How Verizon, AT&T, and T-Mobile Are Outperforming the Market in 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 13 2026
0mins
Source: Marketbeat
Strong Performance of U.S. Telecom Giants: Verizon, AT&T, and T-Mobile have shown impressive returns in 2026, outperforming the S&P 500 index, with Verizon leading at 23%, followed by AT&T at 18% and T-Mobile at 6%.
Verizon's Earnings Report: Verizon reported significant earnings gains, with a 12% stock increase following its latest earnings report, which exceeded expectations in sales growth and earnings per share.
AT&T's Growth Strategy: AT&T's fiber-optic service continues to thrive, contributing to its revenue growth, with a notable increase in postpaid wireless subscribers and a strong dividend yield of 3.8%.
T-Mobile's Future Outlook: T-Mobile has announced optimistic projections for 2027, expecting substantial revenue growth and a solid increase in net additions, despite some short-term weaknesses in subscriber growth.
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Analyst Views on VZ
Wall Street analysts forecast VZ stock price to fall
14 Analyst Rating
4 Buy
10 Hold
0 Sell
Moderate Buy
Current: 46.940
Low
43.00
Averages
46.42
High
51.00
Current: 46.940
Low
43.00
Averages
46.42
High
51.00
About VZ
Verizon Communications Inc. is a holding company. The Company, through its subsidiaries, provides communications, technology, information and streaming products and services to consumers, businesses and government entities. Its Consumer segment provides wireless and wireline communications services. It also provides fixed wireless access (FWA) broadband through its 5G or 4G Long-Term Evolution (LTE) networks portfolio. The Company's Business segment provides wireless and wireline communications services and products, including FWA broadband, data, video and advanced communication services, corporate networking solutions, security and managed network services, local and long-distance voice services and network access to deliver various Internet of Things (IoT) services and products. It provides these products and services to businesses, public sector customers and wireless and wireline carriers across the U.S. and a subset of these products and services to customers around the world.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Cash Flow Stability: Apple generated $129.1 billion in free cash flow over the past twelve months, showcasing its robust cash-generating ability, which not only allows for continuous dividend increases but also provides funding for future growth opportunities.
- Dividend Growth Potential: Apple has raised its quarterly dividend for nearly 15 consecutive years, currently yielding 0.4% annually, while its 5-year annualized dividend growth rate stands at 4.8%, positioning it to potentially become a Dividend Aristocrat and attract long-term investors.
- Verizon's Cash Flow Performance: Verizon generated $20.3 billion in free cash flow over the trailing twelve months, with an impressive annual dividend yield of 6.0%, significantly surpassing the S&P 500, highlighting its appeal among income-focused investors.
- Economic Resilience: The strong cash-generating capabilities of both Apple and Verizon enhance their resilience during economic downturns, enabling them to easily manage debt and continue dividend payments, thereby providing investors with long-term security and potential returns.
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- Planet Labs Independent Growth: Planet Labs is seen as having no direct competition with SpaceX, although potential overlaps may arise; shares have risen 57%, with a price target of $53 indicating a potential 55% upside.
- Rocket Lab Market Opportunity: As the closest public competitor to SpaceX, Rocket Lab's shares have surged 50% in 2026, with a price target of $129 suggesting a 12% upside, benefiting from heightened market interest due to SpaceX's IPO.
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- Product Innovation: AT&T's Unlimited Day Pass offers eligible U.S. iPad users unlimited data for $3 a day, making it the first major wireless provider to offer such on-demand connectivity, significantly enhancing user flexibility and convenience.
- Market Demand Fulfillment: This service targets many iPad users not connected to cellular plans, allowing them to connect anytime, especially during travel or when Wi-Fi is unavailable, addressing the urgent market need for flexible data services and potentially attracting a large number of new users.
- First-Time Free Experience: Users can enjoy a complimentary first day pass, further lowering the barrier to entry and encouraging more users to try this new service, which may enhance AT&T's customer retention in a highly competitive market.
- Future Expansion Plans: AT&T plans to extend this service to other 5G-enabled devices in the future, demonstrating the company's sensitivity to evolving market demands and aiming to strengthen its competitive position by offering a broader range of connectivity options.
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U.S. Telecom Giants See Stock Rebound
- Stock Performance: So far this year, Verizon's shares have risen over 11%, while Rogers' shares have increased less than 1%, although they have surged more than 42% over the past year, indicating strong recovery potential for both companies in their respective markets.
