Key Insights:
- Morgan Stanley's "equal weight" rating reflects on Verizon's valuation and cash flow potential.
- Wall Street analysts estimate an average price target of $47.75, suggesting a 13.40% upside.
- The GF Value indicates a possible downside, with a valuation estimate of $41.16.
Verizon's Position in the Market: A Detailed Analysis
Morgan Stanley has announced the resumption of its coverage on Verizon Communications Inc. (VZ, Financial), assigning the stock an "equal weight" rating. This decision underscores Verizon's compelling valuation and potential growth in free cash flow, even as the company faces modest EBITDA forecasts and challenges within the consumer wireless sector. The set price target is $47, suggesting a potential upside of 12.1%.
Wall Street Analysts' Price Targets
Insights from 22 analysts reveal an average price target for Verizon Communications Inc. at $47.75, encompassing a high estimate of $55.00 and a low of $42.00. This average target forecasts a potential rise of 13.40% from the current stock price of $42.11. Investors interested in more granular data can explore the Verizon Communications Inc (VZ, Financial) Forecast page.
Consensus Recommendations from Brokerage Firms
The consensus recommendation from 27 brokerage firms places Verizon Communications Inc. at an average brokerage recommendation of 2.5. This suggests an "Outperform" status on a scale where 1 indicates a Strong Buy and 5 denotes a Sell.
Understanding the GF Value and Its Implications
According to estimates from GuruFocus, the estimated GF Value for Verizon Communications Inc. in one year is projected to be $41.16. This indicates a potential downside of 2.26% relative to the current stock price of $42.11. The GF Value is calculated using historical trading multiples, past business growth, and future forecasts of performance. For a more comprehensive view, visit the Verizon Communications Inc (VZ, Financial) Summary page.
