Verizon (VZ -0.54%) is one of the largest telecommunications companies in the country. The company provides consumers and businesses with voice, data, and video services and solutions. It's one of the largest wireless service providers, with a coast-to-coast network.
Verizon has invested heavily in recent years to upgrade its wireless network to faster 5G (fifth-generation) technology. Those investments should enable the telecom company to grow its revenue by providing consumers and businesses with faster mobile data services.
You might be one of the millions of customers who rely on Verizon. That could have piqued your interest in learning how to invest in its stock. Here's a step-by-step guide to investing in the communications stock and some factors to consider before adding it to your portfolio.
Stock
How to buy
How to buy Verizon stock
- Open your brokerage account: Log in to your brokerage account where you handle your investments.
- Search for the stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.
- Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
- Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
- Submit your order: Confirm the details and submit your buy order.
- Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.
Should I invest?
Should I invest in Verizon?
It's important to spend time researching a stock before adding it to your portfolio. Here are some reasons you might want to invest in Verizon:
- You're a Verizon customer and want to buy shares in a company you rely on.
- You want to invest in companies that generate stable and growing cash flow.
- You're looking for higher-yielding dividend stocks that steadily increase their dividends.
- You think Verizon's investments in 5G will cause its growth rate to increase in the coming years.
- You believe Verizon will turn things around and become a market-beating stock over the next three to five years.
- You're seeking to invest in value stocks.
- Buying Verizon would help diversify your portfolio.
On the other hand, here are some reasons you might not want to buy Verizon stock:
- You're not a fan of Verizon or you use a rival's service.
- You're not interested in stocks that produce dividend income.
- You're looking for companies growing faster than Verizon.
- You think Verizon will continue to underperform the market.
- You already own shares of another communications company.
Profitability
Is Verizon profitable?
Verizon is a very profitable company. The telecom giant reported $134.79 billion in revenue and $17.95 billion of net income in 2024.
Meanwhile, it's a cash flow machine. Verizon produced $36.91 billion of cash flow from operations in 2024, easily covering its capital expenses ($17.09 billion) and dividend payments ($11.2 billion). That enabled it to produce excess free cash to strengthen its balance sheet.
Verizon has been making heavy capital investments in recent years to build out infrastructure to support its faster 5G network. The company expects its investments in 5G will grow its revenue, earnings, and operating cash flow in the future. These initiatives position Verizon to increase its profits in the coming years.
Dividends
Does Verizon pay a dividend?
Verizon makes quarterly dividend payments to its investors. The telecom giant has a long history of increasing its dividend:
2024 was Verizon's 18th straight year of increasing its dividend.
Verizon stands out for its high dividend yield. It was more than 6% in mid-2025. That's almost double the average telecommunications company's dividend yield of 3.2% and four times that of the S&P 500 index (which had a 1.25% dividend yield).
ETF options
ETFs with exposure to Verizon
Not all investors want to actively invest in stocks they need to manage. Many would rather be passive investors. An easy way to be a passive investor is to own exchange-traded funds (ETFs).
Exchange-Traded Fund (ETF)
Many ETFs offer passive exposure to Verizon stock. According to ETF.com, 395 ETFs held more than 670 million shares of Verizon in mid-2025.
The Schwab U.S. Dividend Equity ETF (SCHD -0.02%) was the third-largest holder at 62.85 million shares. This ETF focuses on companies with high-quality and sustainable dividends. Verizon was its tenth-largest holding in mid-2025 at 3.86% of its assets. This fund had an ultralow 0.06% ETF expense ratio. It's an ideal ETF for investors seeking steadily rising dividend income.
Meanwhile, investors seeking greater exposure to Verizon stock could consider the iShares U.S. Telecommunications ETF (IYZ 0.39%). Verizon was its third-largest holding in mid-2025 at 13.2% of its net assets. This ETF focuses on companies in the U.S. telecommunications sector. It had a 0.38% expense ratio.
Stock splits
Will Verizon stock split?
Verizon didn't have an upcoming stock split in the works as of mid-2025. Verizon has not completed a stock split since its formation in 2000, when Bell Atlantic and GTE merged to create the telecom giant.
Verizon likely won't split its stock anytime soon. Shares currently trade well below a peak that topped $60 a share, which they hit around the time of the Bell Atlantic/GTE merger in 2000 and again a few years ago. Verizon stock would need to surpass its former peak before it would be likely to consider a stock split.
The bottom line on Verizon
Verizon is one of the largest telecommunications companies in the country. It generates billions of dollars in free cash flow each year, giving it the cash to pay a very attractive and steadily rising dividend, making Verizon a great stock for people seeking stable income.
FAQs
Investing in Verizon FAQs
Can you buy Verizon stock directly?
You can buy shares of Verizon directly in any regular brokerage account. The telecom company trades publicly on the New York Stock Exchange under the stock ticker VZ.
Is Verizon stock a good buy?
Verizon has many qualities that make it a good buy for certain investors. It generates lots of stable and growing cash flow, enabling it to invest in its growth while paying a high-yielding and steadily rising dividend.
However, while Verizon is growing, it's not growing very fast. As a result, its stock has underperformed the market over the last several years. So it's not a good stock to buy if you're seeking a company with outsize stock price appreciation potential.
Where will Verizon stock be in five years?
Verizon completed the first major investment phase of its 5G network build-out in 2023. That investment should drive steady revenue and cash-flow growth in the coming years. Meanwhile, with investment spending past its peak, Verizon will generate more excess free cash flow over the coming years.
This revenue and earnings growth, along with plans for deleveraging and eventual share repurchases should steadily drive Verizon's stock higher over the next few years.
How much does it cost to buy stock in Verizon?
It cost around $44 to buy one share of Verizon stock in mid-2025. However, it's possible to invest even less money into Verizon stock. Many brokerage accounts and stock trading platforms allow investors to trade fractional shares. Some enable you to invest as little as $1 into a fractional stock purchase.
