Street View: Verizon's wireless business has prospects for growth
** Verizon Communications VZ.N missed Q2 revenue estimates on Monday as fewer people upgraded their phones, while its prepaid wireless subscribers fell sharply after a federal internet subsidy ended
** Average recommendation of 28 brokerages is "buy," median PT is $46 - LSEG data
ANALYSTS BULLISH ON GROWTH PROSPECTS AMID UPCOMING INDUSTRY SHIFTS
** J.P.Morgan("neutral", PT: $45) says encouraged by expectations for positive underlying consumer postpaid phone net additions for FY 2024
** TD Cowen ("buy", PT: $51) remains constructive, should still see consumer wireless inflection, wireless service revenue momentum, subsequent EBITDA growth and modest 2025 free cash flow
** NewStreet Research (PT: $45) says with the worst case scenario for phone upgrades likely priced in, bulk of ACP impacts now behind co, VZ seems best positioned to benefit from benign industry trends in Wireless, at least for next few quarters
** Morningstar (fair value: $53) suspects investors are focused on messy wireless customer numbers, potential wave of costly phone upgrades later this year, pacing of free cash flow,but brokerage does not believe these issues are a cause for concern
Reporting by Khushi Singh in Bengaluru
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