Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Why Verizon Communications Inc. (VZ) is in the Spotlight Today

Verizon Communications Inc. (NYSE:VZ) is in the spotlight today courtesy of a Bloomberg article. According to the column, the telecommunications giant has been working to secure streaming rights from various TV network owners in preparation for launching its own online TV service potentially this summer. The online TV package will likely include dozens of channels and would be independent of Verizon’s FiOS offering. Although most Americans still get their daily dose of TV through actual televisions, data shows that 2 million consumers are subscribed to TV delivered through the net, and that number could grow as cord cutting becomes more common and more viable options hit the market. For Verizon Communications Inc. (NYSE:VZ), the company’s online TV product could be an opportunity/hedge against the secular decline of cable.

At Insider Monkey, we’ve developed an investment strategy that has delivered market-beating returns over the past 12 months. Our strategy identifies the 100 best-performing funds of the previous quarter from among the collection of 700+ successful funds that we track in our database, which we accomplish using our returns methodology. We then study the portfolios of those 100 funds using the latest 13F data to uncover the 30 most popular mid-cap stocks (market caps of between $1 billion and $10 billion) among them to hold until the next filing period. This strategy delivered 39.7% gains over the past 12 months and outperformed the 24.1% gain enjoyed by the S&P 500 ETFs. Our enhanced small-cap hedge fund strategy returned more than 45% over the last 12 months and outperformed SPY by more than 30 percentage points over the last 4.5 years (see details here).

Of the 742 elite funds we track, 55 funds owned $2.3 billion of Verizon Communications Inc. (NYSE:VZ) and accounted for 1.10% of the float on December 31, versus 54 funds and $3.18 billion respectively on September 30. Steve Cohen‘s Point72 Asset Management initiated a new stake of 2.8 million shares in the fourth quarter.

The Bottom Line

With its purchase of Yahoo and now the online TV service (if true), Verizon Communications Inc. (NYSE:VZ) is diversifying further from its telecommunications roots. Although the new ventures won’t be easy, they will, if successful, help increase the safety of Verizon’s already attractive dividend, which currently sports a 4.7% yield at current prices.  For those of you interested, check out this article about apps that made millions of dollars.

Follow Verizon Communications Inc (NYSE:VZ)
Trade (NYSE:VZ) Now!


Northfoto /

Northfoto /

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.