Verizon (VZ) Stock Outlook December 2025: Job Cuts, Big Dividend and Mixed Wall Street Forecasts

Verizon Communications Inc. (NYSE, Nasdaq: VZ) is ending 2025 in the middle of a major shake‑up. Since November 21, 2025, the stock has drifted around the low‑$40 range while investors digest massive layoffs, a new CEO, a reaffirmed high dividend and a wave of fresh analyst forecasts.

As of the close on December 11, 2025, Verizon shares changed hands at about $40.21, leaving the stock slightly below its 200‑day moving average around $42.70 and well under most Wall Street price targets. ^[1] With an annualized dividend of $2.76 per share, that translates into a dividend yield of roughly 6.8%–6.9%, one of the highest among large U.S. blue chips. ^[2]

Below is a deep dive into what’s changed for Verizon stock since November 21, 2025, and what the latest news, forecasts and analyses are signaling for 2026 and beyond.

1. Verizon Stock Performance Since November 21, 2025

On November 21, 2025, Verizon shares traded around $41.22 intraday, up 1.1% on heavy volume after a positive reaction to recent earnings and a dividend increase. ^[3] Historical data show the stock has since slid slightly lower, oscillating between roughly $40 and $41.50, and closing near $40.21 on December 11. ^[4]

Key points about recent price action:

Range‑bound trade: Since late November, VZ has been stuck in a narrow band, even as news headlines turned dramatic (new CEO, large layoffs, restructuring).
Below long‑term trend: The stock recently traded below a 200‑day moving average near $42.70, underscoring its lag versus the broader market. ^[5]
Low valuation: A late‑November snapshot from MarketBeat pegged Verizon’s P/E ratio at about 8.8, with a market cap near $174 billion, marking it as a low‑multiple, high‑yield telecom play. ^[6]

In other words, the share price hasn’t collapsed on the new strategy, but it also hasn’t broken out. For now, investors seem to be in “wait and see” mode.

2. The Big Story: More Than 13,000 Layoffs and a Deep Restructuring

2.1 “Building a Stronger Verizon” – internal reset

On November 20, 2025, new CEO Dan Schulman published an open letter titled “Building a stronger Verizon” to employees. In it, he:

Called Verizon’s current cost structure a barrier to investing in better customer value.
Said the company must “reorient our entire company around delivering for and delighting our customers.”
Announced that Verizon would begin reducing its workforce by more than 13,000 employees and significantly cutting outsourced labor. ^[7]

Schulman also unveiled a $20 million Reskilling and Career Transition Fund to support departing employees, focusing on digital skills and AI‑era training — something he describes as part of preparing workers for “the age of AI.” ^[8]

2.2 Reuters: largest layoff in Verizon’s history

A Reuters report the same day put more meat on the numbers. Verizon:

Will cut more than 13,000 jobs in its largest-ever single layoff.
Plans to convert 179 company‑owned retail stores into franchises and close at least one additional store.
Expects a severance charge of $1.6–$1.8 billion in Q4 2025, with more than 80% of affected employees leaving in December. ^[9]

The layoffs are estimated to equal about 20% of Verizon’s non‑union wage costs, according to Reuters. ^[10]

Separate coverage from TheStreet and other outlets emphasized Schulman’s view that “cost reductions will be a way of life” and that earlier strategic mistakes contributed to Verizon’s struggles, forcing the current reset. ^[11]

2.3 Why this matters for VZ stock

For shareholders, those moves mean:

Short‑term pain: The severance charge will weigh on reported Q4 2025 earnings.
Potential medium‑term gain: If executed well, a leaner cost structure could boost margins and free cash flow in 2026+, improving dividend safety and possibly lifting valuation.
Execution risk: Aggressive cuts raise the risk of customer service issues, cultural damage and disruption just as competition from AT&T and T‑Mobile intensifies.

3. New Transformation Office and AI‑Focused Strategy

Verizon’s restructuring isn’t only about cost cuts; it’s also about re‑wiring how the company runs.

