Verizon (VZ) Slips as Analyst Cuts to Underperform, Sees 10% Downside Risk

August 18, 2022 9:31 AM EDT
Get Alerts VZ Hot Sheet
Price: $38.64 -1.9%

Rating Summary:
    11 Buy, 33 Hold, 3 Sell

Rating Trend: Down Down

Today's Overall Ratings:
    Up: 11 | Down: 11 | New: 34
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Shares of Verizon (NYSE: VZ) are down 2% heading into the open on Thursday after MoffettNathanson analyst Craig Moffett downgraded to Underperform from Market Perform with a $41 per share price target (down from $55).

While the analyst notes that Verizon “has done its best to avoid being dragged into AT&T’s promotional abyss,” he admits the company has enjoyed only limited success. Moreover, Moffett takes note of T-Mobile’s “widening competitive advantage” when it comes to 5G.

“Verizon’s customer base, self-selected for their “best network” positioning, appears particularly vulnerable,” Moffett added in a client note.

Additionally, Verizon and its peers are forced to offer low-priced alternatives to fend off Cable’s accelerating momentum.

Verizon shares are down nearly 15% YTD.

By Senad Karaahmetovic

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