Verizon Communications (NYSE:VZ) Shares Up 0.6% – Time to Buy?

Shares of Verizon Communications Inc. (NYSE:VZ) shot up 0.6% during mid-day trading on Tuesday . The company traded as high as $39.92 and last traded at $39.85. 2,564,484 shares changed hands during trading, a decline of 86% from the average session volume of 18,368,238 shares. The stock had previously closed at $39.60.

Analyst Upgrades and Downgrades

VZ has been the subject of a number of analyst reports. Scotiabank raised their price target on Verizon Communications from $46.50 to $47.25 and gave the stock a “sector perform” rating in a report on Friday, October 18th. UBS Group lifted their target price on Verizon Communications from $44.00 to $45.00 and gave the company a “neutral” rating in a report on Friday, December 20th. Raymond James increased their price target on shares of Verizon Communications from $44.00 to $48.00 and gave the stock an “outperform” rating in a report on Tuesday, September 24th. Tigress Financial boosted their price objective on shares of Verizon Communications from $52.00 to $55.00 and gave the company a “buy” rating in a research note on Tuesday, October 1st. Finally, Royal Bank of Canada increased their target price on shares of Verizon Communications from $42.00 to $46.00 and gave the stock a “sector perform” rating in a research note on Monday, September 23rd. Ten investment analysts have rated the stock with a hold rating and nine have issued a buy rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $46.51.

Verizon Communications Stock Performance

The firm has a market cap of $167.50 billion, a PE ratio of 17.15, a price-to-earnings-growth ratio of 3.05 and a beta of 0.44. The company has a 50 day simple moving average of $41.78 and a 200-day simple moving average of $41.86. The company has a debt-to-equity ratio of 1.32, a current ratio of 0.66 and a quick ratio of 0.62.

Verizon Communications (NYSE:VZ) last announced its quarterly earnings data on Tuesday, October 22nd. The cell phone carrier reported $1.19 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.18 by $0.01. Verizon Communications had a return on equity of 20.05% and a net margin of 7.30%. The firm had revenue of $33.30 billion for the quarter, compared to analysts’ expectations of $33.42 billion. During the same period last year, the firm earned $1.22 earnings per share. The company’s revenue for the quarter was up .9% compared to the same quarter last year. As a group, equities research analysts anticipate that Verizon Communications Inc. will post 4.61 EPS for the current year.

Verizon Communications Cuts Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, February 3rd. Shareholders of record on Friday, January 10th will be given a $0.6775 dividend. The ex-dividend date is Friday, January 10th. This represents a $2.71 annualized dividend and a yield of 6.81%. Verizon Communications’s payout ratio is currently 116.81%.

Institutional Investors Weigh In On Verizon Communications

Several institutional investors have recently added to or reduced their stakes in the company. Fermata Advisors LLC increased its stake in shares of Verizon Communications by 4.5% during the third quarter. Fermata Advisors LLC now owns 5,626 shares of the cell phone carrier’s stock worth $253,000 after buying an additional 243 shares during the period. Austin Private Wealth LLC grew its holdings in Verizon Communications by 3.0% during the 3rd quarter. Austin Private Wealth LLC now owns 8,450 shares of the cell phone carrier’s stock worth $379,000 after acquiring an additional 243 shares in the last quarter. Semmax Financial Advisors Inc. increased its position in shares of Verizon Communications by 0.4% in the 2nd quarter. Semmax Financial Advisors Inc. now owns 54,926 shares of the cell phone carrier’s stock valued at $2,240,000 after purchasing an additional 246 shares during the last quarter. Cary Street Partners Asset Management LLC raised its holdings in shares of Verizon Communications by 3.4% in the 3rd quarter. Cary Street Partners Asset Management LLC now owns 7,628 shares of the cell phone carrier’s stock valued at $343,000 after purchasing an additional 249 shares in the last quarter. Finally, Wynn Capital LLC lifted its position in shares of Verizon Communications by 4.4% during the 3rd quarter. Wynn Capital LLC now owns 5,945 shares of the cell phone carrier’s stock worth $267,000 after purchasing an additional 250 shares during the last quarter. Hedge funds and other institutional investors own 62.06% of the company’s stock.

About Verizon Communications

Verizon Communications Inc, through its subsidiaries, engages in the provision of communications, technology, information, and entertainment products and services to consumers, businesses, and governmental entities worldwide. It operates in two segments, Verizon Consumer Group (Consumer) and Verizon Business Group (Business).