On November 14, 2025, Verizon named Alfonso Villanueva as Executive Vice President, Chief Transformation Officer, effective November 20. ^[12]

In Schulman’s letter introducing Villanueva, he highlighted:

Over two decades of experience in strategy, corporate development, data science and innovation, including senior roles at PayPal, McKinsey and SingTel.
A new Transformation Organization that will consolidate:
- Strategy, corporate development and partnerships
- Data, analytics and AI
- Supply chain, sourcing and sustainability. ^[13]

The goal is to align digital infrastructure, AI and automation under one umbrella to drive a customer‑first culture and unlock future growth.

For investors, this signals that Verizon’s pivot is not only financial but also operational and technological, with AI tagged as a core lever.

4. Dividend: High Yield, Reaffirmed — But Not Risk‑Free

4.1 19 consecutive years of dividend growth

Verizon has leaned heavily on its reputation as a dependable income stock.

On September 5, 2025, the company raised its quarterly dividend to $0.69 per share, marking 19 consecutive years of dividend growth. ^[14]
On December 4, 2025, Verizon’s board reaffirmed the same $0.69 quarterly dividend, payable February 2, 2026 to shareholders of record on January 12, 2026. ^[15]

CEO Dan Schulman called the dividend an “iron clad reflection” of Verizon’s commitment to shareholders and highlighted its strong and reliable cash flow generation. ^[16]

Based on a share price around $40, the forward dividend yield is roughly 6.8–6.9%, well above the S&P 500 average and higher than many telecom peers. ^[17]

4.2 Why some analysts worry about “dividend dangers”

Not everyone is relaxed about that payout:

A December 4 Motley Fool piece, “3 Reasons Verizon Stock Will Likely Continue to Underperform the Market,” called out three key risks:
1. High debt: Total debt near $147 billion versus book value just over $106 billion, creating a heavy interest burden.
2. Capex intensity: More than $18 billion in capital expenditures over the past 12 months to maintain and upgrade its networks.
3. Lack of clear catalysts for faster growth. ^[18]

The article warned that those factors could limit flexibility and keep Verizon a serial underperformer even if the dividend remains intact.

On the other side, a recent Seeking Alpha analysis argued that Verizon remains a “Buy”, pointing to a roughly 20% upside to a $49 price target, a 6.75% dividend yield and a forward P/E near 9, framing the stock as a cheap, defensive income play rather than a growth story. ^[19]

5. Q3 2025 Results: Stable Earnings, Solid Cash Flow

The latest reported quarter is Q3 2025, released on October 29 — still the main fundamental anchor for all the late‑November and December commentary.

According to Verizon’s earnings release: ^[20]

Wireless service revenue grew to $21.0 billion.
Total operating revenue reached $33.8 billion, up 1.5% year over year.
GAAP EPS came in at $1.17, while adjusted EPS (excluding special items) was $1.21, slightly above Q3 2024’s $1.19.
Operating cash flow for the first nine months of 2025 was $28.0 billion, up from $26.5 billion a year earlier.
Free cash flow for the first nine months climbed to $15.8 billion from $14.5 billion.

MarketBeat’s recap of the Q3 print on November 21 highlighted much the same, noting that EPS beat estimates by $0.02 while revenue slightly missed consensus, and emphasized the dividend increase to $0.69 and a P/E near 8.8. ^[21]

Importantly, Verizon reiterated its full‑year 2025 guidance, suggesting management sees the underlying business as stable despite the upheaval in leadership and workforce. ^[22]

6. Street Forecasts and Valuation: Moderate Upside, Limited Growth

6.1 Analyst ratings and price targets

Different research platforms broadly agree on the core picture:

MarketBeat:
- Consensus rating: “Moderate Buy” based on 20 analyst ratings.
- Breakdown: 12 holds, 8 buys/strong buys.
- Average 12‑month price target:$47.31, implying about 17% upside from roughly $40.43 at the time.
- Target range: $40 (low) to $56 (high). ^[23]
Morgan Stanley and others: A recent aggregation from QuiverQuant shows:
- Morgan Stanley’s Benjamin Swinburne set a $47 target on December 10.
- RBC Capital and JPMorgan both hold $44–$47 targets.
- TD Cowen and Scotiabank sit higher around $51. ^[24]
TIKR blog (November 4, 2025):
- Average analyst target near $48, implying about 22% upside from a roughly $39 share price at the time.
- High estimate around $58, low around $43. ^[25]

In short: Wall Street, on average, sees mid‑teens to low‑20s percentage upside, but with a wide range of opinions from cautious holds to more confident buys.

