Verizon Communications Inc (NYSE:VZ). experienced a break in its five-day winning streak on Monday as its shares fell by 1.05% to $35.64. This decrease contrasted with the overall market gains observed in the S&P 500 Index and the Dow Jones Industrial Average.
The company's stock dipped considerably below its 52-week high achieved in January, underperforming notably when compared to its competitors. In particular, Apple Inc (NASDAQ:AAPL). registered a 1.46% share growth on the same day.
Other competitors such as AT&T Inc. and T-Mobile US (NASDAQ:TMUS) Inc. also saw their shares decline, but not as markedly as Verizon's.
Adding to Verizon's woes was the lower than usual trading activity for the company, underscored by a trading volume of 15.5 million. This figure represented a noticeable deficit of 8.2 million from its average 50-day trading volume.
InvestingPro Insights
Despite the recent downturn in Verizon Communications Inc.'s shares, InvestingPro's real-time data and tips provide a broader perspective.
InvestingPro data indicates that Verizon's market cap stands at a robust 149.88B USD, with a low P/E ratio of 7.18, suggesting it may be undervalued relative to its earnings. This is further supported by a PEG ratio of 0.85 as of Q3 2023, indicating that the company's stock may be undervalued when considering its predicted earnings growth.
The company's revenue for the last twelve months as of Q3 2023 was 134.09B USD, demonstrating substantial financial activity. Despite a slight dip in revenue growth, Verizon continues to pay dividends, with a yield of 7.46% as of the end of 2023.
InvestingPro Tips highlight that Verizon has a strong history of maintaining dividend payments, having done so for 40 consecutive years. This consistency, coupled with the fact that the company is a prominent player in the Diversified Telecommunication Services industry, offers a counterpoint to the recent share price dip.
Additionally, despite some analysts revising their earnings downwards for the upcoming period, the company has been profitable over the last twelve months, suggesting potential for future recovery.
For more comprehensive insights and tips, consider exploring InvestingPro's full suite of offerings, which includes an additional 8 tips related to Verizon.
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