Verizon Is Poised to Deliver Modest Growth but Lower Network Spending Should Lift Cash Flow

Verizon is primarily focused on the wireless business, where the firm has taken steps to ensure it remains well positioned, building fiber deeper into major metro areas, acquiring a huge chunk of spectrum in 2021, and ramping up spending to put that spectrum to use. We believe Verizon will deliver consistent results over the long term, but growth will likely be very modest. Rivals AT&T and T-Mobile offer comparable services and sell at similar prices, which we expect will diminish Verizon’s market share lead over time.