6.2 Fair value and growth forecasts

Morningstar / Simply Wall St fair value: A late‑November analysis says the fair value estimate sits around $47.53 per share, suggesting the stock is undervalued versus current trading levels. ^[26]
Simply Wall St growth model:
- Forecasts earnings growth of ~3.7% per year,
- Revenue growth of ~1.4% per year, and
- Return on equity around 16% in three years, above the broader telecom sector’s growth but not spectacular in absolute terms. ^[27]

Zacks and other outlets have also flagged Verizon as a top value/dividend pick but continue to stress that growth expectations remain muted, especially compared with faster‑growing tech or infrastructure names. ^[28]

7. How the Narrative Shifted After November 21, 2025

7.1 “Why the narrative around Verizon is shifting”

A widely cited November 28 piece titled “Why The Narrative Around Verizon Is Shifting After Recent Strategic and Leadership Changes” (syndicated via Yahoo Finance and other feeds) argues that: ^[29]

The appointment of Dan Schulman and the creation of the Transformation Office mark a structural break with the old strategy.
The stock screens as undervalued on discounted cash‑flow metrics, but
Execution risk around job cuts, culture change and competitive pressures means the market is not ready to fully re‑rate VZ yet.

That article keeps Morningstar’s fair value at $47.53 but stops short of predicting a rapid rerating.

7.2 Zacks: “Up 4.9% since last earnings”

On November 28, Zacks published “Verizon (VZ) Up 4.9% Since Last Earnings Report: Can It Continue?” noting that: ^[30]

The stock had gained just under 5% in the 30 days after Q3 earnings.
Earnings estimates remained relatively stable, with modest expected EPS growth.
The key question is whether cost cuts and 5G investments can sustain that outperformance, given slower top‑line growth.

7.3 New commentary on layoffs and leadership

As layoffs moved from announcement to implementation in December, fresh analysis focused on Schulman himself:

TheStreet highlighted Schulman’s admission of past “mistakes” and portrayed him as willing to make unpopular decisions to reset Verizon’s trajectory. ^[31]
Online discussion and local media have zeroed in on the human cost of the layoffs, raising concerns about morale and perception of the brand.

8. Network Investments: Broncos Stadium and Strategic 5G Bets

Even amid cost cuts, Verizon continues to promote its network‑leadership narrative.

On December 11, 2025, Verizon Business announced a major Wi‑Fi 6E and LAN upgrade at Empower Field at Mile High, home of the Denver Broncos: ^[32]

Deployment of over 2,400 Wi‑Fi 6E‑ready access points.
A dedicated 6 GHz backbone for the 76,125‑seat stadium.
Integration with an earlier build‑out of 965 antennas providing LTE and mmWave 5G coverage.

The project supports both fan connectivity and back‑office operations such as payments, surveillance, ticketing and crowd management.

This fits into Verizon’s broader “Connected Venues” strategy, where large stadium wins double as branding proof‑points and enterprise revenue opportunities.

9. Competition: Promotional Wars and Digital Switching

Verizon’s transformation is playing out in an industry that’s getting more competitive, not less.

A recent industry report from Investor’s Business Daily highlighted that: ^[33]

AT&T is joining T‑Mobile in offering self‑service digital switching via eSIM, making it easier than ever for customers to jump between carriers.
Verizon has responded with its “boldest holiday promotion yet,” including offers like four free iPhone 17 Pros with qualifying plans.
All three major carriers (Verizon, AT&T, T‑Mobile) are leaning heavily on device subsidies and promotional offers to retain and win subscribers in a slowing market.

