Verizon Communications Inc. (NYSE:VZ) to Issue Dividend Increase – $0.71 Per Share

Verizon Communications Inc. (NYSE:VZ) declared a quarterly dividend on Friday, January 30th. Investors of record on Friday, April 10th will be paid a dividend of 0.7075 per share by the cell phone carrier on Friday, May 1st. This represents a c) annualized dividend and a dividend yield of 5.8%. The ex-dividend date is Friday, April 10th. This is a 2.5% increase from Verizon Communications’s previous quarterly dividend of $0.69.

Verizon Communications has raised its dividend payment by an average of 0.0%per year over the last three years and has raised its dividend annually for the last 20 consecutive years. Verizon Communications has a dividend payout ratio of 58.6% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Verizon Communications to earn $4.86 per share next year, which means the company should continue to be able to cover its $2.83 annual dividend with an expected future payout ratio of 58.2%.

Verizon Communications Stock Down 1.2%

Shares of Verizon Communications stock opened at $48.57 on Wednesday. The company has a debt-to-equity ratio of 1.32, a current ratio of 0.91 and a quick ratio of 0.87. The company has a 50-day moving average of $48.93 and a 200 day moving average of $43.54. The firm has a market cap of $204.84 billion, a price-to-earnings ratio of 11.99, a PEG ratio of 2.07 and a beta of 0.29. Verizon Communications has a 1 year low of $38.39 and a 1 year high of $51.68.

Verizon Communications (NYSE:VZ) last issued its quarterly earnings results on Friday, January 30th. The cell phone carrier reported $1.09 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.06 by $0.03. The company had revenue of $36.38 billion during the quarter, compared to analyst estimates of $36.20 billion. Verizon Communications had a net margin of 12.43% and a return on equity of 19.03%. Verizon Communications’s quarterly revenue was up 2.0% compared to the same quarter last year. During the same period last year, the business earned $1.10 EPS. Verizon Communications has set its FY 2026 guidance at 4.900-4.950 EPS. As a group, sell-side analysts anticipate that Verizon Communications will post 4.69 earnings per share for the current fiscal year.

Analysts Set New Price Targets

Several research analysts recently issued reports on VZ shares. Barclays increased their price target on shares of Verizon Communications from $43.00 to $47.00 and gave the stock an “equal weight” rating in a research note on Tuesday, March 31st. Morgan Stanley increased their price objective on shares of Verizon Communications from $47.00 to $49.00 and gave the company an “equal weight” rating in a research report on Monday, February 2nd. Citigroup increased their price objective on shares of Verizon Communications from $50.00 to $55.00 and gave the company a “buy” rating in a research report on Friday, March 20th. Oppenheimer increased their price objective on shares of Verizon Communications from $50.00 to $56.00 and gave the company an “outperform” rating in a research report on Wednesday, March 11th. Finally, Weiss Ratings raised shares of Verizon Communications from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, February 5th. Two analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating and nine have given a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $50.56.

Verizon Communications Company Profile

Verizon Communications Inc (NYSE: VZ) is a major U.S.-based telecommunications company that provides a broad range of communications and information services. Its operations span consumer and business markets, with core offerings that include wireless voice and data services, fixed-line broadband and fiber-optic services, and enterprise networking solutions. Verizon is headquartered in New York City and operates a nationwide wireless network that supports consumer subscribers as well as business and government customers.

The company’s consumer products include mobile phone plans, unlimited data services, and Fios, its branded fiber-optic internet, television and voice service for homes and small businesses.