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 0.4%. By the end of trading, Verizon Communications rose $0.49 (1.1%) to $47.22 on light volume. Throughout the day, 22,599,058 shares of Verizon Communications exchanged hands as compared to its average daily volume of 44,726,700 shares. The stock ranged in a price between $46.60-$47.23 after having opened the day at $46.63 as compared to the previous trading day's close of $46.73. Other companies within the Telecommunications industry that increased today were: Iridium Communications ( IRDM), up 14.1%, Vonage Holdings ( VG), up 13.3%, AudioCodes ( AUDC), up 9.5% and Glowpoint ( GLOW), up 9.0%.

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 $193.6 billion and is part of the technology sector. The company has a P/E ratio of 11.7, below the S&P 500 P/E ratio of 17.7. Shares are down 4.9% year to date as of the close of trading on Wednesday. Currently there are 20 analysts that rate Verizon Communications a buy, no analysts rate it a sell, and 7 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, notable return on equity, expanding profit margins, compelling growth in net income and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

On the negative front, JDS Uniphase Corp (CA ( JDSU), down 14.2%, USA Mobility ( USMO), down 8.6%, NII Holdings ( NIHD), down 6.6% and DragonWave ( DRWI), down 4.3% , were all laggards within the telecommunications industry with Ciena ( CIEN) 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).

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