Is Verizon a purchase? Q1 results and solid dividends release bull case News ad

Verizon Communications (NYSE: VZ) is a leading American telecommunications company that plays a key role in how millions of people and enterprises are connected. The financial results of Verizon Communications in the first quarter of 2025 demonstrated promoting operational and financial progress, maintaining their long -standing reputation for the consistent profit of dividends. This positive impulse combined with Favorable moods of analystsIN Predictable analyst growthand a Defensive positioning Against the background of recession and tariff problems, it presents A convincing investment case For shares.

In recent trading sessions, a decrease in prices for Verizon promotions prompted investors to consider whether the current DIP is represented Buying an opportunity For this reserve paid by the dividend, potentially makes it a fundamental addition to his portfolio.

Verizon provides solid income and income growth

Verizon financial indicators in First quarter of 2025 Clearly indicates his current work. The company reported Total operating income of 33.485 billion dollars. USAAn increase of 1.5% compared to the same period in the previous year.

This growth was mainly due to the main revenue from service, which rose by 1.7% in annual calculus To 28.087 billion dollarsEmphasizing the consistent demand for the basic proposals of Verizon. Wireless equipment revenues also saw a modest increase, reaching 5.398 billion dollarsby 0.7%.

Profit metrics also showed positive trends. Net profit Verizon is attributed to the quarter rose to 4.879 billion dollarsA significant increase of 6.0% compared to last year. This led to diluted profit per share (EPS) in the amount of $ 1.15. On a adjusted basis, which excludes certain objects to ensure a more clear idea of ​​constant operational profitability, Verizon said that the diluted EP in the amount of $ 1.19.

This figure has noticeably surpassed Consensus assessments of the analyst in the amount of $ 1.5, US dollars, The key indicator that the company works better than market expectations.

In addition, Verizon demonstrated a healthy generation of funds. The cash flow from operations reached $ 7.8 billion. USA in the first quarter, and the company generated 3.6 billion dollars in a free cash flow (A measure without Gaap, calculated by subtracting capital costs from cash flows from operations).

Free cash flow is a critical indicator for investors, since it represents the money available to the company after financing its operating needs and capital, which can then be used for dividends, repay the debt or further investment, emphasizing the financial flexibility of Verizon.

Verizon: Victory in the Sector of Communications

In addition to installed mobile services, Verizon achieves significant success in expanding a broadband trace, especially thanks to its Fixed wireless access (FWA) offers. In the first quarter of 2025, Verizon added the impressive 308,000 pure FWA subscribers.

This growth is evidence of growing consumer demand and business for alternative high-speed Internet solutions. General The FWA subscriber base has currently surpassed 4.8 millionAnd the company established an ambitious goal to reach from 8 to 9 million FWA subscribers by 2028, signaling the key avenue for the future expansion of revenue.

Company fiber-optical service, FIOS Internetalso continued his positive trajectory, adding 45,000 clean subscribers In the quarter. This demonstrates a constant demand for a high -speed, reliable connection that provides fiber.

Verizon’s Total Broadband network In the first quarter of 2025 there were 339,000, which emphasizes its successful multi -cocked approach to capturing the market share in a broadband space.

Verizon also reported a positive impulse in the business segment, with 94,000 wireless retail post -paying net add -ons. This figure includes 67,000 post -paid clean additives by phone, which indicates force in satisfying the needs in connecting corporate and state customers.

This growth in the business segment diversify Verizon income flows And emphasizes its ability to serve a wide range of customers.

Anchor for income: Reliable Verizon dividends

Verizon consistent and attractive dividends are key attractiveness for investors. As of May 13, 2025 dividend profitability is 6.36%Field a Annual dividends amount to $ 2.71 for the actionPaid on a quarterly $ 0.6775.

Verizon has a long history of reliable dividends since 2000 from 20 years in a row of increase As of 2022, alarm of financial stability. The stability of dividends is confirmed by a payment coefficient of approximately 64.52% of income and more conservative 30.52% of the cash flow, which indicates that it is well covered.

Why Verizon remains a stable rate

A USA telecommunication sectionR is undeniably competitive. Nevertheless, Verizon focuses on this environment from a position of significant power. Company Market leader with an extensive network infrastructure, including expanding 5G and fiber -optical networks, as well as a large founded subscriber base.

These assets provide Significant competitive moat and the basis for sustainable provision of services.

So far, the company, like others in Capital -combat telecommunication industryIt supports a noticeable debt level (the ratio of the debt to its own capital 1.21 as of March 31, 2025), this largely reflects the essential investments necessary to create, maintain and modernize its critical infrastructure.

These investments are necessary for Future growth initiatives Such as nationwide deployment of 5G and expansion of fixed wireless access. It should be noted that the total unsecured debt Verizon saw a small abbreviation in the first quarter of 2025 compared to the end of the fourth quarter of 2024, which indicates cautious financial management.

In terms of reserve characteristics, Verizon demonstrates low beta -version 0.39The beta field measures the volatility of the action in relation to the common market. Beta less than 1 indicates that the shares are less volatile than the market, which can be an attractive quality for searching for investors Relative stability In their portfolios.

Verizon: Bull case of stability and income

The recent activity and strategic positioning of Verizon Communications provide a convincing picture for potential investors. The financial results in the first quarter of 2025 are emphasized Revenue growth And Earnings bitDemonstrate operational force.

The successful execution of the company in expanding its broadband services, in particular the rapid growth of subscribers with fixed wireless access, indicates Significant future growth pathsField

In addition, Verizon’s long -standing commitment to return shareholders strengthens its appeal on portfolio focused on income. This is supplemented by a positive approval from the community of analysts, which largely supports Moderate purchase rating And he sees potential growth in the cost of the action.

Working in the dynamic industry, the leadership of the Verizon market, current network investments and a demonstration of financial stability provides a strong basis. The combination of these factors suggests that Verizon offers a remarkable mixture of stability, income potential and prospects for further growthMaking this with consideration for investors focusing on the current area in the market.

Companies mentioned in this article:

Company	The current price	Changing the price	Dividend yield	P/e ratio.	Consensus -rating	Consensus target price
Verizon Communications (VZ)	$ 42.45	-0.5%	6.38%	10.25	Moderate purchase	$ 47.41

About Jeffrey Neil Johnson

Experience

Jeffrey Neil Johnson has been a writer for DividentStocks.com since 2023.

Areas of experience

Technology, cryptocurrency, biotechnology, defense sector, automobile industry, hospitality sector

Education

Associated art in business development

Past experience

Strategic development of business and enterprise