As of the close on December 2, 2025, Verizon Communications Inc. (NYSE: VZ) is a classic “high yield vs. low growth” dilemma for investors: a nearly 7% dividend, a decade of heavy capital returns, but modest revenue growth and a massive restructuring under a new CEO.
Below is a data‑driven look at where Verizon stock stands today, the latest news (including job cuts and the Frontier deal), and what Wall Street forecasts for 2026 and beyond.
1. Verizon stock today: price, performance and basic metrics
- Closing price (Dec 2, 2025):$40.61, down 0.32% on the day. [1]
- 2‑week performance: roughly –1%, with choppy but low‑volatility trading. [2]
- 52‑week range: about $37.59 – $47.36. [3]
- Market cap: around $171 billion as of December 2. [4]
At current prices, Verizon trades at:
- A trailing P/E around 8.7–9.0, versus an S&P 500 median above 20. [5]
- A forward P/E near 9x 2026 earnings, according to 24/7 Wall St’s December high‑yield screen. [6]
Short‑term technical models are cautious:
- StockInvest.us classifies VZ as a “sell candidate” in the short term, noting a wide but falling trend and projecting about –9.7% downside over the next three months, with a 90% probability range of $32.98–$36.89. [7]
So the market is treating Verizon more like a value / income stock than a growth story right now.
2. Massive restructuring: 13,000+ job cuts and a “full reboot”
The biggest near‑term story around Verizon stock is a sweeping restructuring under new CEO Dan Schulman:
- In November, Verizon announced it will cut more than 13,000 jobs, its largest‑ever round of layoffs, as part of a broad reorganization. [8]
- The cuts affect roughly 20% of the management workforce and will be completed by year‑end. [9]
- Verizon will convert about 179 corporate‑owned retail stores into franchised outlets and close at least one store, aiming to simplify operations and lower fixed costs. [10]
- The company is creating a $20 million reskilling and career‑transition fund for affected employees. [11]
Schulman has been explicit that this is not a small tweak but a “full reboot” of Verizon’s operating model, with “cost reductions [as] a way of life”, a phrase that has appeared repeatedly in internal and investor communications. [12]
From a stock perspective, this matters because:
- The layoffs and store conversions are designed to lift margins and free cash flow in 2026 and beyond.
- In the short term, they add execution risk, potential morale issues, and near‑term charges, which can weigh on sentiment.
Layoffs at this scale have put Verizon high on 2025’s corporate layoff lists, alongside big tech and media names, keeping the stock firmly in the news cycle. [13]
3. Frontier acquisition, 5G and the $11 billion bond deal
Verizon’s long‑term growth story hinges on 5G and fiber—and the centerpiece of that strategy is its pending $20 billion acquisition of Frontier Communications’ fiber‑optic business.
Recent developments:
- Verizon recently issued $11 billion in senior notes to help fund the Frontier acquisition and refinance some of Frontier’s debt, including a 40‑year tranche priced about 1.3–1.6 percentage points above Treasuries. [14]
- As of Q3 2025, this brings Verizon’s total debt to about $146.8 billion, though Fitch still rates the company A‑ on the back of strong, recurring cash flows. [15]
- The proceeds will cover about $9.6 billion in cash payments to Frontier and refinance roughly $10 billion of its existing debt, while also supporting integration and 5G expansion. [16]
Strategically, the deal aims to:
- Expand Verizon’s fiber network to 25 million premises and add more than 2 million fiber subscribers, with a commitment to build 2.8 million additional fiber locations by 2026. [17]
- Strengthen its fixed‑wireless and broadband footprint against AT&T and T‑Mobile.
Regulatory and political overlay
- In May 2025, the FCC approved Verizon’s $20 billion Frontier acquisition only after Verizon agreed to end its diversity, equity and inclusion (DEI) program, part of a broader Trump‑era policy that has linked transaction approvals to rolling back DEI initiatives at telecom firms. [18]
This combination of higher leverage, regulatory complexity, and heavy capex commitments is a key risk—but also a potential long‑term growth driver if the fiber and 5G bets pay off.
