As of Wednesday, December 10, 2025, Verizon Communications Inc. (NYSE: VZ) sits at the center of several powerful storylines: a new CEO, the company’s largest-ever round of layoffs, one of the highest dividend yields in the Dow, and fresh analyst moves on the stock.
Here’s a deep dive into where VZ stock stands today, what’s driving sentiment, and how Wall Street sees Verizon’s future.
Verizon Stock Price Today: Trading Around $40
Verizon shares are trading just under the psychologically important $40 mark:
- Last price: about $39.9–$40.0 per share in Wednesday trading.
- Day’s range: roughly $39.79–$40.30.
- 52‑week range: around $37.6 (low) to $47.4 (high). [1]
- Market cap: approximately $168–169 billion. [2]
- Valuation: trailing P/E ~8.5, forward P/E ~8.4, with EPS (ttm) 4.69. [3]
- Dividend yield: about 6.8–7.0%, based on an annual dividend of $2.76 per share. [4]
On Tuesday (Dec 9), the stock fell about 2.8%, closing near $40.14 after trading as low as $40.11, on volume roughly 40% above average—signaling heightened activity around the name. [5]
For context, Verizon has modestly lagged the broader market over the last six months, with VZ down high single digits while the S&P 500 was up double digits, according to several recent analyses. [6]
The Big Headlines on December 10, 2025
1. Morgan Stanley Cuts Its Price Target to $47
The most immediate catalyst today is a fresh research note from Morgan Stanley:
- The firm lowered its 12‑month price target for Verizon from $48 to $47,
- Maintained an “Equal Weight” rating,
- And framed the move within a broader 2026 outlook for the U.S. telecom and cable sector, noting a more “market-share focused” environment next year. [7]
MarketBeat’s summary of the note highlights that Morgan Stanley’s new target implies roughly 17% upside from current levels, but still positions Verizon as a market‑performer rather than an outright favorite compared with AT&T and T-Mobile. [8]
2. Split Signals From Institutional Investors
Two 13F-related headlines dropped today, both involving professional money managers:
- Intact Investment Management
- Sold 68,000 Verizon shares, cutting its stake by 14.4%.
- It ended the quarter with about 405,700 shares, valued around $17.6 million. [9]
- BCS Private Wealth Management
- Opened a new position of about 57,752 VZ shares, worth roughly $2.5 million. [10]
At the same time, a separate MarketBeat report notes that large institutions including Norges Bank, GQG Partners, State Street and Capital World Investors have significantly increased positions recently, contributing to institutional ownership of about 62% of outstanding shares. [11]
Taken together, today’s flows underline a common theme for Verizon: income‑oriented institutions are comfortable owning the stock, but active managers are still selectively trimming and reallocating based on risk‑reward.
3. Short Interest Is Rising
A new Benzinga short‑interest update this morning shows:
- Short interest stands at about 114.3 million shares,
- Equivalent to 2.71% of float,
- Up 10.61% since the last report,
- With about 4.55 days to cover at recent trading volumes. [12]
While these levels are not extreme by market standards, the rising trend suggests a growing cohort of traders betting against the stock—even as long‑term income investors lean the other way.
4. Verizon Highlighted as a Top Dividend-Growth Name
A fresh Finviz/MarketBeat article published today lists Verizon alongside Broadcom and HASI as one of three stocks with “steady payout gains.” Key takeaways:
- Verizon is described as “about as stable a stock as investors could ask for,” with 146+ million wireless retail connections and 4G coverage reaching roughly 99% of the U.S. population. [13]
- The article cites $7 billion of cash flow in the most recent quarter and a dividend yield near 6.7%–6.9%, backed by a sub‑60% payout ratio and a multi‑decade record of increases. [14]
This helps explain why Verizon is appearing on so many “bond alternative” and “income portfolio” lists despite its sluggish share price performance. [15]
Dividend: Nearly 7% Yield and the 19‑Year Streak
On December 4, 2025, Verizon’s board declared another quarterly dividend of $0.69 per share, payable February 2, 2026 to shareholders of record on January 12, 2026. [16]
Some key points about the dividend profile:
- Annualized dividend: $2.76 per share. [17]
- Implied yield: ~6.8–7.0%, one of the highest yields in the Dow Jones Industrial Average. [18]
- Streak: Verizon notes that it has raised its dividend for 19 consecutive years, reflecting long‑running confidence in its cash flows. [19]
- Payout ratio: around 59% of earnings, which many analysts view as high but still sustainable given Verizon’s free cash flow. [20]
Income‑focused commentators today largely frame Verizon as a “bond‑like” holding with equity upside, but some warn that persistent high leverage and limited growth eventually could pressure that payout if execution falters. [21]
Q3 2025 Results: Solid Cash Flow, Modest Growth
Verizon’s most recent quarterly report (Q3 2025, released October 29) still anchors much of the current analysis:
- GAAP EPS: $1.17 vs $0.78 a year ago.
