Verizon Communications: Stock Updates and Service Changes

Verizon Communications Inc. (NYSE:VZ) has recently seen notable changes in its stock performance and services offered to customers. This post covers the latest updates related to Verizon's stock ratings, financial performance, and the upcoming discontinuation of Verizon Messages (Message+).

Stock Performance Overview

As of the latest trading session, Verizon’s stock was down 0% during mid-day trading, with shares trading between $40.44 and $40.46. A total of 3,230,916 shares exchanged hands, significantly lower than its average session volume of 18,543,271 shares. This subdued trading follows a consistent trend where many analysts have shifted their ratings on the stock.

Analyst Ratings Breakdown

A number of brokerages have recently reassessed their outlook on Verizon communications stock:

• KeyCorp downgraded the rating from an "overweight" to a "sector weight".
• Scotiabank increased its price target from $46.50 to $47.25 while assigning a "sector perform" rating.
• Royal Bank of Canada lifted its target price to $46.00, maintaining a "sector perform" rating.
• Bank of America raised its price objective from $41.00 to $45.00 while retaining a "neutral" rating.
• UBS Group adjusted its target price to $44.00 with a "neutral" rating.

Currently, the average rating across the board is a "Moderate Buy", with a consensus price target of $46.37.

Financial Highlights

Verizon recently reported earnings of $1.19 per share for the last quarter, slightly surpassing analysts' expectations of $1.18. The company achieved $33.30 billion in revenue, a 0.9% increase year-over-year. Despite a lower margin of 7.30% compared to previous years, analysts project Verizon to achieve 4.61 earnings per share in the current fiscal year. The company maintains a solid market cap of $170.45 billion, a P/E ratio of 17.44, and a current dividend yield of 6.70% from its quarterly payout of $0.678.

Service Change: Shutdown of Verizon Messages (Message+)

Aside from the financial performance, Verizon has also announced the upcoming shutdown of its messaging service, Verizon Messages (Message+), which will cease operation on December 9, 2024. Users have been informed that they need to transition to Google Messages for continued text messaging services as RCS technology has rendered Messages+ outdated.

Verizon made the decision to extend the shutdown deadline, allowing users more time to adjust. During this transition period, messages scheduled for sending post-Shutdown will not go through. Users in group texts may also notice unexpected messages indicating exit from groups.

Recommended Actions for Users

• Android Users: Switch to Google Messages.
• Apple Users: Continue using Apple Messages.

Conclusion

Verizon Communications continues to experience significant changes both in its financial and service landscapes. Investors should keep a keen eye on stock ratings and analysts' outlooks. Additionally, users should prepare for the shift from Verizon Messages as the industry continues to evolve with updated technologies.

For more detailed insights on Verizon's stock performance and upcoming changes, make sure to follow our updates regularly.