4. Q3 2025 earnings: slow growth, strong cash flow
Verizon’s Q3 2025 results (reported October 29) were solidly in line with its slow‑growth, high‑cash‑flow profile:
- Revenue: $33.8 billion, up 1.5% year‑over‑year. [19]
- Net income: about $5.1 billion, up roughly 48% from $3.4 billion a year earlier, helped by cost controls and mix. [20]
- Adjusted EBITDA: $12.8 billion, +2.3% vs. Q3 2024. [21]
- Adjusted EPS:$1.21, up 1.7% and two cents above consensus estimates. [22]
- Free cash flow (FCF):
- Q3: $7.0 billion
- First nine months of 2025: $15.8 billion, up $1.3 billion year‑on‑year. [23]
- Cash from operations (9M 2025):$28.0 billion, up from $26.5 billion in 2024. [24]
Guidance (reiterated in Q3) for full‑year 2025:
- Wireless service revenue growth:2.0–2.8%
- Adjusted EBITDA growth:2.5–3.5%
- Adjusted EPS growth:1.0–3.0%
- 2025 capex:$17.5–18.5 billion, with free cash flow in 2026 expected to exceed 2025, even after Frontier. [25]
In other words, Verizon is not a growth rocket—but it is a cash‑generating machine, and the new CEO is trying to convert more of that cash into shareholder returns and debt reduction.
5. Dividend and shareholder returns: a 19‑year streak and $102 billion paid out
Income investors care less about glamorous growth and more about “Will the dividend hold?” Right now, Verizon’s story is compelling:
- On September 5, 2025, Verizon raised its quarterly dividend to $0.69 per share, up 1.25 cents, payable November 3 to shareholders of record October 10. [26]
- This marks the 19th consecutive year of dividend increases. [27]
- At the current price near $40.61, that’s an annual dividend of $2.76 and a yield around 6.7–6.8%. [28]
Longer term:
- Trefis estimates Verizon has returned roughly $102 billion to shareholders via dividends and buybacks over the past decade, equivalent to about 61% of its current market cap, one of the highest capital‑return tallies in the market. [29]
- Its free cash flow margin sits near 15%, with operating margins around 23%, comfortably above the S&P 500 median, suggesting the dividend is backed by real cash, not accounting tricks. [30]
24/7 Wall St’s December 2 high‑yield screen highlighted Verizon as a 6.6%‑yielding blue chip, trading at just 9.13× estimated 2026 earnings and up only about 2% in 2025—the kind of slow mover many income investors favor for long‑term total return. [31]
6. How Wall Street and models are valuing Verizon now
6.1 Traditional analyst price targets
Across major equity research shops, the consensus is cautiously constructive:
- MarketBeat / 13F summary (Dec 1):
- Consensus rating: Hold
- Breakdown: 2 Strong Buy, 6 Buy, 13 Hold
- Average 12‑month target:$47.41 (vs. ~$41 at the time), implying ~16–17% upside from recent levels. [32]
- StockAnalysis.com:
- 12 analysts
- Consensus rating: Buy
- Average price target:$48.50 (about 19% upside from $40.61), with a range of $43–$56. [33]
- Goldman Sachs rates Verizon “Buy” with a $52 target, according to 24/7 Wall St’s high‑yield list. [34]
On average, Street targets cluster in the mid‑to‑high $40s, with the more bullish houses pointing into the low $50s.
6.2 Quant and AI‑driven ratings
Some quant and AI tools are more divided:
- StockInvest.us (short‑term technical model) sees VZ as a short‑term sell candidate, projecting potential ~10% downside over three months despite a long‑term buy signal from moving averages. [35]
- DCF and fair‑value models (via Webull / Simply Wall St) estimate an intrinsic value over $130 per share, implying the stock is ~70% undervalued based on long‑term free cash flow forecasts rising from $15.3 billion today to over $30 billion by 2035. [36]
That DCF number is extremely optimistic and highly sensitive to assumptions; it’s best read as “this is not obviously overvalued” rather than a literal price target.
6.3 Independent value research
Several independent research shops have leaned bullish recently:
- Trefis assigns a fair value around $45.14, about 11% above the current price, citing low‑teens free‑cash‑flow margins and a P/E of about 8.4× vs. an S&P median near 23.7×. [37]
- A December 2 AInvest piece frames Verizon as a “case study in disciplined capital allocation”, noting $28.0 billion in operating cash flow and $15.8 billion in free cash flow over the first nine months of 2025, with 2025 capex intentionally capped at $17.5–$18.5 billion to balance growth with payouts. [38]
- Multiple Seeking Alpha contributors argue that Verizon is undervalued, pointing to a 6.7% yield, strong free cash flow, and a forward earnings multiple in the high‑single digits as evidence it is not a value trap and still screens attractively under rules‑of‑thumb like the “10× EBT rule.” [39]
Collectively, the fundamental camp sees VZ as cheap, slow‑growing, but cash‑rich, while short‑term technical models are more skeptical.
