Verizon Communications Inc. (NYSE: VZ) is back in the spotlight this week as investors digest a powerful mix of headlines: a fresh quarterly dividend, a sweeping management overhaul with thousands of job cuts, and steady—if unspectacular—growth in its core wireless and broadband business.
As of early afternoon on Monday, December 8, 2025, Verizon stock is trading around $41–$41.25 per share, down about 1% on the day and modestly below last week’s highs. [1] With a new annualized dividend of $2.76 per share, that puts the forward dividend yield at roughly 6.7%, making VZ one of the higher‑yielding blue‑chip stocks in the S&P 500.
Below is a full breakdown of what’s moving Verizon stock right now, and how analysts see the next 12 months shaping up.
Verizon stock price today and recent performance
- Price: Around $41.2 per share (intraday, December 8, 2025). [2]
- Daily move: Roughly ‑1% on the session, after gaining about 5% over the past month as investors rotated back into high‑yield telecom names. [3]
- 52‑week range: Approximately $37.58 (low) to $47.35 (high). [4]
- Valuation: VZ trades at about 8.7–8.9 times trailing earnings and around 1.2–1.3 times sales, a discount to the broader market and in line with other U.S. telecoms. [5]
Data providers generally describe Verizon as a defensive, low‑beta stock: recent estimates put beta near 0.3–0.4, meaning it tends to move much less than the broader equity market—attractive for income‑focused investors looking to dampen volatility. [6]
Over the last year, Verizon’s total return has slightly lagged the S&P 500, with price performance roughly flat to slightly negative (‑1% year‑to‑date, about ‑4% on a one‑year basis), but partially offset by its hefty dividend stream. [7]
Q3 2025 earnings: steady growth, modest miss on revenue
Verizon’s latest earnings report—Q3 2025, released on October 29—is the key backdrop for today’s trading.
Headline numbers
- Revenue: About $33.8 billion, up 1.5% year‑over‑year, but below Wall Street estimates, which were clustered around $34–35 billion. [8]
- Adjusted EPS:$1.21, slightly ahead of consensus expectations of $1.19 and up around 1.7% year‑over‑year. [9]
- Net income: Roughly $5.06 billion, up sharply from $3.41 billion a year earlier, helped by margin expansion and cost controls. [10]
- Free cash flow: About $15.8 billion over the first nine months of 2025, strengthening the company’s ability to fund dividends, debt reduction and capex. [11]
Segment performance
Verizon’s strategy continues to hinge on wireless service revenue and broadband growth:
- Wireless service revenue: ~$21.0 billion, up 2.1% year‑over‑year—still the main earnings engine. [12]
- Wireless equipment revenue: ~$5.6 billion, up 5.2%, buoyed by recent smartphone upgrade cycles. [13]
- Broadband net adds: About 306,000 total, including 261,000 fixed wireless access (FWA) net additions and 61,000 Fios internet adds. Total broadband connections rose to more than 13.2 million, up 11.1% versus last year. [14]
Consumer revenue grew 2.9% to $26.1 billion, while the Business segment slipped 2.8% to $7.1 billion, reflecting a more competitive environment in enterprise and public‑sector telecom. [15]
On the subscriber front, Verizon added about 44,000 postpaid wireless subscribers, beating expectations of roughly 19,000 adds. At the same time, AP reports that total postpaid connections fell by about 7,000, highlighting an ongoing tug‑of‑war between new customer wins and churn in certain categories. [16]
Guidance
Despite the revenue shortfall, management:
- Reaffirmed full‑year 2025 guidance, including adjusted EPS growth of roughly 1%–3%
- Kept expectations for wireless service revenue growth at around 2.0%–2.8%
- Projected capital expenditures within or below the $17.5–$18.5 billion range for the year. [17]
That combination—modest revenue growth, solid earnings and strong free cash flow—underpins both Verizon’s dividend policy and its deleveraging plan.