- Market Share Growth: Rogers transformed into a national cable and broadband powerhouse with its $26 billion acquisition of Shaw Communications, unlocking significant cost synergies and enhancing cross-selling capabilities across Western Canada, thereby solidifying its market position.
- Financial Robustness: In the first quarter, Rogers reported revenue of $5.49 billion, a 10% year-over-year increase, with earnings per share (EPS) at $1.01, showcasing its rarity as a high-yield stock while projecting free cash flow to rise to $21.5 billion by 2026, a 7% increase.
- Capital Expenditure Trends: Verizon expects capital expenditures between $16 billion and $16.5 billion this year, down from $17 billion in 2025, indicating that the heavy financial burden of building its 5G infrastructure is largely complete, which will help improve its return on invested capital moving forward.
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Investment Opportunities in Verizon and Rogers
- Rogers Market Share Growth: In 2023, Rogers acquired Shaw Communications for $26 billion, significantly increasing its market share and transforming into a national cable and broadband powerhouse in Canada, which is expected to unlock substantial cost synergies and enhance its core enterprise and retail internet business competitiveness.
- Stable High Dividend Yield: Rogers currently offers a dividend yield of approximately 3.83% with a low payout ratio of 15.3%, indicating ample room for continued dividend increases while paying down debt from the Shaw acquisition, thus maintaining robust financial health.
- Strong Cash Flow at Verizon: Verizon reported $3.8 billion in free cash flow in Q1, up 5% year-over-year, and expects this to rise to $21.5 billion by 2026, showcasing its strong cash flow capabilities that support ongoing dividend growth and debt repayment.
- Clear Competitive Advantage: Verizon boasts a dividend yield exceeding 6% and has consistently increased dividends over the past 20 years; despite market volatility, its completion of 5G infrastructure is expected to lead to higher returns on investment, making it a top choice for income-focused investors.
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- Market Impact: SpaceX's upcoming IPO is poised to become the largest in history, likely attracting significant investor interest in the space sector and driving up stock prices of related companies, thereby creating a broad market effect.
- Rocket Lab Performance: Rocket Lab reported approximately $602 million in revenue for 2025, a 38% year-over-year increase, and achieved record revenue of $200 million in Q1 2026, demonstrating strong growth potential in the launch services market.
- Redwire's Technological Edge: Redwire generated about $335 million in revenue in 2025, focusing on providing essential technology components for space missions, and reported $97 million in revenue in Q1 2026, highlighting its significant role in national security and commercial space projects.
- AST SpaceMobile's Market Opportunity: AST SpaceMobile aims to create a satellite network that connects directly to ordinary smartphones, potentially generating up to $6 billion in annual revenue if successful, and has signed agreements with carriers representing over 3 billion subscribers, indicating substantial market potential.
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Apple and Verizon's Cash Flow Advantages
- Cash Flow Stability: Apple generated $129.1 billion in free cash flow over the past twelve months, showcasing its robust cash-generating ability, which not only allows for continuous dividend increases but also provides funding for future growth opportunities.
- Dividend Growth Potential: Apple has raised its quarterly dividend for nearly 15 consecutive years, currently yielding 0.4% annually, while its 5-year annualized dividend growth rate stands at 4.8%, positioning it to potentially become a Dividend Aristocrat and attract long-term investors.
- Verizon's Cash Flow Performance: Verizon generated $20.3 billion in free cash flow over the trailing twelve months, with an impressive annual dividend yield of 6.0%, significantly surpassing the S&P 500, highlighting its appeal among income-focused investors.
- Economic Resilience: The strong cash-generating capabilities of both Apple and Verizon enhance their resilience during economic downturns, enabling them to easily manage debt and continue dividend payments, thereby providing investors with long-term security and potential returns.
See More
SpaceX IPO Sparks Interest in Related Companies
- Intuitive Machines Benefit: Analysts view Intuitive Machines as a beneficiary of SpaceX's IPO, with increasing demand for lunar infrastructure expected to drive a 44% price target increase, following a 69% rise in shares this year.
- Planet Labs Independent Growth: Planet Labs is seen as having no direct competition with SpaceX, although potential overlaps may arise; shares have risen 57%, with a price target of $53 indicating a potential 55% upside.
- Rocket Lab Market Opportunity: As the closest public competitor to SpaceX, Rocket Lab's shares have surged 50% in 2026, with a price target of $129 suggesting a 12% upside, benefiting from heightened market interest due to SpaceX's IPO.
