Company Analysis: Verizon
Founded in 1983 and headquartered in New York, NY, Verizon Communications, Inc. is a holding company providing communications, information, and entertainment products and services.
It operates through (1) Consumer and (2) Business segments.
The Consumer segment provides consumer-focused wireless and wire line communications services and products.
The Business segment offers wireless and wireline communications services and network access to deliver various Internet of Things services and products.
Three key data points gauge VZ or any dividend paying entity, namely:
(1) Price
(2) Dividends
(3) Returns
Those keys also indicate if any company has made, is making, and will make money.
VZ Price
Verizon’s share price fell 6% last year from $41.50 to $39.04 per Thursday’s market price. Twenty-four analysts cover the stock.
Their median annual price target estimate increase was $9.63. That annual increase would put VZ stock price for 2026 at $48,86.
Of course, the price could also stay flat, or decline per market action.
VZ Dividends
Verizon has paid annual increasing quarterly dividends since February, 2006. The current forward-looking annual dividend of $2.76 yields 7.08% as of Thursday’s share price.
VZ Returns=
Putting it all together, a $6.39 estimated gross gain per share shows up when adding VZ’s annual $2.76 dividend to an estimated $3.63 annual price gain.
A little over $1000 invested at Thursday’s $38.97 share price would buy 26 shares which, multiply the $6.39 estimated gross gain to $163.97 for the coming year.
43% of that $164 gain comes from the annual $70.80 dividend generated from your $1,000 investment. Furthermore, the $70.80 annual dividend income from $1,000 invested is near 2 times greater than the recent $38.97 single-share price.
(A dividend dogcatcher rule is to only buy initial shares of a stock that pay an annual dividend from $1000 invested that is greater than the cost of a single share.)
1.8 is more than one.
Therefore, you could choose to pounce on Verizon Communications with its dividend payout of 1.6 X the single share-price.
The exact track of VZ’s future share price and dividends will entirely be determined by market action and company finances.
Remember the best way to track stock performance and dividend payments is through direct ownership of company shares.
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Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a solicitation, ...
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