Citi is adding Verizon (NYSE:VZ) to its Positive Catalyst Watch list in anticipation of the upcoming 4Q earnings season, expecting it to underscore a stabilizing wireless competitive landscape.
Moreover, analysts see an opportunity for the market to normalize net debt presentation for Verizon compared to its competitors, potentially enhancing its valuation.
VZ stock rose 1.7% today.
This move suggests optimism from Citi about Verizon's performance and its potential for positive developments in the context of both earnings and market positioning.
“We believe Verizon is better positioned to execute on core wireless operating results near-term, differentiate with its focus on network quality, and consider opportunities to accelerate revenue performance from emerging 5G FWB, MEC, B2B, and IoT applications,” analysts said.
The analysts opened a 90-day positive catalyst watch on VZ stock. The new price target stands at $45 per share.