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Verizon Communications (VZ) Surpasses Market Returns: Some Facts Worth Knowing

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In the latest close session, Verizon Communications (VZ - Free Report) was up +1.62% at $43.95. The stock outpaced the S&P 500's daily gain of 0.41%. On the other hand, the Dow registered a gain of 0.18%, and the technology-centric Nasdaq increased by 0.31%.

The stock of largest U.S. cellphone carrier has fallen by 2.22% in the past month, lagging the Computer and Technology sector's gain of 7.63% and the S&P 500's gain of 3.15%.

Market participants will be closely following the financial results of Verizon Communications in its upcoming release. The company plans to announce its earnings on October 21, 2025. It is anticipated that the company will report an EPS of $1.2, marking a 0.84% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $34.06 billion, up 2.2% from the year-ago period.

For the full year, the Zacks Consensus Estimates are projecting earnings of $4.7 per share and revenue of $138.19 billion, which would represent changes of +2.4% and +2.52%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Verizon Communications. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.09% lower. As of now, Verizon Communications holds a Zacks Rank of #3 (Hold).

With respect to valuation, Verizon Communications is currently being traded at a Forward P/E ratio of 9.2. This signifies a discount in comparison to the average Forward P/E of 21.32 for its industry.

We can additionally observe that VZ currently boasts a PEG ratio of 3.34. 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. Wireless National stocks are, on average, holding a PEG ratio of 3.34 based on yesterday's closing prices.

The Wireless National industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 214, which puts it in the bottom 14% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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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