New CEO Dan Schulman: leadership shake‑up and aggressive restructuring
One of the most consequential changes for Verizon investors in 2025 has nothing to do with towers or spectrum—and everything to do with leadership.
CEO transition
On October 6, 2025, Verizon’s Board appointed Dan Schulman—best known as the former CEO of PayPal—as the company’s new Chief Executive Officer. Hans Vestberg, who led Verizon’s 5G rollout, moved into a Special Advisor role through 2026 and remains on the board until the 2026 annual meeting. [18]
Schulman brings deep experience across telecom, payments and consumer technology, having held senior roles at AT&T, Priceline, Virgin Mobile and American Express before leading PayPal through a major growth phase. Verizon reiterated its full‑year 2025 financial guidance alongside the CEO announcement, signaling continuity on the numbers even as strategy evolves. [19]
Massive job cuts and cost transformation
That strategic pivot is already visible. In late November, Verizon announced mass layoffs as part of a sweeping plan to “reorient” the company around customer experience:
- The Associated Press reports that Verizon is cutting more than 13,000 jobs, roughly 20% of its management workforce, out of a base of about 100,000 full‑time employees. [20]
- GuruFocus and 24/7 Wall St. describe the restructuring as targeting around 15,000 roles, characterized as the largest round of layoffs in the company’s history and equating to roughly 15% of the workforce. [21]
Schulman has framed the move as necessary to reduce complexity, free up capital for customer‑facing investments, and simplify operations in a fiercely competitive U.S. wireless and broadband market. [22]
Alongside staff reductions, Verizon plans to significantly cut outsourced labor, convert around 200 company‑owned stores into franchises, and invest $20 million into a Reskilling and Career Transition Fund for affected employees. [23]
Investors initially reacted cautiously—the stock dipped just over 1% on the day of the AP report—but follow‑up coverage from outlets like 24/7 Wall St. has framed the restructuring as a bold effort to reset Verizon’s cost base and culture at what Schulman calls a “critical inflection point.” [24]
Dividend: near‑7% yield and 19 years of growth
For many investors, Verizon is first and foremost a dividend stock—and the last few days have brought good news on that front.
Fresh quarterly dividend
On December 4, 2025, Verizon’s board declared a quarterly dividend of $0.69 per share, payable on February 2, 2026 to shareholders of record as of January 12, 2026. This is unchanged from the prior quarter, but it locks in the higher payout level that was introduced earlier this year. [25]
Key points:
- The dividend equates to an annualized $2.76 per share. [26]
- At a share price around $41, that’s about a 6.7% forward yield. [27]
- Verizon has now raised or maintained its dividend for 19 consecutive years, positioning it among the market’s most reliable large‑cap income payers. [28]
In its December 4 news release, Schulman called the dividend an “iron‑clad” signal of Verizon’s commitment to shareholder value, and the company highlighted that it paid more than $11.2 billion in cash dividends in 2024. [29]
Payout sustainability
Recent analyses suggest the payout is high but currently manageable:
- MarketBeat and other data providers estimate a payout ratio around 57% of earnings, based on expected EPS of roughly $4.7–$4.9 over the next year. [30]
- GuruFocus data show operating margins above 23% and net margins around 14%, reinforcing the view that Verizon generates solid profitability even in a mature market. [31]
Several recent commentary pieces—from outlets like The Motley Fool and Simply Wall St—have highlighted Verizon as an attractive income play, noting a dividend yield near 7% and a low‑volatility profile, but also stressing that heavy debt and rising interest costs remain key risks to watch. [32]
Balance sheet and debt reduction
Verizon enters this restructuring with a leveraged but manageable balance sheet:
- As of Q3 2025, the company reported total unsecured debt of about $119.7 billion, down from $126.4 billion a year earlier, with net unsecured debt around $112 billion. Its net unsecured debt to adjusted EBITDA ratio stands near 2.2x. [33]
- GuruFocus pegs Verizon’s debt‑to‑equity ratio around 1.6 and its Altman Z‑Score at roughly 1.3, technically in the “distress” zone—underlining why management is focused on both cost cuts and debt pay‑down. [34]
On November 3, 2025, Verizon announced plans to redeem roughly $1.9 billion of near‑term notes due 2026 and 2027, including 1.45% and 3.0% bonds, as part of its ongoing liability‑management strategy. [35]
In combination with robust free cash flow and moderated capex, these measures are aimed at gradually improving Verizon’s interest coverage and financial flexibility while still funding its rich dividend.
