RJ Hamster
Verizon: Out of the Doghouse and Into Your Dividend…
Starlink’s $100 Billion IPO: Your Chance to Invest Early (From Paradigm Press)
Verizon: Out of the Doghouse and Into Your Dividend Portfolio
Written by Thomas Hughes on December 29, 2025
In Brief
- Verizon is the highest-yielding Dogs of the Dow stock for 2025, with a yield near 7%.
- Institutions are accumulating the stock and providing a solid support base, limiting downside risk.
- A CEO transition and an unused 100 million-share buyback authorization could become meaningful catalysts if cash flow keeps improving.
Verizon (NYSE: VZ) is 2025’s Dog of the Dow. The Dogs of the Dow list includes the index’s top 10 dividend yields, which are expected to outperform the index over the subsequent year, according to popular theory.
On the official 2025 Dogs of the Dow list(ranked by dividend yield as of Dec. 31, 2024), Verizon sat at the top with a yield of about 6.8%.
Trading at a historically low valuation, Verizon is well-positioned to pay its dividend and deliver a market-beating advance in 2026, providing a double-digit total return for investors.
The Dow Jones Industrial Average (NYSEARCA: DIA) is forecasted to advance by as much as 13% in 2026.
Tailwinds, including lower interest rates and tax relief for lower-income workers, are expected to drive healthy consumer spending and business investment, which, along with the AI trade, will support a broad market rally.
Verizon is forecasted to rise by at least 17%, according to the 2025 year-end analyst consensus, with potential for an additional 20% at the high end of the target range.
A pre-IPO Play on the Starlink Hype for Under $100? (Ad)
Elon Musk’s Starlink project is generating major speculation ahead of a potential IPO that some analysts believe could reach a historic $100 billion valuation. According to James Altucher, there may be a smart “backdoor” way for everyday investors to position ahead of that event without needing traditional IPO access — and he says it can be done for under $100. He’s also sharing a free ticker tied to this trend for anyone who wants to take a closer look.Click here to learn more
2026 Will Be Pivotal for Verizon
2026 is expected to be a pivotal year for Verizon’s business. The company has leaned heavily into cost-cutting, debt reduction, and investments in broadband and 5G over the past few years, and these efforts are paying off. Not only is Verizon on track to monetize its assets, but AI also provides avenues for improved efficiency, new business, and a more cost-effective structure. Improved and reliable cash flow offers strong support for the dividend and a favorable outlook for share buybacks.
The company chose not to repurchase shares in 2025, instead focusing on reducing debt and enhancing cash flow.
As it stands, Verizon has ample buyback authorization in place, worth approximately 100 million shares, or about 2.4% of the outstanding share count.
Another 2026 catalyst could be outperformance. Although Verizon is expected to widen its margins and drive growth in 2026, analyst forecasts are tepid. MarketBeat’s reported consensus calls for a low-single-digit revenue advance with slightly better earnings growth.
However, the forecast for 5G and Internet of Things (IoT), two areas where Verizon has shown strong performance, suggests much stronger growth rates.
Both are expected to sustain a mid-teens compound annual growth rate (CAGR) in 2026.
Growth will be driven by subscribers and penetration, with IoT devices, edge computing, and autonomous/mission-critical technologies underpinning activity.
Additional catalysts for investors to watch in 2026 are the new CEO’s efforts, ongoing business results, and capital returns.
Verizon: High-Yield Value Tracking for Inclusion in the Dividend Aristocrat Index
Verizon’s stock price and dividend yield offer an attractive risk-reward profile for investors. Trading near 8.5X earnings in late 2025, the stock is well below its 10-year average of 12X earnings, suggesting it may be undervalued.
Its dividend yield of nearly 7% is also above the long-running average, and the distribution is expected to grow. The company has paid dividends for decades and has increased its payment annually for 20 years. The 2026 increase puts it within four years of achieving Dividend Aristocratstatus, another draw for buy-and-hold investors.
Institutions, the visible face of buy-and-hold investing, are accumulating VZ stock. The 2025 data show the total activity dwindling sequentially from Q1 to Q4, but quarterly activity remains above average in each period and is bullish on balance. The balance for 2025 ran above $2 bought for each $1 sold, providing solid support and a floor for price action.
Assuming this trend persists, VZ shares are unlikely to fall below $40 and remain there in the long term. It’s more likely that VZ will continue to move within its established range, eventually retesting the high end and pushing to new highs by the end of 2026.
Recommended Stories
- These 3 Consumer Stocks Just Authorized Big-Time Buyback Programs
- Trade this between 9:30 and 10:45 am EST (From Base Camp Trading)
- Why Q4 Earnings Season Could Be a Bullish Catalyst for S&P 500 Stocks
- ALERT: Drop these 5 stocks before January 2026! (From Weiss Ratings)
- 2025’s Most Downgraded Stocks: Buy, Sell, or Hold in 2026
- Rates Are Falling: Here Are 3 Income Plays for 2026
- Broadcom’s Insider Selling: A Big Red Flag, or Business as Usual?
Did you enjoy this article?
Thank you for subscribing to MarketBeat!
We empower everyday investors to make better trading decisions by delivering real-time financial information and objective market research.
If you have questions or concerns about your newsletter, please email MarketBeat’s U.S. based support team at contact@marketbeat.com.
If you would like to unsubscribe or change which emails you receive, you can manage your mailing preferences or unsubscribefrom these emails.
Copyright 2006-2025 MarketBeat Media, LLC. All rights reserved.
345 N Reid Pl., Suite 620, Sioux Falls, SD 57103. U.S.A..
From Our Partners: Executive Order 14330: Trump’s Biggest Yet(From The Oxford Club)
