Verizon’s performance among peers
Earlier in this series, we learned about Verizon’s (VZ) postpaid customer retention, which was the highest among the top four US wireless players in 1Q16. The top four players are Verizon, AT&T (T), T-Mobile (TMUS), and Sprint (S). A key factor impacting customer retention of wireless players is their network performance. Recently, Verizon 4G secured the top spot nationally in PCMag’s Fastest Mobile Networks 2016 report.
As shown in the above bar chart, T-Mobile 4G placed second in the report. Meanwhile, AT&T 4G and Sprint 4G placed third and fourth.
Verizon’s top position in RootMetrics’ 2H15 network performance report
According to RootMetrics’ report, Mobile Network Performance in the US, in terms of overall network performance parameters, Verizon continued to be the best. It secured the top place in all of the performance categories in the report. However, the telecom shared the top place in the text performance measure with AT&T. In the first half of 2015, AT&T placed first and Verizon placed second in this category.
For diversified exposure to select US telecom companies, you could consider investing in the SPDR S&P 500 ETF (SPY). The ETF held a total of ~2.7% in AT&T (T), Verizon (VZ), CenturyLink (CTL), Frontier Communications (FTR), and Level 3 Communications (LVLT) at the end of May 2016.