Telecommunications giant Verizon (NYSE: VZ) will be reporting results this Friday before market hours. Here’s what you need to know.
Verizon missed analysts’ revenue expectations by 1.2% last quarter, reporting revenues of $33.82 billion, up 1.5% year on year. It was a mixed quarter for the company, with a beat of analysts’ EPS estimates but a slight miss of analysts’ revenue estimates. It lost -17,000 customers and ended up with a total of 146.1 million.
Is Verizon a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Verizon’s revenue to grow 1.3% year on year to $36.14 billion, in line with the 1.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.06 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Verizon has missed Wall Street’s revenue estimates four times over the last two years.
Looking at Verizon’s peers in the consumer discretionary segment, some have already reported their Q4 results, giving us a hint as to what we can expect. AT&T delivered year-on-year revenue growth of 3.6%, beating analysts’ expectations by 2.1%, and Nike reported flat revenue, topping estimates by 1.7%. Nike traded down 10.5% following the results.
Read our full analysis of AT&T’s results here and Nike’s results here.
Investors in the consumer discretionary segment have had fairly steady hands going into earnings, with share prices down 1.1% on average over the last month. Verizon is down 3.1% during the same time and is heading into earnings with an average analyst price target of $47.02 (compared to the current share price of $39.48).
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