Verizon Reiterated With Buy Rating Ahead of Earnings
2022.04.21 21:56
By Sam Boughedda
Investing.com — Verizon Communications Inc (NYSE:VZ) shares rose 1.8% on Thursday head of its earnings report on Friday, with analysts expecting earnings per share of $1.35 on revenue of $33.4 billion.
BofA Securities analyst David Barden reiterated a buy rating on the stock and $64 price target.
Barden told investors in a note that as Verizon begins to deploy additional C-band spectrum, they have taken into account the increase in interest expense. C-band is a spectrum range used in 5G for over-the-air waves.
“This creates an incremental headwind for earnings, which is why we believe the company will also speak to FCF,” added the analyst.
He continued that they will be looking to quantify the impact of elevated marketing initiatives and discuss how much can be offset with differentiated revenue opportunities, including the expanded value segment, growth in fixed wireless access, and migrating subscribers to higher tier plans.”
