2024-04-05 13:35:48 ET
Summary
- Verizon's stock has been performing well recently, keeping pace with the S&P 500 index. Will the show go on? I believe it must - read on.
- Despite weak financial results, I think the market has already priced in the risks and the stock has continued to rally, focusing on prospects.
- Verizon's management has outlined plans for revenue growth, cost reduction, and debt reduction, which could drive the rebound to keep going.
- Assuming higher FCF by the end of 2024 and stable growth thereafter, the dividend of over 6% seems safe today. My calculations indicate an upside potential of over 20% (without the dividend yield).
- I'm therefore reiterating my previous "Buy" rating today.
Instead Of An Investment Thesis
My first and only piece on Verizon Communications Inc. ( VZ ) stock was published 3 months back in January 2024. Since then, it's been riding the wave upward, keeping pace with the S&P 500 index ( SPX ), although it's lagging behind just a tad....
Read the full article on Seeking Alpha
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Verizon: Show Must Go On