Verizon Communications Inc. VZ reported second-quarter results before the market open Friday, and they were mostly ahead of expectations, according to BofA Securities.
The Verizon Analyst: David Barden maintained a Buy on Verizon Communications with a $64 price target.
The Verizon Thesis: Verizon reported second-quarter earnings of $1.18 per share, beating the consensus estimate of $1.15 per share, Barden said in the note.
Consolidated revenue came in at $30.4 billion, slightly higher than the Street expectations of $30 billion, while adjusted EBITDA was in-line at $11.5 billion.
In the wireless segment, Verizon added a net 352,000 postpaid accounts, sharply higher than the consensus estimate of 240,000.
Among these were 173,000 new postpaid phone customers, and the postpaid phone churn of 0.58% was better than expected.
Wireless service revenue came in at $15.95 billion, marginally missing the Street expectation of $16.1 billion.
In the consumer segment, the company added a net 97,000 postpaid accounts, much better than the Street expectations of a 17,000 decline.
Postpaid phone churn of 0.51% was better than expected. Consumer revenue came in at $21.1 billion, versus the consensus estimate of $20.7 billion. Service revenue stood at $15.9 billion, a tad lower than the Street expectations of $16 billion.
The company maintained its adjusted earnings growth guidance of negative 2% to positive 2%, implying a range of $4.72 to $4.90 per share, according to BofA Securities.
VZ Price Action: Shares of Verizon Communications were trading 0.82% higher at $56.35 at the time of publication.
Related Links:
7 Stocks To Watch For July 24, 2020
Photo by AutoPhoto via Wikimedia.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.