- Adjusted EPS: $1.21 vs $1.19 last year, slightly beating consensus estimates. [22]
- Revenue: $33.8 billion, up 1.5% year‑over‑year, but a touch below analyst expectations (~$34.2 billion). [23]
- Wireless service revenue: $21.0 billion, up 2.1% year‑over‑year. [24]
- Free cash flow (first nine months of 2025): $15.8 billion, up from $14.5 billion in the prior year period. [25]
The company reaffirmed its full‑year 2025 guidance, targeting:
- Wireless service revenue growth: 2.0–2.8%,
- Adjusted EBITDA growth: 2.5–3.5%,
- Adjusted EPS growth: 1–3%,
- Free cash flow: $19.5–20.5 billion. [26]
From a segment perspective:
- Consumer revenue grew about 2.9%, driven by wireless service revenue up 2.4% and healthy fixed wireless and Fios internet net adds, though postpaid phone net adds were slightly negative. [27]
- Business revenue declined 2.8%, but business wireless service revenue eked out 0.7% growth and profitability improved thanks to cost controls. [28]
In short, the core wireless engine is grinding forward, not sprinting—but it is generating the cash Verizon needs to fund its dividend and strategic shift.
Strategy Reset: New CEO, Massive Layoffs and a “Customer‑First” Pivot
Perhaps the most important backdrop to today’s stock moves is the ongoing leadership and strategy overhaul.
Dan Schulman Takes Over as CEO
On October 6, 2025, Verizon’s board named Dan Schulman—former PayPal CEO and telecom veteran—as its new Chief Executive Officer, replacing Hans Vestberg. [29]
Key elements of the transition:
- Schulman has deep experience in payments, telecom and digital services, with prior roles at PayPal, Virgin Mobile and AT&T. [30]
- Vestberg remains as a special adviser through 2026 and a board member, a sign of continuity on network and 5G strategy. [31]
In internal and public communications, Schulman has stressed that Verizon must shift to a “customer‑first” culture, simplify offers, and leverage AI to improve experience and efficiency—an approach echoed in customer‑experience and industry coverage. [32]
More Than 13,000 Layoffs
In November, Verizon announced its largest mass layoff in company history, eliminating over 13,000 jobs as part of a major restructuring and “reorientation” of the business. [33]
Reports from AP, Business Insider and others note that Schulman has framed the cuts as necessary to:
- Free up capital for customer experience and network investments,
- Reduce a cost structure that he says limits Verizon’s ability to compete,
- And support a broader 2026 turnaround plan he presented to the board. [34]
Recent commentary—including a widely cited Barron’s piece and follow‑ups on Finviz and Yahoo Finance—describes Schulman telling employees the layoffs were “inevitable” given past strategic mistakes, including over‑reliance on price increases and underwhelming subscriber growth. [35]
Network, Fiber and 5G Moves
Alongside cost cuts, Verizon is leaning into its broadband and convergence strategy:
- A new strategic fiber agreement with Tillman Global Holdings and Eaton Fiber aims to accelerate broadband and wireless‑fiber convergence. [36]
- The company also announced a planned acquisition of Starry, a fixed‑wireless broadband provider, to deepen its footprint in next‑generation home internet. [37]
- Frontier’s acquisition (mentioned in CEO transition commentary) is expected to further bolster Verizon’s fiber network and support AI‑centric and smart‑device connectivity strategies. [38]
All of this feeds the narrative seen in multiple analyses: Verizon is trying to pivot from a capital‑intensive, slow‑growth incumbent to a leaner, more customer‑centric, AI‑enabled infrastructure and services platform. [39]
Wall Street View: Hold to Moderate Buy, With ~15–21% Upside
If you had to summarize the Street’s tone on Verizon in a phrase, it would be: “Great income, mixed growth story.”
Across major data providers:
- MarketBeat:
- Rating: “Moderate Buy”.
- Breakdown: 2 Strong Buy, 6 Buy, 12 Hold (21 analysts).
- Average 12‑month target:$47.31. [40]
- StockAnalysis:
- Consensus rating: “Buy”.
