New York, January 30, 2026, 14:29 EST — Regular session
- Verizon’s shares jumped roughly 11% following an upbeat forecast for profit and cash flow in 2026
- Board greenlights up to $25 billion in buybacks and raises the quarterly dividend to $0.7075 per share
- After a strong holiday quarter, Verizon aims for 750,000 to 1 million postpaid phone additions in 2026
Shares of Verizon Communications Inc surged Friday, outpacing a mostly flat market after the wireless giant reported better-than-expected subscriber growth and announced a fresh $25 billion stock buyback plan. The stock climbed roughly 11.2% to $44.29 in afternoon trading.
The update comes after Verizon reported 616,000 postpaid phone net additions and 372,000 broadband net adds in the fourth quarter. The company projects adjusted EPS between $4.90 and $4.95 for 2026, with free cash flow—cash from operations minus capital spending—expected to hit at least $21.5 billion. Capital spending guidance for 2026 stands at $16.0 billion to $16.5 billion. Verizon also announced it closed its Frontier acquisition on Jan. 20, boosting fiber access to more than 30 million homes and businesses. 1
Why it matters now: U.S. carriers have been leaning heavily on aggressive holiday deals to poach customers, and investors were watching to see if Verizon could boost growth without sparking a price war. Verizon credited offers like four phone lines for $100 a month for its best quarterly wireless subscriber gain in six years. CEO Dan Schulman also warned competitors that Verizon won’t be “a hunting ground” anymore. 2
Verizon outlined plans in a filing to fund investments while reducing leverage, targeting about $55 billion in shareholder returns through dividends and buybacks by the end of 2028. The board approved a quarterly dividend of $0.7075 per share, payable May 1 to shareholders of record April 10. The company also expects to repurchase at least $3 billion of stock in 2026. 3
Analyst Craig Moffett of MoffettNathanson noted investors feared that focusing on unit growth could hurt financials and might even trigger “a wireless price war.” 4
Verizon is linking mobile service with home internet in a “convergence” strategy that’s become crucial as AT&T and T-Mobile battle for market share and cable firms launch mobile plans using major carrier networks. Since Schulman took the helm in October, Verizon says it has slashed costs, including trimming its workforce by over 13,000 jobs.
The figures also let Verizon return to discussions about cash, a key concern for a sector that must keep investing to maintain network quality amid sustained high interest expenses. Verizon’s total unsecured debt stood at $131.1 billion by the close of 2025.
The road ahead isn’t without bumps. Verizon’s 2026 forecast expects wireless service revenue to stay roughly flat as it shifts toward “sustainable volume-based growth.” Plus, the holiday promotions that lifted sign-ups could squeeze margins if customers turn fickle or competitors respond in kind.
Traders are set to see if Verizon’s subscriber gains from early 2026 keep pace as promotional offers wind down, and how fast the buyback program picks up steam. The next key date is April 10, when the company will set the record date for its increased dividend.
