Verizon shares gain the most in two weeks on Tuesday as quarterly profit, revenue exceed market expectations

Shares of Verizon Communications Inc (VZ) rose the most in two weeks during the trading session in New York on Tuesday, as the companys first-quarter performance topped market expectations while the loss of monthly phone subscribers turned out to be smaller than anticipated.

Verizon shares closed higher for a second consecutive trading session on Tuesday. It has also been the sharpest daily surge since April 10th. The stock went up 2.08% ($1.01) to $49.67, after touching an intraday high at $50.36, or a price level not seen since February 16th ($50.45).

In the week ended on April 22nd the shares of the communication service provider added 0.50% to their market value compared to a week ago, which marked a second consecutive period of gains.

The stock has extended its advance to 3.87% so far during the current month, following a 0.17% increase in March.

For the entire past year, the shares of the NYSE-listed company dipped 0.84% following a 15.49% surge in 2016.

Verizons total operating revenue increased to $31.77 billion during the first quarter ended on March 31st from $29.81 billion in the year-ago quarter. In comparison, analysts on average had expected $31.26 billion in operating revenue.

Data provided by FactSet revealed that the wireless carrier had lost 24 000 phone subscribers, who pay bills each month, during the latest quarter. The median forecast by analysts, however, had pointed to a sharper loss of subscribers – by 69 000.

Verizons net income attributable to shareholders was reported to have surged to $4.55 billion ($1.11 per share) during the first quarter from $3.45 billion ($0.85 per share) during the same period a year ago.

Meanwhile, earnings per share, excluding special items, were reported at $1.17 during the past quarter, which outstripped the median analyst estimate pointing to adjusted earnings of $1.10 per share.

The largest wireless carrier in the United States also said that savings from the tax code reform were expected to boost operating cash flow by between $3.5 billion and $4 billion during 2018, which would lead to an increase of between $0.55 and $0.65 of its full-year earnings per share.

According to CNN Money, the 25 analysts, offering 12-month forecasts regarding Verizon Communications Inc’s stock price, have a median target of $56.00, with a high estimate of $63.00 and a low estimate of $45.00. The median estimate is a 12.74% surge compared to the closing price of $49.67 on April 24th.

The same media also reported that 22 out of 32 surveyed investment analysts had rated Verizon Communications Inc’s stock as “Hold”, while 10 – as “Buy”.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, today’s levels of importance for the Verizon stock are presented as follows:

R1 – $49.78
R2 – $49.89
R3 (Range Resistance – Sell) – $50.00
R4 (Long Breakout) – $50.34
R5 (Breakout Target 1) – $50.72
R6 (Breakout Target 2) – $50.89

S1 – $49.56
S2 – $49.45
S3 (Range Support – Buy) – $49.34
S4 (Short Breakout) – $49.00
S5 (Breakout Target 1) – $48.62
S6 (Breakout Target 2) – $48.45

By using the traditional method of calculation, the weekly levels of importance for Verizon Communications Inc (VZ) are presented as follows:

Central Pivot Point – $48.06
R1 – $48.90
R2 – $49.91
R3 – $50.75
R4 – $51.60

S1 – $47.05
S2 – $46.21
S3 – $45.20
S4 – $44.20