Verizon shares close lower on Thursday, provider to distance from cable company acquisition plans, CEO says

According to a Thursday statement by Lowell McAdam, Verizon Communications Incs (VZ) Chief Executive Officer, the company has distanced from its plans involving the acquisition of cable firms and instead it will put effort in the establishment of a fiber infrastructure of its own.

Verizon shares closed lower for the first time in the past four trading sessions on Thursday. The stock edged down 0.15% ($0.07) to $47.18, after touching an intraday high at $47.58, or a price level not seen since September 5th ($47.92). In the week ended on September 10th the shares of the communication service provider lost 3.78% of their market value compared to a week ago, which marked a second consecutive period of decline and also the worst performance since the week ended on January 29th. The stock has extended its loss to 1.65% so far during the current month, following a 0.89% drop in August. The latter has been the smallest monthly decrease since September 2016. For the entire past year, the shares of the NYSE-listed company gained 15.49%. The stock has retreated 11.61% so far in 2017.

“We did, I guess, about a year ago, go through a process of taking a look at cable companies. But the fiber infrastructure isnt there”, CEO McAdam said in a statement at the Goldman Sachs Communacopia Conference yesterday, cited by Reuters.

McAdam also noted that Verizon would be acquiring content for its Oath business, while a content deal could become a fact by the end of the current month.

In April, in line with the companys network infrastructure improvement plans, an agreement was reached between Verizon and Corning Inc over optical fiber purchases valued at $1.05 billion during the upcoming three years.

According to CNN Money, the 23 analysts, offering 12-month forecasts regarding Verizon Communications Inc’s stock price, have a median target of $50.00, with a high estimate of $55.00 and a low estimate of $39.00. The median estimate is a 5.98% surge compared to the closing price of $47.18 on September 14th.

The same media also reported that 24 out of 30 surveyed investment analysts had rated Verizon Communications Inc’s stock as “Hold”, while 5 – as “Buy”.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, today’s levels of importance for the Verizon stock are presented as follows:

R1 – $47.23
R2 – $47.28
R3 (Range Resistance – Sell) – $47.34
R4 (Long Breakout) – $47.49
R5 (Breakout Target 1) – $47.68
R6 (Breakout Target 2) – $47.75

S1 – $47.13
S2 – $47.08
S3 (Range Support – Buy) – $47.02
S4 (Short Breakout) – $46.87
S5 (Breakout Target 1) – $46.68
S6 (Breakout Target 2) – $46.61

By using the traditional method of calculation, the weekly levels of importance for Verizon Communications Inc (VZ) are presented as follows:

Central Pivot Point – $46.58
R1 – $47.45
R2 – $48.79
R3 – $49.66
R4 – $50.53

S1 – $45.24
S2 – $44.37
S3 – $43.03
S4 – $41.69