Of the 30 analysts covering Verizon (VZ), 12 analysts have rated the stock a “buy” while 18 analysts gave the stock a “hold” rating. None of the analysts have given the stock a “sell” rating. Analysts have set a target price of $59.46 for the stock, which implies a 4% upside on its closing price of $57.15 on April 23.
Verizon’s market cap was ~$236.03 billion, making it the largest US wireless service provider in terms of market cap, followed by AT&T (T), which had a market cap of ~$233.84 billion. In comparison, Sprint (S) and T-Mobile (TMUS) had a market cap of ~$23.3 billion and ~$62.7 billion, respectively. Frontier (FTR) had a market cap of ~$0.26 billion on April 23.
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Analysts’ downgraded price target
Cowen and company has slashed its price target for Verizon stock to $55 from $58, and it kept a “market perform” rating while Macquarie cut the price target by $1 to $57 with a “neutral” rating after the company reported bigger-than-expected losses in postpaid phone subscribers in the first quarter.
Verizon’s subscriber losses were due to cord cutting, as a lot of consumers have been opting over-the-top offerings instead of traditional cable subscribers.
Nevertheless, Verizon expects its profits to grow in 2019, as the company is making consistent efforts to save on costs and expenses despite investing aggressively in its next-generation 5G network. During the quarter, Verizon launched its 5G mobile network in two US cities and planned to spend $17 billion to $18 billion this year to expand its commercial launch of 5G.