Verizon (VZ)
NYSECommunication ServicesTelecom ServicesSnapshot 2026-07-08
$42.45-0.33%
Close 2026-07-08 · 1-day change
Reading VZ? This analysis is rebuilt every market day. Get it tracked free. No credit card.
Track VZ free→NYSECommunication ServicesTelecom ServicesSnapshot 2026-07-08
Reading VZ? This analysis is rebuilt every market day. Get it tracked free. No credit card.
Track VZ free→Verizon grows wireless and broadband revenue about 3% yearly. Adjusted EPS rises to about $5.0 in 2026. Free cash flow grows to $21.5 billion. The company keeps capital spending disciplined near $16 billion.
Service revenue growth could slow due to outages and Starlink MVNO. Legal costs may rise from FCC penalties. Debt levels remain high after Frontier deal.
The price is about 31% below our fair value near $62. Analysts expect about 3% revenue growth. Our fair value is 14% above the Street median.
Breaks if: EPS falls below $4.95 in 2026
Focus on improving earnings per share with raised guidance reflecting operational momentum and transformation progress.
Stated as a priority in 6 of last 6 quarters. Adjusted EPS grew from $1.19 in 2025-Q1 to $1.28 in 2026-Q1 (+7.6%), with management raising 2026 guidance to 5.0-6.0% growth. The trajectory shows delivering EPS growth consistent with management's raised guidance.
Breaks if: Free cash flow falls below $21.5B or capex rises above $16.5B in 2026
Focus on generating growing free cash flow and disciplined capital expenditures to support investments and shareholder returns.
Stated as a priority in 6 of last 6 quarters. Free cash flow increased from $19.8 billion in 2024 to a 2026 guidance of $21.5 billion or more, with quarterly free cash flow growing 4.0% year-over-year in 2026-Q1. Capital expenditures are guided down from $17.0 billion in 2025 to $16.0-$16.5 billion in 2026, reflecting disciplined capital allocation. Management is delivering on free cash flow growth and capital discipline.
Breaks if: Frontier debt repayment not substantially complete by end 2026
Successfully integrate Frontier Communications and repay substantially all of its debt by year-end 2026.
Stated as a priority in 2 of last 6 quarters. Verizon completed the Frontier acquisition on January 20, 2026, and has paid down about half of Frontier's debt by 2026-Q1, expecting to repay substantially all by year-end 2026. The integration and debt reduction are underway with progress consistent with management's statements.
Breaks if: YoY revenue growth falls below 2.0% in 2026
Continue to increase wireless service revenue and broadband subscriber base through customer segmentation, product innovation, and network expansion.
Stated as a priority in 6 of last 6 quarters. Wireless service revenue grew from $20.0 billion in 2024-Q4 to $21.0 billion in 2025-Q4, with total mobility and broadband service revenue reaching $22.9 billion in 2026-Q1. Management consistently emphasizes growth in wireless service revenue and broadband connections, and the financials show delivering progress.
Standing thesis, reviewed periodically — not a price target or advice.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
“Adjusted EPS grew to $1.28 in first-quarter 2026, a 7.6 percent increase year-over-year.”
“EPS of $0.55 and adjusted EPS of $1.09 in fourth-quarter 2025.”
“EPS of $1.17 in third-quarter 2025 compared to $0.78 in third-quarter 2024.”
“EPS of $1.18 in second-quarter 2025 compared to $1.09 in second-quarter 2024.”
“EPS of $1.15 in first-quarter 2025 compared to $1.09 in first-quarter 2024.”
“Earnings per share of $1.18 in fourth-quarter 2024 compared to $(0.64) in fourth-quarter 2023.”
“Free cash flow was $3.8 billion in first-quarter 2026 compared to $3.6 billion in first-quarter 2025, a 4.0 percent increase.”
“Cash flow from operations of $37.0 billion to $39.0 billion expected in 2025.”
“Free cash flow for nine months ended September 30, 2025 was $15.8 billion, up from $14.5 billion in 2024.”
“Free cash flow was $8.8 billion in first-half 2025, up from $8.5 billion in first-half 2024.”
“Free cash flow was $3.6 billion in first-quarter 2025, up from $2.7 billion in first-quarter 2024.”
“Free cash flow was $19.8 billion in full-year 2024 compared to $18.7 billion in 2023.”
“Frontier results included starting January 20, 2026. Verizon paid down approximately half of Frontier debt since acquisition.”
“Frontier acquisition expands fiber access to over 30 million homes and businesses, accelerating strategy.”
“Total mobility and broadband service revenue reached approximately $22.9 billion, representing a 1.6 percent increase year-over-year.”
“Total wireless service revenue was $21.0 billion in fourth-quarter 2025, up 1.1 percent year-over-year.”
“Wireless service revenue in third-quarter 2025 was an industry-leading $21.0 billion, up 2.1 percent year-over-year.”
“Wireless service revenue in second-quarter 2025 was an industry-leading $20.9 billion, up 2.2 percent year-over-year.”
“Total wireless service revenue in first-quarter 2025 was an industry-leading $20.8 billion, up 2.7 percent year over year.”
“Total wireless service revenue in fourth-quarter 2024 was $20.0 billion, up 3.1 percent year over year.”