Is Verizon’s (VZ) cash flow strong enough to make it an attractive investment?

Verizon Communications Corporation (NYSE:VZ) from within 12 promising dividend stocks according to Wall Street analysts.

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Verizon Communications Inc. (NYSE:VZ) is a New York-based telecommunications company that also provides home Internet services to its customers. Considering the company’s size, its revenue hasn’t grown more than 6% over the past 15 years, which doesn’t work in its favor. In addition, analysts expect a slight increase of about 3% in its revenues this year and next.

However, Verizon Communications Inc.‍ (NYSE:VZ) has other positive aspects worth paying attention to. In the second quarter of 2025, the company added 278,000 new subscribers to the fixed wireless access service, bringing the total number of subscribers to more than 5.1 million. With this momentum, it appears to be on track to reach its next goal of 8 to 9 million subscribers by 2028. Its cash position is also stable, having generated nearly $9 billion in free cash flow in the first half of 2025. The company now expects its free cash flow to be in the range of $19.5 billion to $19.5 billion to $20.5 billion‌ for FY25. This projected cash flow‌ will be able It comfortably covers the company’s earnings, making it a solid choice for income investors⁠. Moreover, it will also strengthen the company’s position regarding its debt. ‍

Verizon Com⁠mun‌ic⁠ations Inc. profits are growing. (NYS‍E:VZ) Indeed. In fact, the company has raised its dividend for 19‍ years in a row. Its dividend payouts are approximately $12 billion annually, demonstrating its ability to continue delivering shareholder returns. Verizon pays a quarterly dividend of $0.69 per share, and has a dividend yield of 6.68%, as of October 8.

While we recognize VZ’s potential as an investment, we believe some AI stocks offer greater upside potential and carry less downside risk. If you’re looking for undervalued AI stocks that will also benefit significantly from the Trump-era tariffs and the reshoring trend, check out our free report on Best AI stocks for short term.

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