Verizon Communications on Tuesday reported fourth-quarter adjusted earnings that topped estimates while revenue met Wall Street targets. Verizon stock edged down after its fiscal 2022 outlook came in slightly above expectations as the Nasdaq sold off again.
For the December quarter, Verizon earnings were $1.31 an adjusted share, excluding items. Revenue fell 1.8% to $34.1 billion, including the divestiture of Verizon Media.
A year earlier, Verizon earned $1.21 a share on revenue of $34.7 billion. Analysts had projected Verizon earnings of $1.29 a share on revenue of $34.1 billion for the quarter.
Further, Verizon said it added 558,000 postpaid wireless phone subscribers, below analyst estimates for a 588,000 gain.
Verizon stock fell a fraction to close at 52.90 on the stock market today. Heading into the earnings report, VZ stock had gained about 2% in 2022 amid market volatility.
Verizon Stock: 2022 Guidance Just Above Estimates
For 2022, Verizon said it expects adjusted per-share earnings in a range of $5.40 to $5.55 per share. Verizon forecast revenue growth of 1% to 1.5%, including the sale of Verizon Media.
Analysts had estimated flat 2021 earnings at $5.37 per share with revenue edging up less than 1%.
The telecom firm recently closed the acquisition of TracFone, which sells prepaid wireless services. In addition, Verizon in 2022 will build out more of its 5G wireless network using midband radio spectrum it acquired in a government auction.
Rival AT&T reports fourth-quarter earnings early Wednesday.
AT&T and T-Mobile US in early January pre-announced wireless postpaid phone subscriber results for the period. AT&T added 880,000 postpaid phone subscribers, while T-Mobile added 844,000.
Verizon stock holds a paltry Relative Strength Rating of 50 out of a possible 99, according to IBD Stock Checkup.
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