Verizon: Reversal To Growth, Temper Expectations Entering Q1, Still A Buy

Juxtaposed Ideas15.54K FollowersFollow5ShareSavePlay(13min)CommentsSummaryVerizon demonstrates excellent capital allocation across efficient growth capex, accretive M&A, secure dividend payouts, and new $25B share repurchase authorization through 2028.This is on top of the management's focus on delivering renewed, profitable growth prospects over the next few years, as observed in the promising forward guidance.Despite the prior stock price breakout, VZ remains reasonably valued at a P/E of 9.25x while offering a richer dividend yield of 6.23% compared to its peers.Combined with the projected capital appreciation to my long-term price target of $53, investors may look forward to an outsized total return of approximately +37.5%.VZ remains a Great Buy here, despite the near-term risks from the seasonally weaker FCF generation in Q1 and the management's execution against FY2026 EPS guidance. Richard Drury/DigitalVision via Getty Images I previously rated Verizon Communications Inc. (VZ) as a Buy in January 2026, given the new management's operational restructuring. In this article, I am reiterating my Buy rating, given VZ's ongoing reversal to profitable growth andThis article was written byJuxtaposed Ideas15.54K FollowersFollowI am a full-time analyst interested in a wide range of stocks. With my unique insights and knowledge, I hope to provide other investors with a contrasting view of my portfolio, given my particular background.If you have any questions, feel free to reach out to me via a direct message on Seeking Alpha or leave a comment on one of my articles.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. The analysis is provided exclusively for informational purposes and should not be considered professional investment advice. Before investing, please conduct personal in-depth research and utmost due diligence, as there are many risks associated with the trade, including capital loss.Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.