7. Sector positioning: more than “just a phone company”
Verizon is increasingly being grouped not only with telecom peers but also with content and entertainment plays:
- On December 2, MarketBeat’s “Top Entertainment Stocks To Watch Today” list included Verizon alongside Disney, Warner Bros. Discovery, Roblox, Sea Ltd. and DraftKings, noting high dollar trading volume and the importance of subscriber metrics in driving volatility. [40]
Meanwhile, long‑term analyses highlight:
- Growing fixed‑wireless and Fios broadband bases, with broadband connections reaching nearly 13 million and growing double‑digits year‑on‑year by mid‑2025. [41]
- Ongoing investment in 5G spectrum and infrastructure, funded partly via the senior‑notes offering. [42]
This positioning supports a thesis of Verizon as a critical digital‑infrastructure utility with optionality in entertainment and content distribution, rather than a pure legacy wireline carrier.
8. Key risks investors need to watch
Despite the attractive yield and apparent value, Verizon stock carries real risks:
- Execution risk on restructuring
- Cutting 13,000+ jobs while upgrading customer experience is tricky; mis‑steps could lead to service issues, brand damage and slower subscriber growth. [43]
- High leverage and rising rates
- Post‑Frontier, total debt near $147 billion leaves Verizon sensitive to interest‑rate and refinancing risk, even with an A‑ credit rating. [44]
- Regulatory and political uncertainty
- The DEI‑related conditions attached to the Frontier deal underscore how quickly regulatory requirements can shift, creating headline and reputational risk in addition to legal delays. [45]
- Sluggish top‑line growth
- Recent LTM revenue growth of ~2–3% and a 3‑year average near 0.5% leave little room for error; any competitive mis‑step can quickly show up in numbers. [46]
- Short‑term technical weakness
- If technical traders follow models like StockInvest.us, which currently flag VZ as a short‑term sell, the stock could see further near‑term downside even if fundamentals remain intact. [47]
9. Bottom line: what December 2, 2025 means for Verizon stock
Put it all together, and Verizon on December 2, 2025 looks like:
- A high‑yield, low‑growth telecom utility in the middle of a major reboot under a new CEO.
- A company returning huge amounts of cash to shareholders, with a nearly 7% dividend and a 19‑year streak of increases, backed by strong free cash flow. [48]
- A stock trading at single‑digit earnings multiples, with most Wall Street analysts seeing mid‑teens upside over 12 months, but with short‑term chart‑based models flashing caution. [49]
For income‑focused, long‑term investors willing to tolerate telecom and regulatory risk, Verizon continues to be framed by many analysts as a credible value and dividend play. For short‑term traders, the combination of restructuring headlines, technical weakness and sector rotation means volatility—and potential drawdowns—remain very much on the table.
As always, none of this is personalized investment advice. It’s crucial to match any decision about VZ with your own risk tolerance, time horizon and portfolio needs, and to consider speaking with a qualified financial advisor before making significant moves.
References
1. stockinvest.us, 2. stockinvest.us, 3. stockinvest.us, 4. stockanalysis.com, 5. www.marketbeat.com, 6. 247wallst.com, 7. stockinvest.us, 8. www.reuters.com, 9. apnews.com, 10. www.reuters.com, 11. www.reuters.com, 12. raganconsulting.com, 13. www.businessinsider.com, 14. www.ainvest.com, 15. www.ainvest.com, 16. www.ainvest.com, 17. www.ainvest.com, 18. www.reuters.com, 19. quartr.com, 20. quartr.com, 21. quartr.com, 22. quartr.com, 23. quartr.com, 24. www.ainvest.com, 25. quartr.com, 26. www.verizon.com, 27. www.verizon.com, 28. www.marketbeat.com, 29. www.trefis.com, 30. www.trefis.com, 31. 247wallst.com, 32. www.marketbeat.com, 33. stockanalysis.com, 34. 247wallst.com, 35. stockinvest.us, 36. www.webull.com, 37. www.trefis.com, 38. www.ainvest.com, 39. seekingalpha.com, 40. www.marketbeat.com, 41. www.ainvest.com, 42. www.ainvest.com, 43. www.reuters.com, 44. www.ainvest.com, 45. www.reuters.com, 46. www.trefis.com, 47. stockinvest.us, 48. www.verizon.com, 49. www.marketbeat.com
