Why Verizon Communications (VZ) Outpaced the Stock Market Today

Core Insights - Verizon Communications (VZ) experienced a +1.1% increase in its stock price, closing at $44.13, outperforming the S&P 500's gain of 0.55% on the same day [1] - Analysts expect Verizon to report earnings of $1.18 per share, reflecting a year-over-year growth of 2.61%, with projected revenue of $33.49 billion, a 2.13% increase from the same quarter last year [2] - For the full year, earnings are projected at $4.69 per share and revenue at $137.09 billion, indicating year-over-year changes of +2.18% and +1.71% respectively [3] Analyst Estimates - Recent changes in analyst estimates for Verizon are significant as they reflect the shifting dynamics of short-term business patterns, with positive revisions indicating optimism about the company's profitability [4] - The Zacks Rank system, which incorporates estimate changes, currently ranks Verizon at 3 (Hold), with a slight increase of 0.02% in the consensus EPS estimate over the last 30 days [6] Valuation Metrics - Verizon has a Forward P/E ratio of 9.31, which is a discount compared to the industry average Forward P/E of 21.36 [7] - The company also has a PEG ratio of 3.24, matching the average PEG ratio of the Wireless National industry, which is part of the Computer and Technology sector [8] Industry Context - The Wireless National industry currently holds a Zacks Industry Rank of 165, placing it in the bottom 33% of over 250 industries, indicating weaker performance compared to higher-ranked industries [8][9]