The telecommunications company reported first-quarter earnings of 59 cents a share, up from year-earlier earnings of 51 cents a share. Analysts were expecting 58 cents a share."Verizon delivered double-digit earnings growth and strong cash flow this quarter," CEO Lowell McAdam said in a statement. "We built momentum coming out of 2011, and our results show that we continue to execute in the key growth areas of our business. Verizon Wireless produced both great growth and great margins, and we produced another strong quarter of FiOS growth. We are confident we will improve Wireline margins for the full year. Our repositioning of Verizon Enterprise Solutions has better aligned our strengths in high-growth markets, and we expect our enterprise business to contribute even more to overall Wireline revenue growth and profitability over time." Shares of Verizon rose 1.06% in premarket trading Thursday to $38.06. TheStreet Ratings gives Verizon a B- grade with a buy rating and $43.37 price target.
EMC The company reported first-quarter earnings of $587 million, or 27 cents a share. Analysts, on average, were anticipating earnings of 36 cents a share. "EMC's solid first-quarter results are ongoing proof that we are executing on our strategy and on track to deliver our 'triple play' - simultaneously taking market share, reinvesting for growth and delivering improved earnings this year," Chief Financial Officer David Goulden said in a statement. "Based upon our strong start to the year and our opportunity, we now have greater confidence in our ability to meet and potentially exceed our 2012 financial goals for consolidated revenue, non-GAAP EPS and free cash flow. Additionally, with continued steady execution, we are well on our way to achieving the financial potential of 2014 consolidated revenue of over $28 billion, which represents compound annual revenue growth of at least 13% from 2010 and non-GAAP EPS growth even greater than this." The company anticipates that consolidated GAAP net income for this year will be $2.8 billion, or about $1.25 a share. Shares of EMC fell 2.64% in premarket trading Thursday to $28.37. TheStreet Ratings gives EMC an A grade with a buy rating and $33.73 price target.