Verizon Communications (VZ - Free Report) ending at $39.08, denoting a +0.1% adjustment from its last day's close. This change lagged the S&P 500's 0.57% gain on the day. Meanwhile, the Dow experienced a rise of 0.46%, and the technology-dominated Nasdaq saw an increase of 0.75%.
Heading into today, shares of the largest U.S. cellphone carrier had gained 4.66% over the past month, outpacing the Computer and Technology sector's gain of 1.51% and the S&P 500's gain of 3.4% in that time.
The investment community will be paying close attention to the earnings performance of Verizon Communications in its upcoming release. The company is slated to reveal its earnings on January 23, 2024. It is anticipated that the company will report an EPS of $1.07, marking a 10.08% fall compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $34.82 billion, down 1.23% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Verizon Communications. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.52% lower. Verizon Communications is holding a Zacks Rank of #3 (Hold) right now.
From a valuation perspective, Verizon Communications is currently exchanging hands at a Forward P/E ratio of 8.47. This signifies a discount in comparison to the average Forward P/E of 17.12 for its industry.
It's also important to note that VZ currently trades at a PEG ratio of 2.42. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Wireless National industry currently had an average PEG ratio of 2.24 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 235, which puts it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Verizon Communications (VZ) Advances But Underperforms Market: Key Facts
The latest trading session saw Verizon Communications (VZ - Free Report) ending at $39.08, denoting a +0.1% adjustment from its last day's close. This change lagged the S&P 500's 0.57% gain on the day. Meanwhile, the Dow experienced a rise of 0.46%, and the technology-dominated Nasdaq saw an increase of 0.75%.
Heading into today, shares of the largest U.S. cellphone carrier had gained 4.66% over the past month, outpacing the Computer and Technology sector's gain of 1.51% and the S&P 500's gain of 3.4% in that time.
The investment community will be paying close attention to the earnings performance of Verizon Communications in its upcoming release. The company is slated to reveal its earnings on January 23, 2024. It is anticipated that the company will report an EPS of $1.07, marking a 10.08% fall compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $34.82 billion, down 1.23% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Verizon Communications. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.52% lower. Verizon Communications is holding a Zacks Rank of #3 (Hold) right now.
From a valuation perspective, Verizon Communications is currently exchanging hands at a Forward P/E ratio of 8.47. This signifies a discount in comparison to the average Forward P/E of 17.12 for its industry.
It's also important to note that VZ currently trades at a PEG ratio of 2.42. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Wireless National industry currently had an average PEG ratio of 2.24 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 235, which puts it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.