NEW YORK, Feb 1, 2026, 05:14 EST — Market closed
- Verizon shares pulled back after Friday’s sharp rally, fueled by robust subscriber growth and an enhanced capital return program
- Alongside its latest quarterly results, the company outlined a bigger cash forecast for 2026
- Attention now turns to Monday’s open and key rate-sensitive events unfolding later this week
Verizon Communications Inc shares are set for Monday’s session following a nearly 12% surge on Friday. The wireless giant reported robust subscriber growth and unveiled a new $25 billion stock buyback plan. (The Wall Street Journal)
This move is significant because Verizon has long aimed to grow its customer base organically, without resorting to pricey acquisitions. A strong day for the stock doesn’t close that debate, but it definitely brings the issue back into focus.
This comes as dividend-heavy telecom stocks face scrutiny over their cash discipline. Investors demand growth, sure, but more importantly, they want solid evidence that the cash flow is both real and sustainable.
Verizon ended Friday at $44.52, rising 11.83% after hitting a high of $44.63. Volume surged past 123 million shares, well above its usual daily average. (Nasdaq)
Verizon reported fourth-quarter adjusted earnings of $1.09 per share on $36.4 billion in revenue. Postpaid phone net adds hit 616,000. Broadband net adds came in at 372,000, including 319,000 fixed wireless access customers—its home internet service over cellular networks. The company confirmed its Frontier acquisition closed on Jan. 20, boosting fiber reach to over 30 million homes and businesses. Looking ahead to 2026, Verizon projects adjusted EPS between $4.90 and $4.95, with free cash flow topping $21.5 billion after capital expenditures. (Verizon)
A regulatory filing revealed Verizon’s board has approved up to $25 billion for share buybacks, with plans to repurchase at least $3 billion of stock in 2026. The company also raised its quarterly dividend to $0.7075 per share, payable May 1 to shareholders of record on April 10. Verizon aims to return roughly $55 billion to investors through dividends and buybacks by the end of 2028. (SEC)
Verizon’s aggressive holiday deals—including a four phone lines for $100 a month offer—pushed quarterly postpaid additions past FactSet estimates. CEO Dan Schulman declared, “Verizon will no longer be a hunting ground for our competitors.” Analysts at MoffettNathanson highlighted the Frontier acquisition, saying it expanded Verizon’s fiber footprint to nearly match AT&T’s. (Reuters)
Cable continues to play a supporting role. Charter CEO Chris Winfrey described the revamped mobile virtual network operator deal—letting cable companies offer wireless via Verizon’s network—as “long term.” Meanwhile, New Street Research analyst Vikash Harlalka suggested the updates probably won’t shift the MVNO cost structure in any meaningful way. (Fiercetelecom)
But the upside case isn’t without risks. Investors.com pointed out that Verizon aims for faster customer growth while forecasting flat wireless service revenue in 2026. That mix could pressure margins if promotional pricing lingers longer than management anticipates. (Investors)
Following Friday’s jump, the key question is if the rally can stick when markets reopen Monday, Feb. 2 — and how fast buybacks begin to appear on the tape. Churn, or the percentage of customers exiting, will be the real indicator; it’s tougher to spin away.
The next hurdle is macro-driven: the U.S. January jobs report lands on Feb. 6, a key data point that typically moves Treasury yields and impacts demand for high-dividend stocks. In telecom, eyes are on T-Mobile’s quarterly earnings and Capital Markets Day on Feb. 11, which should shed light on pricing strategies and subscriber growth. (Bureau of Labor Statistics)
