Verizon Communications (NYSE:VZ) Stock Price Up 2.1% – Here’s Why

Verizon Communications Inc. (NYSE:VZ)’s stock price was up 2.1% during trading on Monday . The company traded as high as $47.36 and last traded at $47.05. Approximately 12,867,677 shares changed hands during mid-day trading, a decline of 28% from the average daily volume of 17,821,518 shares. The stock had previously closed at $46.06.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on VZ. Scotiabank increased their price target on Verizon Communications from $47.50 to $48.00 and gave the company a “sector perform” rating in a research note on Monday, March 3rd. StockNews.com upgraded Verizon Communications from a “buy” rating to a “strong-buy” rating in a research report on Wednesday, March 5th. Wolfe Research cut shares of Verizon Communications from an “outperform” rating to a “peer perform” rating in a research report on Wednesday. Argus raised shares of Verizon Communications to a “strong-buy” rating in a research note on Monday, January 27th. Finally, Royal Bank of Canada dropped their price objective on shares of Verizon Communications from $46.00 to $42.00 in a research note on Friday, January 24th. Eleven research analysts have rated the stock with a hold rating, six have assigned a buy rating and three have issued a strong buy rating to the stock. According to data from MarketBeat.com, Verizon Communications currently has an average rating of “Moderate Buy” and a consensus price target of $46.11.

Verizon Communications Price Performance

The stock has a 50 day moving average of $40.82 and a 200-day moving average of $41.89. The company has a current ratio of 0.63, a quick ratio of 0.59 and a debt-to-equity ratio of 1.21. The stock has a market capitalization of $183.16 billion, a P/E ratio of 10.51, a price-to-earnings-growth ratio of 4.45 and a beta of 0.41.

Verizon Communications (NYSE:VZ) last released its earnings results on Friday, January 24th. The cell phone carrier reported $1.10 earnings per share for the quarter, missing the consensus estimate of $1.11 by ($0.01). Verizon Communications had a return on equity of 19.80% and a net margin of 12.99%. During the same period in the prior year, the company earned $1.08 EPS. On average, equities research analysts anticipate that Verizon Communications Inc. will post 4.69 earnings per share for the current fiscal year.

Verizon Communications Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, May 1st. Shareholders of record on Thursday, April 10th will be paid a $0.6775 dividend. The ex-dividend date of this dividend is Thursday, April 10th. This represents a $2.71 dividend on an annualized basis and a yield of 6.23%. Verizon Communications’s dividend payout ratio is currently 65.46%.

Insider Activity

In other news, CEO Kyle Malady sold 8,000 shares of Verizon Communications stock in a transaction on Monday, February 3rd. The stock was sold at an average price of $39.88, for a total value of $319,040.00. Following the transaction, the chief executive officer now directly owns 6,590 shares in the company, valued at approximately $262,809.20. This trade represents a 54.83 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, EVP Vandana Venkatesh sold 10,000 shares of the firm’s stock in a transaction dated Tuesday, February 25th. The shares were sold at an average price of $43.79, for a total value of $437,900.00. Following the sale, the executive vice president now directly owns 14,459 shares in the company, valued at approximately $633,159.61. The trade was a 40.88 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders sold 49,085 shares of company stock valued at $2,020,895. Corporate insiders own 0.02% of the company’s stock.

Institutional Trading of Verizon Communications

Several hedge funds have recently modified their holdings of the company. Swedbank AB raised its holdings in shares of Verizon Communications by 0.8% in the third quarter. Swedbank AB now owns 5,174,541 shares of the cell phone carrier’s stock worth $232,389,000 after buying an additional 39,403 shares during the last quarter. Capital Performance Advisors LLP acquired a new position in shares of Verizon Communications in the 3rd quarter valued at $31,000. Baker Avenue Asset Management LP raised its stake in Verizon Communications by 43.9% in the 3rd quarter. Baker Avenue Asset Management LP now owns 12,374 shares of the cell phone carrier’s stock worth $556,000 after acquiring an additional 3,772 shares during the last quarter. Ashton Thomas Securities LLC acquired a new stake in Verizon Communications during the 3rd quarter worth about $666,000. Finally, Venturi Wealth Management LLC grew its stake in Verizon Communications by 588.2% during the 3rd quarter. Venturi Wealth Management LLC now owns 33,969 shares of the cell phone carrier’s stock valued at $1,526,000 after purchasing an additional 29,033 shares during the last quarter. 62.06% of the stock is owned by hedge funds and other institutional investors.

Verizon Communications Company Profile

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).