Today’s Stock in Focus: Verizon Communications Inc. (VZ)


The shares of Verizon Communications Inc. (VZ), currently has mean rating of Outperform while 8 analysts have recommended the shares as BUY, 7 recommended as OUTPERFORM and 16 recommended as HOLD. The rating score is on a scale of 1 to 5 where 1 stands for strong buy and 5 stands for sell.

The company’s mean estimate for sales for the current quarter ending Mar 16 is $32.81B by 18 analysts. The mean estimate of sales for the year ending Dec 16 is $131.89B by 28 analysts.

The mean price target for the shares of Company is at $50.8 while the highest price target suggested by the analysts is $55 and low price target is $40. The mean price target is calculated keeping in view the consensus of 25 brokerage firms.

The average estimate of EPS for the current fiscal quarter for Company stands at $1.06 while the EPS for the current year is fixed at $3.99 by 31 analysts.

The next one year’s EPS estimate is set at $4.07 by 28 analysts while revenue forecast for the same year is $132.66B. The analysts also projected the company’s long-term growth at 4.51 percent for the upcoming five years.

In its latest quarter Verizon Communications Inc. reported earnings of $0.89 a share. The posted earnings topped the analyst’s consensus of $0.88 per share with the surprise factor of 1.1 percent. In the matter of earnings surprises, the term Cockroach Effect is often implied. Cockroach Effect is a market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events that have yet to be revealed. In the case of earnings surprises, if a company is suggesting a negative earnings surprise it means there are more to come.

On Feb. 18, 2016 Verizon and Viptela are joining forces to deliver a new software defined networking solution using Viptela’s Software Defined WAN Platform. Viptela also entered into an exclusive managed services arrangement with Verizon in the United States.

By joining forces, the duo is addressing the market’s pent-up demand for managed hybrid networking solutions that enable enterprises to securely, reliably and simply access their applications from the cloud or on-premises from any device or desktop while better managing the ever increasing volume of data.



About The Author