This week I'm seeking a prestigious and long-term dividend-paying stock from the communications services sector. 

That sector has companies that connect us electronically in either of two ways: telecommunications, or pay TV. Some do both. Not this one, it's strictly Telco:

Today I'm reviewing a large-cap telecom outfit named Verizon Communications, Inc. Its trading ticker symbol is VZ.

Verizon Communications Inc is a provider of communications, information and entertainment products and services to consumers, businesses and governmental agencies. It offers voice, data and video services and solutions to wireless and wireline networks worldwide.

The company's Wireless segment provides wireless voice and data services; Internet access, and wireless devices. As of December 31, 2017, it had 116.3 million retail connections. 

Its Wireline segment offers traditional circuit-based network products and services, as well as residential fixed connectivity solutions, including Internet, TV, and voice services under the Fios brand name.  

The company was formerly known as Bell Atlantic Corporation and changed its name to Verizon Communications Inc. in June 2000. 

Verizon Communications Inc. was founded in 1983 and is headquartered in New York, New York.

I use three key data points to gauge the value of any dividend equity or fund likeVerizon Communications, Inc. (VZ): 

(1) Price

(2) Dividends

(3) Returns

Besides those three, four more keys will finally unlock an equity or fund in which to invest.

But those first three primary keys, best tell whether a company has made, is making, and will make money. 

VZ Price

Verizon'sprice per share was $54.28 at yesterday's market close. A year ago its price was $46.20 for a gain of $8.08 per share.  

Assuming VZ's price will trade in the range of $45 to $65 for the next year, perhaps VZ can repeat the gain and move it's current $54.28 price to $62.36 by early September, 2019. 

VZ Dividends

Verizon's most recent quarterly dividend was $0.6025 declared September 6th and payable November 1st. At this most recent pay rate,VZ's annual dividend will be $2.41 yielding 4.4% at yesterday's closing $54.28 price.

Gains For VZ?

Adding the $2.41 projected annual dividend to my $8.08 year over year estimated price gain for VZ makes a $10.49gross annual per share gain, which will be reduced by costs to trade the shares.  

A little under $1,000.00 invested today at the $54.28 recent price buys 18 Verizon Communications, Inc.(VZ) shares. 

A $10 broker fee paid half at purchase and half at sale costs $0.56 per share, subtracting that $0.56 brokerage cost from the estimated $10.49 gross gain leaves a net gain of $9.93 X 18 shares = $178.74 or an 18% net gain on a $977.04 investment.

Therefore, Verizon Communications, Inc., whose trading ticker symbol is VZ,now shows a possible 18% net gain including a 4.4% dividend yield. 

Thirty three brokers cover this stock:

Eight say "Buy" VZ 

Sixsay VZ will "outperform" its peers.

Seventeen of the 31 brokers say "Hold" your position on VZ.

Thus, the analyst consensus recommendation number is 2.3 or "outperform".

The median price target set by those 31 brokers is nearly $6 under my $62.36 price number.

Here I am more optimistic than 31 New York stockbrokers!  

I look at all Verizon Communications, Inc. (VZ), thus: It has made money, It is making money, and could net an 18% net annual gain including a 4.4% dividend yield. It could be more, it could be less.

The above speculation is based on past year performance. Actual results remain to be seen. Those results will determine if Verizon Communications, Inc. (VZ) is worth your time and money.