For Verizon shareholders, this means:

Revenue growth may stay modest, even as subscriber churn and promotional pressure remain elevated.
Any margin gains from cost cuts could be partially offset by promo‑driven pressure on ARPU and acquisition costs.

10. Bull vs. Bear Case for Verizon Stock Right Now

10.1 The Bull Case

Supportive analysts and income investors tend to emphasize:

High, well‑covered dividend: With free cash flow of $15.8 billion in the first nine months of 2025 and $11+ billion in annual dividend payments in 2024, Verizon still appears to cover its payout comfortably, even after capex. ^[34]
Low valuation: A forward P/E around 9 and a dividend yield near 7% offer an attractive total‑return profile if earnings remain stable. ^[35]
Structural transformation: The Transformation Office, AI and automation focus, and aggressive cost cuts could lift margins and unlock growth adjacencies (edge computing, private 5G, enterprise solutions). ^[36]
Network moat: Verizon continues to invest in 5G, fiber and venue networks like the Denver Broncos deployment, reinforcing a reputation for network quality and enterprise partnerships. ^[37]

10.2 The Bear Case

Skeptical analysts and commentators focus on:

Debt and interest-rate sensitivity: With ~$147 billion in debt and ongoing capex demands, Verizon is more exposed to higher interest rates and refinancing risk than many peers. ^[38]
Slow growth: Consensus forecasts low‑single‑digit revenue and earnings growth, limiting potential for multiple expansion. ^[39]
Competitive headwinds: Digital switching, aggressive promotions and cable competition in broadband could pressure margins and limit subscriber gains. ^[40]
Execution risk on restructuring: Large layoffs and rapid organizational change can hurt service quality and employee engagement, undermining the very customer‑first strategy they’re meant to support. ^[41]

One Seeking Alpha piece summed up the pessimist view by arguing that Verizon has been “disconnected from the bull market” over the last five years and that the next five could look similar, with total return heavily dependent on collecting the dividend rather than price appreciation. ^[42]

11. What to Watch Next for Verizon Investors

Looking ahead from December 2025, the key catalysts for VZ stock include:

Q4 2025 Earnings – January 30, 2026
Verizon is scheduled to report Q4 2025 results on January 30, 2026, with an investor webcast at 8:30 a.m. ET. ^[43]
- Investors will watch how large the restructuring charges are and what run‑rate cost savings management commits to.
- Updated 2026 guidance will be critical for refining earnings and dividend sustainability models.
Progress of layoffs and cultural reset
- Signs of improved customer satisfaction, reduced churn, or better service metrics would support the bull case that the painful restructuring is working.
- Any evidence of customer backlash, network issues or slower response times could fuel bearish concerns.
Debt management and capital allocation
- Watch for commentary on debt reduction, refinancing, or potential asset sales to support the balance sheet.
- Any hint of slowing dividend growth or changes to share‑repurchase policies will be closely scrutinized.
Competitive dynamics and pricing power
- How Verizon participates in (or steps back from) promotion wars will impact both subscriber trends and profitability.
- Developments around digital switching, cable competitors and potential M&A in telecom can shift the narrative quickly.

12. Bottom Line: A High‑Yield Turnaround Story the Market Is Still Pricing Cautiously

From November 21, 2025 to today, the Verizon story has clearly shifted:

New leadership, a new transformation office and more than 13,000 job cuts mark one of the most dramatic restructurings in Verizon’s recent history. ^[44]
The company has reaffirmed its hefty dividend and continues to push network‑leadership projects like the Broncos’ stadium upgrade. ^[45]
Wall Street consensus sees mid‑teens upside from current levels, but recent analysis is split between “undervalued defensive income stock” and “value trap with sluggish growth.” ^[46]

For now, Verizon stock remains a slow‑growth, high‑yield telecom name in the middle of a major transformation. Whether it ultimately rewards shareholders will depend on how effectively Schulman and his team convert cost cuts, AI investments and cultural change into sustained earnings and cash‑flow growth — without sacrificing the customer experience that underpins Verizon’s brand.