
NYSE:VZ
This summary was created by AI, based on 7 opinions in the last 12 months.
Verizon Communications (VZ-N) has had a mixed reception among experts, with discussions centered around its current financial performance and outlook. The stock is currently down 6.5% due to a restructuring charge, presenting an opportunity for value investors, especially with a robust dividend yield of around 6.5% to 6.7%. However, despite these dividends, concerns about the company's growth prospects have been raised, particularly in light of strong quarterly revenues that may not be sustainable amid industry challenges, including a global memory chip shortage affecting technology companies. The recent appointment of a new CEO has stirred some optimism, leading to an 18.6% rise in shares over the past six months, but the overall sentiment remains cautious, with some suggesting a need to take profits while maintaining a position for consistent income. Many experts agree that while VZ-N acts like a bond due to its steady income stream, it lacks significant growth potential.
The entry into Canada is going to be interesting but there are going to be some obstacles. Pretty decent yield and it is pretty safe as well. You are probably looking at 9%-10% long-term growth and paying about 18X earnings so it is not necessarily cheap. Telecom is a defensive space. He prefers Consumer Staples a little bit more than Telecoms. However, he thinks this is a keeper. (See Top Picks.)