Verizon is expected to report Q3 2026 earnings of $1.27 per share (up 5% YoY) with revenues projected at $34.81 billion (up 2.9% YoY). Analysts forecast mixed results across segments: wireless equipment revenues declining 3%, service revenues growing 3.9%, and consumer revenues up 3%. The stock has underperformed the market with a -4.1% return over the past month and carries a Zacks Rank #3 (Hold) rating.
VZ
Verizon Communications Inc · NYSE
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20 latestVerizon Communications (VZ) closed at $44.10, down 1.54% in the most recent trading session. The stock has declined 6.86% over the past month, underperforming the S&P 500's 1.46% gain.
The company is scheduled to report earnings on October 26, 2026, with consensus estimates projecting EPS of $1.27 (up 4.96% YoY) and revenue of $34.81 billion (up 2.93% YoY). VZ currently holds a Zacks Rank of #3 (Hold) with a Forward P/E of 8.9, trading at a discount to its industry average of 10.63.
Verizon Communications is expected to report Q3 2026 earnings on October 26 with consensus EPS of $1.27 (up 5% YoY) and revenues of $34.81 billion (up 2.9% YoY). However, the company's negative Earnings ESP of -0.68% combined with a Zacks Rank #3 makes it difficult to predict an earnings beat. In contrast, AT&T is expected to beat consensus estimates with a positive Earnings ESP of +3.77%.
Zacks Premium offers investment tools including Style Scores (Value, Growth, Momentum, and VGM) that complement the Zacks Rank system to help investors identify stocks with the best performance potential. The Zacks Rank #1 stocks have averaged +23.82% annual returns since 1988, more than double the S&P 500. Verizon Communications is highlighted as a stock to watch with a #3 Hold rank and strong Value and VGM Style Scores.
Verizon Communications and Pfizer are highlighted as attractive high-yield dividend stocks for income investors. Verizon offers a 6.5% forward dividend yield backed by strong subscriber growth and improved customer retention, while Pfizer provides a 6.1% yield with a 352-consecutive-quarter dividend history and growth potential from its oncology pipeline and 96 research programs.
AT&T and Verizon are compared as investment options for 2026. AT&T has improved profitability with a 17.4% net margin after divesting media assets, while Verizon has pursued aggressive acquisitions to expand fiber and broadband capabilities. Despite AT&T's higher net margin and lower valuation, the analyst recommends Verizon due to its superior dividend track record (20 consecutive years of increases, 6.57% yield vs. AT&T's 4.94%), stronger free cash flow, and more attractive forward P/E ratio, despite higher debt levels from recent acquisitions.
Verizon Communications (VZ) has been trending among investors but faces headwinds with a -16.6% return over the past month, significantly underperforming the S&P 500's +2.1% gain. The company maintains a Zacks Rank #3 (Hold) rating with modest earnings growth expectations of +7% for the current fiscal year and +5% for the next year. While Verizon trades at a valuation discount to peers (Grade A) and has consistently beaten EPS estimates, its revenue growth remains sluggish at around +2% annually, suggesting it may perform in line with the broader market in the near term.
Verizon Communications (VZ) gained 1.27% to close at $46.35, outperforming the S&P 500's 0.47% decline on October 8, 2026. Despite a 7.98% monthly decline, the company maintains a Zacks Rank #2 (Buy) rating with an upcoming earnings report on October 26 projected to show 5.79% year-over-year EPS growth to $1.28 per share. VZ trades at a Forward P/E of 9.09, below its industry average of 11.09.
Verizon Communications stock has declined since the Federal Reserve raised interest rates, but the company is trading at a low valuation with a strong 6.2% dividend yield. While the stock has historically rallied after earnings reports, rising interest rate concerns may continue to weigh on its performance. For long-term investors willing to hold for 5+ years, Verizon presents compelling value despite modest growth expectations of 2.5-3% for mobility and broadband services.
A comparison of Verizon Communications (VZ) and SpaceX (SPCX) as value investment options reveals that Verizon is the superior choice. VZ has a Zacks Rank of #2 (Buy) compared to SPCX's #3 (Hold), and significantly better valuation metrics including a forward P/E of 9.14 versus SPCX's 7,403.50, earning VZ a Value grade of A versus SPCX's F.
