Blue-Chip Stocks With High-Risk Earnings Reports: Verizon (VZ)
Scheduled to Report: Thursday, July 27 (AM)
Earnings Estimate: 95 cents per share
Revenue Estimate: $29.89 billion
Like AT&T, Verizon Communications Inc. (NYSE:VZ) is seeing increasing competition in their once almost monopolized space. In an additional twist, the media space that companies like Verizon and AT&T were naturally migrating to have already become crowded with competition.
Dividend investors were happy to hold shares of Verizon based on the healthy yields when rates were low, but now investors are migrating away from these companies as Janet Yellen suggests we’re going to continue to see rates move higher.
And I’m skeptical of Verizon’s “Oath” — the subsidiary made up of acquisitions AOL and Yahoo! — doing much to change the narrative.
Technically, Verizon is an intermediate-term bear based on the chart — something that will only change with a shake-up from unexpectedly outstanding earnings just a couple days after AT&T provides its report.