NEW YORK, Feb 1, 2026, 06:53 EST — Market closed
- Verizon shares surged 11.8%, closing Friday at $44.52
- The carrier reported 616,000 net additions in postpaid phone subscribers and forecasted adjusted EPS for 2026 in the range of $4.90 to $4.95
- Verizon greenlit share buybacks of as much as $25 billion and bumped its quarterly dividend to $0.7075 per share
Verizon shares (VZ) surged 11.8% Friday, closing at $44.52. That’s a rare breakout for a telecom giant typically viewed as a steady income play.
This is significant because Verizon has consistently focused on growth without depending much on discounts, while pumping money into its network and keeping a solid dividend payout. A strong subscriber beat could shift how investors view its cash flow, even though the market stayed closed over the weekend.
With U.S. markets closed Sunday, attention shifts to Monday’s open and whether Friday’s rally holds up or reverses quickly. Traders are on alert for new analyst takes and signals on whether this quarter’s gains are sustainable or just a blip.
Verizon posted fourth-quarter earnings per share of $0.55, with adjusted EPS—excluding special items—coming in at $1.09 on $36.4 billion revenue. CEO Dan Schulman said the company is “exiting 2025 with strong momentum.” The carrier gained 616,000 postpaid phone customers and 372,000 net broadband subscribers. Fixed wireless access, which provides home internet over the mobile network, added 319,000 users, pushing the total beyond 5.7 million. For 2026, Verizon forecasts adjusted EPS between $4.90 and $4.95, free cash flow of at least $21.5 billion, and capex between $16.0 billion and $16.5 billion. These projections include the Frontier Communications deal, due to close on Jan. 20. Verizon’s total unsecured debt stood at $131.1 billion at the end of 2025. (SEC)
Verizon revealed in an 8-K filing with the SEC that it plans to return about $55 billion to shareholders by the end of 2028, combining dividends and share buybacks. The company pointed to significant changes in its cost structure and strategy as the reason. Its board has greenlit a repurchase program worth up to $25 billion, with at least $3 billion expected to be bought back in 2026, subject to market conditions. Verizon also declared a quarterly dividend of $0.7075 per share, payable May 1 to shareholders on record April 10—a 2.5% annual increase of $0.07 per share. (SEC)
Verizon’s earnings got a lift from holiday promotions that drew switchers, including a deal offering four phone lines for $100 a month. The company reported 616,000 net adds, well above the 417,250 analysts had forecast, according to FactSet. MoffettNathanson analysts pointed out that “Verizon has grown its fiber footprint to almost the size of AT&T’s,” thanks in part to the expanded reach from the Frontier acquisition. (Reuters)
Rivals made gains as well. AT&T surged 4.3%, closing Friday at $26.21, while T-Mobile US climbed 4.2% to finish at $197.21.
The broader market slipped the other way. The Dow lost 0.36% on Friday, the S&P 500 dipped 0.43%, and the Nasdaq slid 0.94%, underscoring Verizon’s gain amid an otherwise sluggish session. (Reuters)
The rally carries risks. Verizon remains burdened by heavy debt and faces significant network upgrade costs. Subscriber gains driven by promotions might fade if competitors offer stronger deals or if churn increases.
Monday’s open will bring fresh analyst updates, fresh clues on wireless pricing discipline, and a close watch on when Verizon plans to start its share buybacks. Don’t forget two key dates: April 10 is the record date, and May 1 marks Verizon’s payout of its boosted dividend.