What Wall Street is saying: Verizon stock forecasts for 2026
Analyst opinions on VZ are nuanced: most see moderate upside, but not a full‑blown growth story.
Consensus ratings
- MarketBeat: Among 21 research firms, Verizon currently carries an average rating of “Hold”, with 13 Hold, 6 Buy and 2 Strong Buy recommendations. [36]
- TipRanks: Based on 15 analysts over the last three months, Verizon has a “Moderate Buy” consensus (4 Buys, 11 Holds, zero Sells). [37]
- Benzinga: Aggregating 26 analysts, the site characterizes VZ as a neutral/hold‑rated stock. [38]
In short, Wall Street generally sees Verizon as fair to slightly undervalued, with meaningful income potential but limited explosive growth.
Price targets
Across major data providers, the average 12‑month price target clusters in the mid‑ to upper‑$40s:
- MarketBeat average target: about $47.41. [39]
- TipRanks average: $46.62 (range: $43–$51). [40]
- Benzinga consensus: $46.60, with a high target of $56 and low of $36; its three most recent big‑bank targets average roughly $49.67. [41]
- Fintel: average one‑year target $48.15, with a range of about $41.41–$57.75 as of December 5, 2025. [42]
- GuruFocus’ internal model and analyst aggregation suggest fair value around $47–$47.5, implying low‑teens percentage upside. [43]
With the stock around $41, those targets imply roughly 13%–17% potential price upside, plus a 6–7% dividend yield—translating to a possible high‑teens total return if the consensus proves accurate. Of course, these are projections, not guarantees.
Independent analysis: undervalued income play or value trap?
Beyond Wall Street banks, independent research platforms are split but generally constructive:
- Seeking Alpha contributors have recently described Verizon as an “undervalued income play” and a “high‑yield cash‑flow powerhouse”, often assigning Buy or Strong Buy ratings with targets near $49 and highlighting a dividend yield around 6.7%–6.8% and a forward P/E near 9x. [44]
- 24/7 Wall St. notes that Verizon’s Q3 net income surged 48% to about $5.06 billion, even as revenue growth stayed around 1.5%, framing it as a classic cash‑rich, slow‑growth incumbent in contrast with more speculative telecom bets. [45]
- Simply Wall St’s long‑term narrative projects Verizon’s revenue rising to roughly $144.5 billion and earnings to around $22.1 billion by 2028, implying annual revenue growth of about 1.8% and a fair‑value estimate near $47.5—again, about 14% above current levels. [46]
On the cautionary side, several analysts and quant models flag:
- High leverage, with more than $100 billion in debt and an Altman Z‑Score suggesting elevated balance‑sheet risk if conditions worsen. [47]
- Capital‑intensive 5G and fiber build‑outs, which demand continued heavy investment even as growth slows. [48]
- Intense competition from AT&T, T‑Mobile and cable operators, as highlighted in recent comparative pieces that contrast AT&T’s aggressive fiber spending with Verizon’s cost‑cutting and restructuring. [49]
Institutional flows: mixed trimming and accumulation
Recent filings show a nuanced picture of institutional sentiment:
- Cerity Partners LLC trimmed its Verizon position by about 1.7% in Q2, selling roughly 24,000 shares but still holding over 1.4 million shares (around $61.8 million). [50]
- Invesco Ltd. reduced its stake by about 0.8%, but still owns nearly 22 million shares, or about 0.5% of Verizon’s outstanding stock. [51]
- At the same time, large institutions such as Norges Bank and GQG Partners significantly increased their holdings, and overall institutional ownership sits around 62%. [52]
This mix of slight trimming and large new positions suggests portfolio rebalancing, not a wholesale institutional exit.
