AllAnalyst Report
logoMorningstarSeptember 05, 2024

Verizon Communications Inc.: Verizon: The Frontier Acquisition Provides a Small Strategic Benefit at a Full Price

Symbols
VZ
Sector(s)
Communication Services
Rating
Current Price
$41.31
Fair Value
Economic Moat
Stewardship
Summary

Wireless services account for about 70% of Verizon Communications' total service revenue and nearly all of its operating income. The firm serves about 93 million postpaid and 21 million prepaid phone customers (following the acquisition of Tracfone) via its nationwide network, making it the largest US wireless carrier. Fixed-line telecom operations include local networks in the Northeast, which reach about 29 million homes and businesses and serve about 8 million br

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Analyst Profile

Michael Hodel

Director
Michael Hodel, CFA, is director of communications services equity research for Morningstar Research Services, LLC, a wholly owned subsidiary of Morningstar, Inc. He covers U.S. telecom service providers and related firms, including AT&T, Verizon, and Comcast. His team covers media companies, global telecom service providers, and owners of telecom infrastructure, such as wireless towers and data centers.Hodel joined Morningstar in 1998. Prior to his current position, he spent two years as a portfolio manager for Morningstar Investment Management, LLC. Previously, he served as a technology strategist responsible for telecom research, chair of Morningstar’s Economic Moat Committee, and a senior member of Morningstar’s corporate credit ratings initiative.Hodel holds a bachelor’s degree in finance, with highest honors, from the University of Illinois at Urbana-Champaign and a master’s degree in business administration from the University of Chicago Booth School of Business. He also holds the Chartered Financial Analyst® designation.