Verizon (VZ) Stock: $54 Target From Credit Suisse

By Amit Chowdhry ● Jun 28, 2022
  • The shares of Verizon Communications Inc. (NYSE: VZ) have received a $54 price target from Credit Suisse. These are the details.

The shares of Verizon Communications Inc. (NYSE: VZ) have received a $54 price target from Credit Suisse. And Credit Suisse analyst Douglas Mitchelson is maintaining a “Neutral” rating on the shares.

Mitchelson adjusted the rating due to higher interest rates and the estimates were lowered in his research. And Mitchelson believes that Verizon seems to be impacted by increased competition in consumer wireless, likely seeing a drop in customers despite aggressive promotions while the industry is still growing nearly as strong as overheated second quarter levels. 

The management response at the company to increased competition and inflationary pressures has been to raise pricing to offset revenue/opex shortfalls and further the focus on selling more products and services to existing customers. And while Verizon is considered defensive, Mitchelson expects investors will need evidence recent price increases do not create undue churn in the third quarter and that upselling existing customers can drive sustainable and profitable GDP+ revenue growth.

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.