By subscriber count, Verizon Communications (VZ +1.46%) is the top U.S. wireless carrier. It has 146.1 million retail connections as of the third quarter of 2025.
Verizon is also a highly profitable business, reporting $20 billion in trailing net income. The wireless carrier returns much of that money to shareholders through a generous dividend. If you're looking for $1,000 in dividends, a reasonable investment in Verizon would do the trick.
Image source: Verizon Communications.
How to make $1,000 in yearly dividends from Verizon
Verizon's most recent dividend was $0.69 per share. Since it pays quarterly dividends, investors would receive $2.76 annually per share of Verizon stock if that dividend remained stable. We'll assume it will for simplicity's sake, although it will most likely increase. Verizon raised its dividend in 2025, marking the 19th consecutive year it did so.
You'd need about 362 shares of Verizon stock to make $1,000 in yearly dividends. Shares cost $40.66 at the time of this writing (Jan. 9), meaning 362 shares would cost you $14,732. Due to Verizon's high dividend yield (currently well over 6%), you don't need to invest a lot to build passive income.
NYSE: VZ
Key Data Points
However, Verizon has also significantly underperformed the S&P 500. Over the last five years, Verizon stock has declined by 30%, while the S&P 500 has grown by 82%. Even factoring in Verizon's dividend, you still would've lost money if you had invested in it five years ago.
Verizon is investing in a 5G network, which could lead to improved stock performance in the future. Still, this is unlikely to become a growth stock, so ensure it aligns with your investment goals before purchasing shares.
If you're looking for stable income and a steadily increasing dividend, Verizon may be a good fit for your portfolio. Investors who prioritize growth, particularly younger investors with plenty of time until retirement, will probably want to look elsewhere.
