Verizon Communications’ (VZ) shares continued to flirt with the red zone on Thursday as the telco giant disclosed plans to shed more than 13,000 roles across the organization. Media reports previously indicated a plan to cut 15,000 jobs.
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Verizon Aims to Restructure
In a note to employees, Dan Schulman, the telco’s new chief executive and PayPal’s (PYPL) ex-top boss, noted that the aim of the move is to trim the company’s cost base and restructure its operations. The move will mark the largest single layoff by Verizon, which has trimmed its workforce by cutting about 20,000 jobs over the past three years.
Upon his appointment as CEO in October, Schulman — who has been on the company’s board for seven years — promised to “reduce our cost to service and optimize our capital allocation to delight our customers.” In the note to employees, he also outlined plans to prune down the firm’s job outsourcing and other external labor expenses.
Verizon Battles Lower Market Share
Schulman’s restructuring plans come at a time when the New York-based company is fighting intense competition from close rivals such as AT&T (T) and T-Mobile U.S. (TMUS). Cable TV network operators such as Comcast (CMCSA) and Charter (CHTR) have joined the wireless carrier market, further tightening the rivalry for market share.
In its recent third-quarter 2025 results released last month, Verizon reported losing 7,000 retail subscribers to its lucrative monthly postpaid wireless service — its third consecutive quarterly loss in that category. Similarly, the telco’s quarterly revenue of $33.8 billion fell short of analysts’ expectations.
In contrast, T-Mobile onboarded one million new customers in this submarket. The wireless service provider described the performance as “the best in industry” and its biggest third-quarter additions in more than 10 years. In comparison, AT&T saw its own customer base for the category slump by about 15 basis points.
Commenting on Verizon’s recent earnings report, Schulman noted that the telco was “clearly falling” short of its potential. However, the CEO remains “fully confident” of the firm’s ability to pivot.
Is Verizon a Buy, Sell, or Hold?
On Wall Street, Verizon’s shares continue to hold a Moderate Buy consensus rating from analysts. This is based on five Buys and 11 Holds issued over the past three months.
However, at $46.79, the average VZ price target implies about 14% upside potential from the current trading level.
