Goldman Sachs bullish on Verizon, expects stock to hold gains

Goldman Sachs analyst James Schneider expects Verizon’s (VZ) stock to hold its gains following a quarter in which headline financial metrics were solid, with 2025 guidance raises for EBITDA and free cash flow. The firm believes wireless trends were better than feared, despite management not reiterating its prior guidance for improving net addition metrics. Given the guidance raise set against expectations for a reiteration, Goldman thinks the stock could outperform in the short term as it believes investors were negatively positioned given slower growth expectations. Goldman views Verizon’s strong financial results in EBITDA and free cash flow as encouraging. On the negative side, the wireless environment remains competitive, and the broadband market appears relatively weak overall given a low move rate environment, the firm adds. Goldman has a Buy rating on the shares.