Verizon Communications (NYS: VZ) is expected to report Q4 earnings on Jan. 22. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Verizon Communications's revenues will grow 4.5% and EPS will expand 3.8%.

The average estimate for revenue is $29.72 billion. On the bottom line, the average EPS estimate is $0.54.


Revenue details
Last quarter, Verizon Communications notched revenue of $29.01 billion. GAAP reported sales were 3.9% higher than the prior-year quarter's $27.91 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $0.64. GAAP EPS of $0.56 for Q3 were 14% higher than the prior-year quarter's $0.49 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 62.1%, 290 basis points better than the prior-year quarter. Operating margin was 18.9%, 230 basis points better than the prior-year quarter. Net margin was 5.5%, 60 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $115.46 billion. The average EPS estimate is $2.41.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 4,621 members out of 4,902 rating the stock outperform, and 281 members rating it underperform. Among 1,073 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 1,022 give Verizon Communications a green thumbs-up, and 51 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Verizon Communications is outperform, with an average price target of $44.64.

Looking for alternatives to Verizon Communications? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.

The article What to Expect from Verizon Communications originally appeared on Fool.com.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.


Increase your money and finance knowledge from home

Asset Allocation

Learn the most important step in structuring an investment portfolio.

View Course »

Managing your Portfolio

Keeping your portfolio and financial life fit!

View Course »

Add a Comment

*0 / 3000 Character Maximum