New York, Feb 3, 2026, 11:54 EST — During regular session
- Verizon shares climbed roughly 3% late this morning, building on gains from its earnings report.
- RBC Capital Markets and Bernstein SocGen Group raised their price targets but maintained neutral ratings.
- Investors now face a new twist as reports emerge that Verizon is exploring potential replacements for Sowmyanarayan Sampath.
Verizon Communications Inc shares climbed roughly 2.8% to $45.86 Tuesday, boosted by broker notes raising price targets following last week’s earnings and a cash-return plan. (FinancialContent)
The moves matter because Verizon aims to prove to investors it can boost subscriber numbers while trimming costs, not simply rely on price hikes. The strategy is clear: retain customers, reduce spending, and return more cash to shareholders.
Investors also hold the stock for its income. When a telecom mentions free cash flow — the cash left after expenses and network investments — it usually grabs attention.
RBC Capital Markets bumped its price target to $48 from $44 while maintaining a “Sector Perform” rating, according to a note reported by TheFly. The firm highlighted planned reductions in operating costs and capital expenditures, alongside a commitment to return $25 billion to shareholders via buybacks. (TipRanks)
Bernstein SocGen Group lifted its target price to $48 from $44 but kept a “Market Perform” rating. Laurent Yoon noted that sentiment moved from “cautious to intrigued,” though concerns remain about Verizon’s plans to cut capex — the spending on its network — and how competitors might react. (Investing)
Verizon is reportedly exploring replacements for consumer chief Sowmyanarayan Sampath, the Financial Times said, as cited by Fierce Network. The company declined to comment, dismissing the chatter as “speculation and rumors.” David Barden from New Street Research flagged that “more change” in leadership is “not a positive,” noting Verizon still has “a lot of wood to chop” on its 2026 plan. (Fierce Wireless)
The dividend remains a key draw. Verizon handed out a quarterly dividend of $0.69 per share on Feb. 2, translating to about a 6% annual yield based on Tuesday’s share price. (Verizon)
Traders are focused on subscriber churn—the rate at which customers drop off—and the expenses involved in curbing it. A new round of promotions from AT&T or T-Mobile would put Verizon’s efforts to expand without eroding margins to the test.
The risk is clear: slash spending too much or mess up on service quality, and customers could jump ship faster. Suddenly, the “cash flow story” flips into a heavier marketing expense.
Washington is also in focus. The Bureau of Labor Statistics announced the January U.S. employment report will be delayed due to a partial government shutdown, depriving investors of a crucial economic indicator. Attention now shifts to a funding vote in the U.S. House of Representatives later Tuesday, which could reopen agencies and trigger the release of the postponed data. (Reuters)
