#Verizon a recovery buy?
VZ Verizon Communications Inc. has recently released an impressive earnings report, surpassing expectations across the board and increasing their Free Cash Flow (FCF) guidance by a substantial $1 billion compared to their previous guidance. This announcement has injected new life into the stock, and it's evident in the pre-market trading where VZ has surged by almost 4%.The current outlook for VZ is highly favorable, and here's why: A bullish divergence is emerging on both the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) indicators, particularly on the weekly timeframe. This divergence suggests that the stock is poised for a recovery, possibly leading to a profitable swing trade opportunity for investors.
Furthermore, VZ presents an additional allure for long-term investors. With a generous dividend yield of over 8%, this stock becomes a compelling choice for those seeking a stable, income-generating investment.
In summary, the combination of robust earnings, a notable increase in FCF guidance, and the promising technical indicators on the chart indicate a strong potential for VZ to recover from recent losses. Whether you're looking for a shorter-term swing trade or a long-term income play, Verizon is shaping up as an attractive option in the current market landscape
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