Verizon Communications (VZ) is ranked as a top counter-cyclical stock with growth potential

From Yahoo Finance: 2025-04-06 17:11:00

Verizon Communications Inc. (NYSE:VZ) is a top counter-cyclical stock, ranking 10th on the list of best counter-cyclical stocks to buy according to analysts. The company serves 146 million subscribers and operates in defensive sectors. In 2024, VZ delivered strong financial results and expects growth in 2025, making it a stable investment choice during market downturns.

Counter-cyclical stocks like VZ offer stability during economic downturns and can improve overall risk-adjusted returns. VZ’s essential communication services and connectivity solutions are crucial even in recessions. Financial theory supports including counter-cyclical stocks in portfolios for lower volatility and more stable returns during recessionary periods.

VZ expects wireless service revenue growth between 2% and 2.8% in 2025, with a strong history of outperforming the US stock market during bear markets. The company’s AI Connect strategy and focus on operational excellence make it a promising investment. While VZ is a solid choice, AI stocks may offer higher returns in a shorter timeframe, presenting an alternative investment opportunity.



Read more at Yahoo Finance: Is Verizon Communications (VZ) the Best Counter Cyclical Stock to Buy According to Analysts?