Verizon Communications Inc (VZ): Today's Featured Telecommunications Winner

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Verizon Communications ( VZ) pushed the Telecommunications industry higher today making it today's featured telecommunications winner. The industry as a whole closed the day up 0.7%. By the end of trading, Verizon Communications rose $0.57 (1.2%) to $49.48 on average volume. Throughout the day, 10,761,502 shares of Verizon Communications exchanged hands as compared to its average daily volume of 13,203,000 shares. The stock ranged in a price between $48.95-$49.60 after having opened the day at $49.25 as compared to the previous trading day's close of $48.91. Other companies within the Telecommunications industry that increased today were: eOn Communications Corporation ( EONC), up 12.3%, Elephant Talk Communications ( ETAK), up 11.3%, On Track Innovations ( OTIV), up 8.0% and Cbeyond ( CBEY), up 7.9%.

Verizon Communications Inc., through its subsidiaries, provides communications, information and entertainment products and services to consumers, businesses, and governmental agencies worldwide. Verizon Communications has a market cap of $141.3 billion and is part of the technology sector. The company has a P/E ratio of 65.0, above the S&P 500 P/E ratio of 17.7. Shares are up 13.0% year to date as of the close of trading on Thursday. Currently there are 18 analysts that rate Verizon Communications a buy, no analysts rate it a sell, and 10 rate it a hold.

TheStreet Ratings rates Verizon Communications as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income, good cash flow from operations, expanding profit margins and growth in earnings per share. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.

On the negative front, IDT Corporation Class B ( IDT), down 7.5%, InfoSonics Corporation ( IFON), down 6.3%, Linktone ( LTON), down 5.5% and Towerstream Corporation ( TWER), down 4.3% , were all laggards within the telecommunications industry with Ubiquiti Networks ( UBNT) being today's telecommunications industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the telecommunications industry could consider iShares Dow Jones US Telecom ( IYZ) while those bearish on the telecommunications industry could consider ProShares Ult Sht Telecommunication ( TLL).

3x UPSIDE POTENTIAL: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
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