Conservative can consider dialing into Verizon’s (VZ) 6.7% annualized dividend yield.

The telecommunications giant was featured in this column in November. At that time, we noted that Verizon stock’s elite yield and conservative nature — with debt rated at BBB+ by S&P Global — put it among the top stocks in the S&P 500 for conservative.

Since that publication, Verizon has remained steady. The company reported fourth-quarter results on Jan. 23. Earnings of $1.08 per share met analyst expectations, while revenue of $35.1 billion came above the analyst mark of $34.6 billion.

While both earnings and revenue were down from a year prior, a lot of the revenue decline came from a one-time $5.8 billion impairment charge in the fourth quarter. This overshadowed some impressive results. One was postpaid phone net subscriber additions, which increased by 449,000 — well above the estimate of 231,600.

While the results were not mind-blowing, they were commendable for a stock that has faced headwinds due to higher interest rates, intense competition and consumers drifting away from cable and landline packages. Traders took note, with shares closing 6.7% higher on the results.

Verizon Stock Sticks Out

While Verizon may not be a growth story, its dividend sticks out. The company has a long record of dividend growth, with 29 straight years of increases.

At a current 6.7% annualized yield, Verizon’s dividend is over 500% higher than the 1.3% average yield of the S&P 500.

Verizon’s next quarterly dividend, of 66.5 cents per share, will be paid with an ex-dividend date of April 9.

After breaking out of a cup-with-handle base at the start of the year shares of Verizon have once again consolidated around their 50-day moving average.

Verizon stock remains at levels similar to last year, having lost 4% in 2023 while recovering 3% thus far in 2024. The stock can now be seen as forming a flat base, with a 43.21 buy point, per MarketSurge pattern recognition. It is holding support at the 10-week moving average.