Verizon (NYSE:VZ) is the second largest telecommunications company in the world, after AT&T. In 2021, Verizon’s revenue grew 4.1%, bringing in $17.8 billion (up 6.5% year over year) in the fourth quarter alone. The company also met its goal of achieving $10 billion in savings. With a full-year cash flow of $39.5 billion, the telecommunications company had a lucrative 2021.
One thing that draws investors to Verizon is its dividend, which the company has been steadily increasing for the past 15 years. With a current annual dividend of $2.56 per share, Verizon offers an annual yield of 4.76%, one of the highest in the S&P 500 as well as one of the most reliable. Yet its valuation is relatively cheap compared to the long-term value it can potentially provide.
Two of the company’s top priorities for 2022 are strengthening and growing its core business and leveraging assets to expand its 5G capabilities. If the company can achieve these goals and continue to increase its dividend, as it has done in the past, the current stock price makes it a boon for investors seeking investment income.
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