- Verizon adjusted its full-year Adjusted EPS forecast to a growth of 1% to 3%, previously expected at 0% to 3%.
- The company now sees an adjusted Ebitda increase of 2.5% to 3.5%, previously projected at 2% to 3.5%.
- Verizon anticipates cash flow from operations between $37 billion and $39 billion, up from the prior expectation of $35 billion to $37 billion.
- Free cash flow is expected to be between $19.5 billion and $20.5 billion, compared to the earlier estimate of $17.5 billion to $18.5 billion.
- Wireless service revenue growth remains projected at 2% to 2.8%.
- Expected capital expenditure remains set at $17.5 billion to $18.5 billion.
- Second quarter operating revenue grew by 5.2% year over year to $34.5 billion, beating the estimate of $33.76 billion.
- Adjusted EPS for the second quarter was $1.22, up from $1.15 year over year, exceeding the estimate of $1.19.
- Adjusted Ebitda for the quarter was $12.8 billion, marking a 4.1% increase year over year, surpassing the estimate of $12.67 billion.
- Consumer revenue rose by 6.7% year over year to $26.6 billion, above the estimate of $25.93 billion.
- Business revenue for the second quarter was $7.3 billion, consistent with the previous year and slightly exceeding the $7.23 billion estimate.
- The financial guidance for 2025 does not include any assumptions related to the pending acquisition of Frontier.
Verizon Communications on Smartkarma
Analysts on Smartkarma, such as Baptista Research, have been bullish on Verizon Communications, with research reports suggesting positive sentiments on the company’s recent performance. In a report titled “Verizon Communications: Expanding Fixed Wireless Access (FWA) Solutions To Change The Game!” by Baptista Research, Verizon’s first-quarter results for 2025 were highlighted, showing strong financial indicators. The company recorded growth in wireless service revenue, reaching the high end of guidance, and achieved a record high adjusted EBITDA of $12.6 billion. Improved free cash flow supporting capital allocation priorities further added to the positive outlook as Verizon navigates a complex economic environment.
Furthermore, in another report titled “Verizon Communication & Its 5G Empire: Can Recent Technological Innovations Help Sustain Its Market Position? – Major Drivers” by Baptista Research, analysts delve into Verizon Communications Inc.’s strategic initiatives and market positioning. The research report emphasizes the company’s success in various sectors, including wireless, broadband, and emerging AI, driven by operational efficiencies. With wireless service revenue growing by 3.1% and adjusted EBITDA by 2.1%, the outlook appears optimistic for Verizon’s continued growth and sustainability in the market, as indicated by analysts on Smartkarma.
A look at Verizon Communications Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 5 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Verizon Communications Inc., a renowned telecommunications company, showcases a promising long-term outlook based on its Smartkarma Smart Scores. With a top-notch score of 5 in dividends, investors can expect attractive returns on their investments. Additionally, the company scores well in value, growth, resilience, and momentum, further solidifying its position in the market. As a provider of wireline voice and data services, wireless services, and internet services, Verizon remains a key player in the telecommunications industry.
Verizon Communications Inc. also offers network services for the federal government, including essential business phone lines, data services, telecommunications equipment, and payphones. Its overall positive Smart Scores suggest a stable and potentially rewarding future for investors seeking long-term security and growth within the telecommunications sector. Investors may find Verizon’s diverse service offerings and strong financial standing appealing for inclusion in their investment portfolios.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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