If You'd Invested $10,000 in Verizon Stock 10 Years Ago, Here's How Much You'd Have Today

Core Viewpoint - Verizon has experienced stagnant stock performance over the past decade, with a current stock price approximately 5% lower than it was ten years ago, despite offering a high dividend yield of over 6% [3][4]. Group 1: Stock Performance - A $10,000 investment in Verizon stock a decade ago would now be worth only $9,535, indicating a decline in stock value [3]. - Including dividends and assuming reinvestment, the total return on that investment has grown to over 60%, making it worth about $16,030 today [4]. - In comparison, a $10,000 investment in a top S&P 500 ETF would have grown to more than $38,800, highlighting Verizon's underperformance relative to the broader market [4]. Group 2: Growth Challenges - Verizon's revenue and earnings are currently growing at a low- to mid-single-digit rate, which is significantly slower than many competitors [5]. - The company has attempted to accelerate growth through acquisitions, such as AOL and Yahoo!, but these efforts have not yielded the expected results, leading to the sale of the media division for $5 billion in 2021 [5]. - Intense competition from other mobile and broadband carriers has further hindered Verizon's growth prospects [5]. Group 3: Future Outlook - Verizon is focusing on investing in 5G and fiber to restart its growth engine, but without a significant acceleration in growth, it is unlikely to produce market-beating total returns in the future [6]. - The attractive dividend remains a key appeal for income-seeking investors, despite the lack of growth [6].