Verizon Communications will release third-quarter financial results Monday before the market opens amid growing investor concerns about competition from SpaceX's Starlink unit. Benzinga Pro data show analysts expect revenue of $34.74 billion, compared with $33.82 billion in last year's third quarter. Analysts forecast earnings per share of $1.27, compared with $1.21 in the same quarter last year.
Verizon has exceeded analysts' revenue forecasts for six consecutive quarters and eight of the past 10 quarters. Revenue matched expectations in the other two quarters. Verizon has fallen short of earnings-per-share forecasts for two consecutive quarters and six of the past 10 quarters.
Analysts have issued relatively little commentary on Verizon shares ahead of the results. Scotiabank recently retained a Sector Perform rating while cutting the price target from $52 to $50. Other listed analyst ratings date from July or earlier.
Investors are increasingly concerned about spectrum that Starlink recently acquired and the implications for future competition. Starlink appears ready to introduce mobile services in America, challenging T-Mobile, AT&T and Verizon. A launch could reduce Verizon's subscriber base and margins, as Verizon would likely increase marketing spending to retain subscribers and attract new customers. Starlink could charge less, combine mobile service with internet access and offer better connectivity in rural areas.
Competition concerns may dominate investor attention even if Verizon delivers strong results. Verizon may need exceptional figures, increased guidance and reassurance about competition to address those concerns. This quarter may be among Verizon's final quarters before Starlink begins offering mobile service, increasing the importance of results and guidance.
A dividend increase could attract some investors. Verizon will distribute $0.7075 per share for both the third and fourth quarters this year, extending the unchanged payment to three consecutive quarters. Verizon usually raises the dividend after three quarters at the same amount. Verizon's 6.3% dividend yield may be attracting greater attention from dividend investors.
Verizon emphasized simpler wireless plans, loyalty rewards and bundled services during the second quarter. Verizon's second-quarter revenue declined from a year earlier. However, adjusted EBITDA, earnings per share, operating cash flow and free cash flow increased. Adjusted EBITDA reached a quarterly record.
Verizon shares fell 1.3% to $44.62 on Friday. Verizon's 52-week trading range runs from $38.54 to $51.68. Verizon shares have declined 4% over the past month. However, Verizon shares remain 10% higher year-to-date in 2026.
Verizon Q3 Earnings Preview: Analysts Expect Revenue Growth Amid Starlink Competition Concerns
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Summary
Verizon is set to report Q3 earnings on Monday, with analysts forecasting $34.74 billion in revenue and $1.27 EPS. The company has outperformed revenue estimates but missed EPS for two straight quarters. Starlink’s upcoming mobile service in the U.S. raises concerns over subscriber and margin risks. Verizon is pushing simplified plans and loyalty rewards to retain users. With a 6.3% dividend yield, the stock offers a strong risk-to-reward ratio for value investing in crypto and traditional markets.
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