Verizon Communications (VZ), the largest U.S. cellphone carrier, has demonstrated a consistent streak of beating earnings estimates in recent quarters with an average surprise of 3.64%. The company's positive Earnings ESP of +0.68% combined with its Zacks Rank #3 (Hold) suggests another earnings beat is likely in its next quarterly report expected on October 26, 2026.
Verizon Communications has been heavily searched on Zacks.com lately. The stock has declined 6.7% over the past month while the S&P 500 gained 1%.
Verizon is expected to post earnings growth of 5.8% for the current quarter and 6.8% for the fiscal year. The company maintains a Zacks Rank #3 (Hold) rating and is trading at a discount to peers with an A valuation grade, suggesting it may perform in line with the broader market in the near term.
The article explains how investors can use the Zacks Earnings ESP (Expected Surprise Prediction) filter to identify stocks likely to beat earnings expectations. It highlights that combining a positive Earnings ESP with a Zacks Rank #3 or better has historically produced 28.3% annual returns. Two specific examples are provided: Verizon Communications with a +0.68% ESP and Micron with a +1.07% ESP, both positioned as potential earnings beat candidates.
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SpaceX exceeded Q3 expectations with $14.58 billion in revenue and $0.35 diluted EPS. Starlink showed strong growth with improved ARPU at $69/month, while the AI/Super Intelligence segment surged to $7.6 billion in revenue.
Starship development progressed with planned November flight tests. However, accelerating capex ($35-40 billion expected in Q4) raises questions about future shareholder returns.
AT&T stock plunged 7.96% after Bloomberg reported SpaceX is negotiating access to approximately 80,000 cell sites to build a fourth nationwide wireless network. The news reignited carrier competition concerns, pressuring the entire wireless sector. Despite AT&T beating earnings estimates and raising 2026 guidance on October 21, investor focus shifted to competitive threats from SpaceX's potential entry into the market with satellite-supplemented terrestrial coverage.
SpaceX has acquired spectrum to build a terrestrial wireless network alongside its Starlink satellite service, causing telecom stocks like Verizon to drop ~10%. While the move signals SpaceX's intent to enter the wireless market, analysts debate whether satellite-based wireless can truly compete with established terrestrial networks.
The initiative would require $10+ billion in capex and faces significant physics challenges. Meanwhile, PepsiCo reports margin pressures as commodity costs rise faster than pricing power allows, and investors debate whether recent market gains are too concentrated in AI-related stocks.
SpaceX's reported plans to secure 80,000 U.S. cell sites as it pursues becoming a fourth nationwide wireless carrier sent tower company stocks soaring while major wireless carriers plunged. However, the article cautions that the market may be overreacting to a deal that hasn't been finalized, noting SpaceX would start from scratch with no customers, less spectrum than competitors, and a commercial launch not expected until late 2027.
T-Mobile stock fell 5% after Bloomberg reported that SpaceX plans to lease 80,000 cellphone towers and build a fourth major mobile telecommunications network to compete with T-Mobile, Verizon, and AT&T. SpaceX previously purchased spectrum for its Starlink Mobile service and plans to launch 15,000 direct-to-cell satellites. With SpaceX's 45% operating margins in its Starlink Connectivity business versus T-Mobile's 22% margins, the new competition threatens to further compress T-Mobile's profitability.
SpaceX is negotiating with major cellular infrastructure providers to secure at least 80,000 cell sites across the U.S. to establish itself as a fourth major wireless carrier. The move benefits tower operators like Crown Castle and American Tower through potential leasing deals, while traditional carriers AT&T, Verizon, and T-Mobile face competitive pressure.
The State Street SPDR S&P Dividend ETF (SDY) is a passively managed large-cap value ETF with $22.15 billion in assets, offering a 2.36% dividend yield and 0.35% expense ratio. The fund has gained 16.92% year-to-date and carries a Zacks ETF Rank of 3 (Hold). Investors may also consider lower-cost alternatives like Schwab U.S. Dividend Equity ETF (SCHD) and Vanguard Morningstar Value ETF (VTV).
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