- Average target: about $48.4, implying ~21% upside from today’s price. [41]
- MarketWatch / Zacks:
- Show an average target in the mid‑$46–47 range, with an “Overweight” or broadly positive bias but not a clear slam‑dunk. [42]
- Morgan Stanley (today’s move):
- Target $47, “Equal Weight”. [43]
Taken together, the Street sees mid‑teens to low‑20% price upside plus a ~7% dividend, but is divided on how risky the path is.
Recent Analyst and Commentary Themes
Current analysis pieces, many published within the last week, paint a nuanced picture:
Bullish Arguments
Several Seeking Alpha and other research articles argue that Verizon is an undervalued cash‑flow machine:
- Described as a “high‑yield cash flow powerhouse” and “undervalued income play” with a sustainable ~6.7% yield and a new CEO focused on cost savings and growth.
- Some analysts model ~20% upside to $49 plus the dividend, arguing the forward P/E near 8–9x significantly discounts the franchise compared with peers and the broader market. [44]
A recurring bullish theme: if Schulman’s turnaround succeeds and free cash flow continues to trend higher, today’s price could lock in unusually high income with capital appreciation on top.
Cautious and Bearish Arguments
On the flip side, recent pieces on Yahoo Finance, The Motley Fool and others highlight several risks:
- Slow topline growth (low single‑digit wireless revenue growth). [45]
- High leverage, with unsecured debt around $120 billion and net unsecured debt around $112 billion, even after recent paydown. [46]
- Competitive pressure from AT&T and T-Mobile, especially as digital switching and aggressive holiday promotions further increase churn and raise acquisition costs. [47]
- The possibility that mass layoffs signal deeper structural issues and could have execution or morale risks if the transition is mismanaged. [48]
One prominent article labels Verizon “a cash cow stuck in neutral” and supports a Hold rating, arguing that current pricing is fair relative to muted growth and indebtedness. [49]
Technical and Short‑Term Forecasts
Short‑term trading and technical services also weigh in:
- One quantitative forecast site pegs a “fair opening price” for December 10 at about $40.58, implying only very modest near‑term upside from recent levels.
- Technical commentary notes VZ’s 50‑day moving average around $40.6 and 200‑day near $42.3, with the stock currently trading below both, a configuration often interpreted as a neutral‑to‑cautious technical setup. [50]
Coupled with the recent uptick in short interest and underperformance vs. the S&P 500, short‑term sentiment looks mixed to slightly cautious, even as long‑term income investors stay put. [51]
Key Things for Investors to Watch
For anyone following VZ—whether as an income play or a potential turnaround story—today’s news flow points to several critical watch‑items:
- Execution of Schulman’s 2026 Plan
- Will the new CEO’s customer‑first, cost‑disciplined strategy translate into better subscriber trends and margin expansion without undermining service quality? [52]
- Impact of Layoffs and Restructuring
- Over 13,000 job cuts free up capital but may also affect culture and service. Investors will want to see improved churn, ARPA and customer satisfaction metrics over the next few quarters. [53]
- Debt Reduction and Interest Costs
- Verizon has begun to redeem certain notes due 2026–2027, and is paying down unsecured debt. How aggressively it continues to de‑lever will matter in a world where rates could stay higher than the last decade’s norm. [54]
- Broadband, Fiber and Fixed Wireless Growth
- FWA net adds (261k in Q3) and fiber expansion—plus acquisitions like Starry and Frontier‑related moves—are core to the growth narrative. Sustained double‑digit broadband connection growth will be a key bullish signal. [55]
- Dividend Sustainability
- With a near‑7% yield and a long streak of increases, the dividend is central to the Verizon thesis. Investors will watch free cash flow relative to the dividend and capex, especially as restructuring and AI investments ramp. [56]
Bottom Line: A Classic Income Stock in the Middle of a High‑Stakes Turnaround
On December 10, 2025, Verizon Communications Inc. presents a familiar yet evolving profile:
- Income investors see a defensive, low‑beta telecom giant with a huge yield, long dividend history, and still‑solid cash flows.
- Skeptics point to slow growth, high debt, rising short interest and fierce competition, arguing that the stock may remain a chronic underperformer.
- Wall Street at large clusters around Hold to Moderate Buy, with mid‑$40s price targets and cautious optimism that Dan Schulman’s turnaround can unlock modest earnings and multiple expansion.
Nothing in today’s headlines changes that core equation—but they do sharpen it: Verizon now has a new CEO, a leaner cost base, and a clear mandate to prove that this high‑yield cash cow can do more than stand still.
References
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