Verizon has the best in class networks, and its dividend protects the stock's downside, the firm wrote in a note.
However, the company faces flat per-share earnings growth this year.
Verizon's growth investments in platforms and solutions could possibly increase execution risk in the near-term, the firm continued.
Based in New York City, Verizon provides communications, information and entertainment products and services to consumers, businesses and governmental agencies.
Shares are down 0.25% to $50.49 in pre-market trading on Wednesday.
Separately, TheStreet Ratings team rates the stock as a "buy" with a ratings score of A+.
Verizon's strengths such as its compelling growth in net income, revenue growth, notable return on equity, expanding profit margins and good cash flow from operations outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.
You can view the full analysis from the report here: VZ
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.