Verizon Stock Soars 4.58% on Strong Earnings, Strategic Moves

On July 21, 2025, Verizon's stock surged 4.58% in pre-market trading, reflecting strong investor confidence in the company's recent performance and strategic initiatives.

Verizon has raised the lower end of its annual profit forecast for 2025, driven by robust demand for its premium plans. The company's wireless service revenue grew by 2.2%, attributed to an increasing number of users opting for additional services such as Netflix subscriptions.

To counter intensifying competition from AT&T, T-Mobile, and aggressive pricing from broadband providers like Comcast and Charter, Verizon has introduced price-lock promotions and bundled broadband-wireless services to retain customers. Despite these efforts, the company experienced an unexpected loss of 9,000 monthly paying wireless users during the April-June period, following a price increase in January.

Verizon's strategic focus on expanding its fiber assets aims to capitalize on the growing data usage needs of customers. In May 2025, the company received regulatory approval to acquire Frontier, a fiber internet provider, for $20 billion, following the termination of its diversification project. This acquisition has contributed to the addition of 293,000 new broadband users in the second quarter.

Verizon's revenue for the second quarter was reported at $34.5 billion, surpassing the expected $33.74 billion. The company's adjusted earnings per share for the quarter were $1.22, also exceeding expectations. Verizon has revised its 2025 adjusted profit growth forecast to 1-3%, up from the previous 0-3%. Additionally, the company has increased its annual free cash flow projection to $19.5 billion - $20.5 billion, from the previous $17.5 billion - $18.5 billion.