Today is a big day for Verizon. If you’ve been tracking the ticker, you’ve probably noticed the price hovering around $39.22 this Friday morning. It’s down just a hair—about 0.36%—but that tiny wiggle doesn’t tell the whole story. Honestly, the real action isn’t even in the price movement itself right now; it’s in the final countdown for a massive corporate marriage.
Today, January 16, 2026, marks the final day of trading for Frontier Communications (FYBR). Why does that matter for your Verizon shares? Because after months of regulatory hurdles and a final green light from California officials yesterday, Verizon is officially swallowing Frontier. The deal closes this coming Tuesday, January 20.
Basically, Verizon is betting the farm on fiber.
What is Verizon stock doing today and why the Frontier deal matters
The market is currently digesting the fact that Verizon is about to inherit nearly 30 million fiber passings across 31 states. If you look at the intraday chart, the stock opened at $39.10, dipped a bit to a low of $39.01, and then clawed back toward $39.30. It’s classic "wait and see" behavior. Investors are trying to figure out if this $20 billion acquisition is a masterstroke or just more expensive debt on the balance sheet.
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The California Public Utilities Commission gave the thumbs up yesterday, but it came with strings attached. Verizon has to:
- Build out 75,000 new fiber locations in California over the next five years.
- Keep its low-income "Verizon Forward" broadband at $20 a month for a full decade.
- Erect 250 new 5G/fixed wireless cell sites in rural areas.
These aren't just suggestions; they’re expensive mandates. But the upside? Verizon becomes a dual-threat monster. They won't just be the "wireless company" anymore; they'll be a massive home internet provider competing directly with the cable giants on their own turf.
The 7% dividend elephant in the room
Let's be real: most people don't buy VZ for the "moonshot" growth. They buy it for the check that arrives in the mail. Right now, the expected dividend yield is sitting at a juicy 7.04%.
For every $10,000 you park here, you're looking at roughly $700 a year in passive income. That’s hard to ignore when the S&P 500 average yield is usually hovering way lower. But there’s a catch. Over the last five years, Verizon’s share price has actually dropped by about 30%.
If you bought five years ago at $57, that 7% dividend only barely kept you from being "in the red" on a total return basis. It’s the ultimate "income vs. growth" tug-of-war.
Why the new CEO is the wildcard
Dan Schulman, the guy who used to run PayPal, took the reins from Hans Vestberg last October. This is his first full quarter in the driver's seat. He’s already swinging a big axe—cutting 13,000 jobs to lean the company out.
Investors are looking at Verizon stock today as a proxy for Schulman's credibility. If he can integrate Frontier without a hitch and show subscriber growth in the Q4 earnings call on January 30, we might actually see this stock break out of its $38–$42 rut.
Analysts are surprisingly bullish (for once)
While the stock feels like it's stuck in mud, Wall Street analysts are actually pointing toward the ceiling. The average one-year price target is currently $49.00. That would be a 24% gain from where we are today.
Some analysts at Fintel and MarketBeat are even more aggressive, with high-end targets reaching $73.50. Their logic? Verizon is "seriously undervalued" based on its Price-to-Earnings (P/E) ratio.
- Verizon P/E: ~8.3x
- Telecom Industry Average P/E: ~16.4x
When a company trades at half the industry average, it’s either a screaming bargain or a "value trap." Most of the "smart money" seems to think it's a bargain, especially with the 5G Ultra Wideband network now reaching over 200 million people.
What should you actually do?
If you're holding Verizon, today isn't the day to panic-sell. The volatility is low, and the Frontier deal is a long-term play. If you're looking to get in, you've missed the ex-dividend date (which was January 12), so you won't catch the February 2 payment.
Next Steps for Investors:
- Watch the Volume: If we see a spike in volume over the next few hours, it means big institutional players are positioning themselves ahead of the Frontier closing on Tuesday.
- Mark January 30: This is the big one. The Q4 earnings report will reveal how much the job cuts saved and what the 2026 guidance looks like.
- Check the 200-Day Moving Average: The stock is currently trading below its 200-day average of $42.29. Until it breaks above that level, it’s still technically in a downtrend.
Keep an eye on the ticker around 3:30 PM EST today. Often, we see "Friday afternoon flushes" or "buying spikes" as traders settle their options before the weekend. For now, Verizon is just steady as she goes, waiting for the Frontier transformation to officially begin.