Wells Fargo Reiterates Outperform on Verizon Communications Following Solid Q3 2013 Results

In a report published Friday, Wells Fargo Securities analyst Jennifer M. Fritzsche reiterated an Outperform rating on

. In the report, Wells Fargo Securities noted, “VZ reported solid Q3 2013 results characterized by solid wireless margins and service revenue growth. We are raising our estimates and forecasts. Our new FY2013 revenue and EPS estimates are $120.4B and $2.79 vs. $120.2B and $2.74 prior. Our FY2014E revenue and EPS are $125.8B and $3.47 vs. $125.6B and $3.49 prior. Despite the changing wireless landscape, we continue to believe VZ has a strong path to continue to see wireless margin expansion. On the wireline side, while enterprise continues to be weaker, the consumer business continues to show nice top line growth. We would expect to see an overall lift in wireline margins in 2014. We reiterate our Outperform rating on the shares and our valuation range of $54-57.” Verizon Communications closed on Thursday at $48.90.