Key risks and potential catalysts for VZ stock
Major risks
- Debt and interest rates: With leverage still high, prolonged high interest rates or a recession could pressure Verizon’s ability to balance dividends, capex and debt reduction. [53]
- Execution on restructuring: Cutting 13,000–15,000 jobs and converting hundreds of stores to franchises carries operational risk; if customer service deteriorates, churn could rise. [54]
- Competitive pressure: AT&T’s fiber‑first push and T‑Mobile’s pricing aggressiveness continue to squeeze Verizon’s growth, particularly in premium wireless and home broadband. [55]
Potential upside catalysts
- Successful cost transformation: If Schulman’s restructuring delivers material savings without damaging network quality, Verizon’s margins and free cash flow could improve faster than current forecasts assume. [56]
- Faster broadband and FWA adoption: Sustaining strong net additions in fixed wireless and fiber could support mid‑single‑digit revenue growth instead of low‑single‑digit. [57]
- Deleveraging and ratings stability: Continued debt redemptions and stronger cash flow could gradually improve credit metrics, lowering funding costs over time. [58]
What it all means for investors
Putting it together, Verizon on December 8, 2025 looks like:
- A high‑yield, low‑beta income stock with a dividend yield near 7% and a 19‑year track record of increases.
- A slow‑growth telecom incumbent facing heavy competition and high capital intensity, but still generating double‑digit billions in annual free cash flow.
- A company in the middle of a high‑stakes restructuring under a new, proven CEO, with significant job cuts and a push to simplify operations and refocus on customer experience.
- A stock that most analysts rate Hold to Moderate Buy, with mid‑teens percentage upside priced into consensus targets over the next 12 months—before counting its hefty dividend.
For income‑oriented investors comfortable with telecom risk and leverage, Verizon remains one of the market’s core yield plays. Growth‑focused investors, however, may see it more as a bond‑like equity whose story hinges on execution, cost discipline and the durability of its massive cash flows rather than explosive top‑line expansion.
Important: This overview is for information and news purposes only and is not investment advice. Anyone considering VZ stock should evaluate their own financial situation and, if needed, consult a qualified financial adviser.
References
1. stockanalysis.com, 2. stockanalysis.com, 3. www.investing.com, 4. www.marketbeat.com, 5. www.marketbeat.com, 6. www.marketbeat.com, 7. www.benzinga.com, 8. finance.yahoo.com, 9. finance.yahoo.com, 10. 247wallst.com, 11. 247wallst.com, 12. www.verizon.com, 13. www.verizon.com, 14. www.verizon.com, 15. www.verizon.com, 16. www.reuters.com, 17. www.reuters.com, 18. www.verizon.com, 19. www.verizon.com, 20. apnews.com, 21. www.gurufocus.com, 22. apnews.com, 23. apnews.com, 24. apnews.com, 25. www.verizon.com, 26. www.marketbeat.com, 27. www.marketbeat.com, 28. www.verizon.com, 29. www.verizon.com, 30. www.marketbeat.com, 31. www.gurufocus.com, 32. finance.yahoo.com, 33. www.verizon.com, 34. www.gurufocus.com, 35. www.verizon.com, 36. www.marketbeat.com, 37. www.tipranks.com, 38. www.benzinga.com, 39. www.marketbeat.com, 40. www.tipranks.com, 41. www.benzinga.com, 42. fintel.io, 43. www.gurufocus.com, 44. seekingalpha.com, 45. 247wallst.com, 46. simplywall.st, 47. www.gurufocus.com, 48. www.verizon.com, 49. 247wallst.com, 50. www.marketbeat.com, 51. www.marketbeat.com, 52. www.marketbeat.com, 53. www.gurufocus.com, 54. apnews.com, 55. 247wallst.com, 56. apnews.com, 57. www.verizon.com, 58. www.verizon.com