- AST SpaceMobile Competitive Edge: AST SpaceMobile is identified as a direct competitor to Starlink, with analysts noting that Starlink's aggressive strategies could motivate carriers to support AST, leading to an 18% price increase forecast, following a 15% rise this year.
See More
AT&T Launches Unlimited Day Pass for iPad Users with No Carrier Restrictions
- Product Innovation: AT&T's Unlimited Day Pass offers eligible U.S. iPad users unlimited data for $3 a day, making it the first major wireless provider to offer such on-demand connectivity, significantly enhancing user flexibility and convenience.
- Market Demand Fulfillment: This service targets many iPad users not connected to cellular plans, allowing them to connect anytime, especially during travel or when Wi-Fi is unavailable, addressing the urgent market need for flexible data services and potentially attracting a large number of new users.
- First-Time Free Experience: Users can enjoy a complimentary first day pass, further lowering the barrier to entry and encouraging more users to try this new service, which may enhance AT&T's customer retention in a highly competitive market.
- Future Expansion Plans: AT&T plans to extend this service to other 5G-enabled devices in the future, demonstrating the company's sensitivity to evolving market demands and aiming to strengthen its competitive position by offering a broader range of connectivity options.
See More
U.S. Telecom Giants See Stock Rebound
- Stock Performance: So far this year, Verizon's shares have risen over 11%, while Rogers' shares have increased less than 1%, although they have surged more than 42% over the past year, indicating strong recovery potential for both companies in their respective markets.
- Market Share Growth: Rogers transformed into a national cable and broadband powerhouse with its $26 billion acquisition of Shaw Communications, unlocking significant cost synergies and enhancing cross-selling capabilities across Western Canada, thereby solidifying its market position.
- Financial Robustness: In the first quarter, Rogers reported revenue of $5.49 billion, a 10% year-over-year increase, with earnings per share (EPS) at $1.01, showcasing its rarity as a high-yield stock while projecting free cash flow to rise to $21.5 billion by 2026, a 7% increase.
- Capital Expenditure Trends: Verizon expects capital expenditures between $16 billion and $16.5 billion this year, down from $17 billion in 2025, indicating that the heavy financial burden of building its 5G infrastructure is largely complete, which will help improve its return on invested capital moving forward.
See More
Investment Opportunities in Verizon and Rogers
- Rogers Market Share Growth: In 2023, Rogers acquired Shaw Communications for $26 billion, significantly increasing its market share and transforming into a national cable and broadband powerhouse in Canada, which is expected to unlock substantial cost synergies and enhance its core enterprise and retail internet business competitiveness.
- Stable High Dividend Yield: Rogers currently offers a dividend yield of approximately 3.83% with a low payout ratio of 15.3%, indicating ample room for continued dividend increases while paying down debt from the Shaw acquisition, thus maintaining robust financial health.
- Strong Cash Flow at Verizon: Verizon reported $3.8 billion in free cash flow in Q1, up 5% year-over-year, and expects this to rise to $21.5 billion by 2026, showcasing its strong cash flow capabilities that support ongoing dividend growth and debt repayment.
- Clear Competitive Advantage: Verizon boasts a dividend yield exceeding 6% and has consistently increased dividends over the past 20 years; despite market volatility, its completion of 5G infrastructure is expected to lead to higher returns on investment, making it a top choice for income-focused investors.
See More
SpaceX IPO Could Become Largest in History
- Market Impact: SpaceX's upcoming IPO is poised to become the largest in history, likely attracting significant investor interest in the space sector and driving up stock prices of related companies, thereby creating a broad market effect.
- Rocket Lab Performance: Rocket Lab reported approximately $602 million in revenue for 2025, a 38% year-over-year increase, and achieved record revenue of $200 million in Q1 2026, demonstrating strong growth potential in the launch services market.
- Redwire's Technological Edge: Redwire generated about $335 million in revenue in 2025, focusing on providing essential technology components for space missions, and reported $97 million in revenue in Q1 2026, highlighting its significant role in national security and commercial space projects.
- AST SpaceMobile's Market Opportunity: AST SpaceMobile aims to create a satellite network that connects directly to ordinary smartphones, potentially generating up to $6 billion in annual revenue if successful, and has signed agreements with carriers representing over 3 billion subscribers, indicating substantial market potential.
See More
