VZ - Embedded Expectations Analysis - 2018 02 08
ï€ Verizon Communications Inc. (VZ:USA) currently trades above historical averages relative to UAFRS-based (Uniform) Earnings with a 17.6x Uniform P/E, implying fairly bullish expectations for the firm. Moreover, management is confident about their cash flows, revenues, and earningsï€ Specifically, management is confident that they have always been focused on keeping their network the gold standard, and investing in the business for growth while strengthening their balance sheet and maintaining strong dividend performance for their shareholders. Moreover, they are confident in their free cash flow of $8.1bn not including proceeds from asset-backed securitizations. Additionally, they are confident in their wireless service revenue returning to flat to positive levels by the middle part of the year, and in their underlying earnings profile being stronger year-over-year
Verizon Communications is a holding company. Through its subsidiaries, the company provides communications, information and entertainment products and services to consumers, businesses and governmental agencies. The company has two reportable segments, Verizon Consumer Group (Consumer) and Verizon Business Group (Business). The company's Consumer segment provides consumer-focused wireless and wireline communications services and products under the Verizon brand and through wholesale and other arrangements. The company's Business segment provides, among others, wireless and wireline communications services and products, video and data services, corporate networking solutions, security and managed network services.
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