Verizon Stock: Analyst Targets Vary
Barclays maintains Verizon Equal-Weight, raises target to $46 amid mixed market outlook and valuation concerns
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Key Points
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Morgan Stanley raised Verizon's target price to $50 while maintaining an Equal-Weight rating.
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BNP Paribas Exane trimmed Verizon's price objective to $44 and assigned a Neutral rating.
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Wells Fargo initiated coverage on Verizon with an Equal-Weight rating and a $43 target price.
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Weiss Ratings reiterated a Buy rating on Verizon in a research note.
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Verizon's wireless business accounts for about 75% of service revenue, serving roughly 94 million postpaid and 20 million prepaid phone customers, and about 11 million Fios broadband subscribers.
Barclays analyst Kannan Venkateshwar kept Verizon Communications at an Equal-Weight rating and raised his price target from $45 to $46, according to GuruFocus. The modest 2.2% bump signals cautious optimism but stops well short of a full endorsement.
The call adds to a crowded field of mixed analyst views on Verizon stock. Several major firms see the telecom giant as fairly valued or slightly overvalued at current levels, even as the company posts solid earnings numbers.
Barclays Raises Target as Analysts Stay Cautious
Barclays lifted its Verizon price target by $1, moving it to $46, per Benzinga. The Equal-Weight rating means Barclays thinks the stock will perform in line with the broader market — not outperform it. That is not a ringing endorsement, but it is not a warning either.
Wells Fargo also holds an Equal-Weight rating on Verizon. Benzinga reported that Wells Fargo raised its own price target to $47. Morgan Stanley went a step further, setting a $50 target while keeping the same Equal-Weight stance. BNP Paribas Exane took the most cautious view, trimming its target to $44 with a Neutral rating.
Consensus Hold Rating with $50 Average Target
MarketBeat tracks a consensus Hold rating on Verizon shares. The average analyst price target sits around $50.10. That implies modest upside from Barclays' $46 call. Weiss Ratings stands out as a bull, reiterating a Buy rating on the stock in a recent research note.
A GF Value analysis suggests Verizon trades about 9% above its intrinsic value right now. That means new buyers have a thin margin of safety. Insider selling adds another note of caution — company insiders sold roughly $3.5 million worth of Verizon shares over the past three months.
Verizon's Business Remains Large and Steady
Verizon is the largest wireless carrier in the US by postpaid subscribers. Its wireless business drives about 75% of total service revenue. The company serves roughly 94 million postpaid and 20 million prepaid phone customers. It also has about 11 million Fios broadband subscribers on its fiber network.
The company's last quarterly report beat Wall Street expectations. Verizon posted earnings per share of $1.30 on revenue of $34.25 billion. Those results show the company can hold its ground in a competitive telecom market, even if growth remains slow and steady rather than explosive.
What the $46 Target Means for Investors
TickerReport noted that Barclays moved the price objective from $45 to $46. At face value, a $1 raise sounds small. But it signals that Barclays sees slightly better prospects ahead — just not enough to upgrade the stock to Overweight.
For income investors, Verizon's appeal has long been its dividend rather than its growth story. Analyst targets ranging from $43 to $50 suggest the stock is largely fairly priced. Buyers today should expect steady returns, not a big near-term pop.
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