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Verizon Communications Inc. (VZ) Balances Turnaround Initiatives With Ongoing Industry Competition

Verizon Communications Inc. (NYSE:VZ) is one of the best long-term stocks to invest in for retirement. On February 5, Verizon Communications Inc. (NYSE:VZ) confirmed that its consumer division chief, Sowmyanarayan Sampath, will step down at the end of the first quarter. His exit comes as the company embarks on a turnaround plan under the new CEO, Dan Schulman.

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The company has already appointed Alfonso Villanueva, its executive vice president and chief transformation officer, to lead the consumer unit on an interim basis. Amid the turnaround push, Verizon has already confirmed plans to cut 13,000 jobs and convert 179 corporate-owned retail stores into franchised operations.

“We are at a pivotal moment, committed to enhancing customer experience and intensifying execution,” stated Schulman, who assumed the CEO position in October. “As we evolve and grow, changes in our organizational structure and leadership are anticipated.”

On February 2, Morgan Stanley raised its price target on Verizon to $49 from $47 while keeping an Equal Weight rating, noting the company’s updated outlook balanced aggressive market promotions with financial discipline. The firm’s EBITDA estimates remain largely unchanged, but its free cash flow forecast improved on lower capital spending.

Meanwhile, Verizon Wireless is suing T-Mobile over claims of false advertising, alleging that T-Mobile promised consumers more than $ 1,000 in annual savings if they switched cellphone carriers. According to the wireless carrier, T-Mobile exaggerated the savings claims by more than 100%. The lawsuit seeks unspecified treble damages for the alleged false advertising claims.

Verizon Communications Inc. (NYSE:VZ) is a leading global technology and communications provider. It delivers 5G and 4G LTE wireless services, Verizon Fios fiber-optic broadband, and, through its Verizon Business segment, offers IoT services, managed networking, and security solutions.

While we acknowledge the potential of VZ to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than VZ and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: Top 10 Materials Stocks to Buy According to Analysts and 10 Best Organic Food and Farming Stocks to Buy Now.

Disclosure: None. This article is originally published at Insider Monkey.

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When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

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Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

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