Telecom giant Verizon Communications (NYSE:VZ) ticked higher in trading on Wednesday after top-rated KeyBanc analyst Brandon Nispel upgraded the stock from Hold to Buy with a price target of $45. The analyst’s price target implies an upside potential of 15.7% at current levels.
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The analyst cited low wireless industry competition, a strong broadband business compared to its closest competitor, AT&T (T), and a positive 2024 outlook. Nispel highlighted growth in postpaid subscribers, stable churn, reduced device promotions, rising average revenue per user, and lower capital spending as reasons for the positive outlook. Furthermore, the analyst expects Verizon to outperform AT&T with superior broadband offerings and praised its “high-quality” cash flow and attractive valuation.
What is the Price Target for VZ Stock?
Analysts remain cautiously optimistic about VZ stock with a Moderate Buy consensus rating based on five Buys, six Holds, and one Sell. Over the past year, VZ stock has gained by more than 3%, and the average VZ price target of $39.41 implies a downside potential of 0.33% at current levels.
