Verizon's (VZ, Financial) shares are experiencing a positive climb following the company’s latest earnings report, with the stock witnessing an increase of 4.59%. This surge comes as a result of the company surpassing earnings expectations, sparking investor interest and confidence.
Verizon (VZ, Financial) reported impressive second-quarter results, showcasing non-GAAP adjusted earnings per share of $1.22 on sales of $34.5 billion, surpassing analyst expectations of $1.19 per share on $33.79 billion in revenue. The robust performance was bolstered by a 5% year-over-year revenue growth, with wireless service revenue reaching $20.9 billion—an industry-leading figure for the period.
Moreover, equipment revenue soared by approximately 25% to $6.3 billion compared to the previous year, and the company rounded off the quarter with 12.9 million broadband connections, translating to a 12% increase year over year. Reflecting on this strong performance, Verizon (VZ, Financial) has raised its full-year earnings guidance, now anticipating adjusted earnings per share to grow between 1% and 3% annually, an upward revision from its prior 0% to 3% growth outlook.
Despite the positive momentum today, Verizon's stock is still down about 15.5% year-to-date in 2025. Trading at approximately 9.2 times this year's expected earnings, Verizon offers a compelling dividend yield of around 6.3%. According to the company's valuations, it is rated as "Fairly Valued" with a GF Value estimate of $40.39. For more details, you can visit the GF Value page.
Evaluating Verizon (VZ, Financial) from a financial perspective, the company has a Piotroski F-Score of 7, indicating strong financial health, and its Beneish M-Score of -2.7 suggests it is unlikely to be a manipulator. The company’s PE ratio stands at 10.17, reflecting value close to its 1-year low of 9.13. With an EV to EBITDA ratio of 7.05, Verizon appears to be an attractive option for value investors given its current metrics.
