| Approximately one week away from Verizon's | | | | investors, there are many other both |
| (VZ) third quarter results, many investors | | | | well-established but relatively new companies |
| are speculating whether to purchase shares of | | | | on the market such as Google or Goldman Sachs |
| this lucrative telecommunications giant. In | | | | which not only has the potential to reach |
| search for answers by examining earnings from | | | | 300% in 25 years but more than likely triple |
| other powerful monsters, there is a mix bag | | | | or quadruple that amount in possibly less |
| in terms of what to expect for both Verizon | | | | than ten years. Thus, while you are pretty |
| and the telecommunication industry in | | | | assured that Verizon will not decrease in |
| general. However, just specifically in the | | | | terms of share price, even during a time of |
| case of Verizon, I believe the real question | | | | recession, to astounding levels, for the long |
| should not be placed into whether Verizon | | | | term when looking at technical analysis I do |
| accumulates high margins when two years are | | | | not see much trend assurance for heavy |
| compared with one another or if this company | | | | optimism.Nevertheless, I have only looked at |
| beats its EPS estimate by a few cents, but | | | | one indicator in determining my rational for |
| how will Verizon perform in the next few | | | | the purchase of Verizon shares. As an |
| years.More than likely, with the giant status | | | | efficient investor, other indicators like |
| of Verizon, regardless of any significant | | | | fundamentals should be utilized as well. In |
| changes from analyst expectations, Verizon | | | | the case for numbers when looking at Verizon, |
| shares should remain fairly steady when | | | | an almost parallel structure exists to how |
| earnings for this company are reported in | | | | margins are represented juxtaposed to |
| about one week time frame. You may say that | | | | technical trends. It is true that Verizon has |
| anything is possible in this rational | | | | posted modestly higher gains year after year |
| expectations market, but if you look at the | | | | in most of the major categories, but the same |
| technical side of this company over the past | | | | can be said about how Verizon has moved in |
| three years, you, as an investor would | | | | terms of share price during the same |
| realize the sideways motion Verizon embodies. | | | | duration. While economic changes and consumer |
| Fluctuating in the 30 to 40 point range for | | | | preferences, not to mention innovated |
| almost three years, Verizon looks very | | | | telecommunication products, can challenge |
| similar to other large cap giants such as | | | | such momentum, for the time being, especially |
| Microsoft, reporting very little disturbances | | | | since Verizon is near a 52 week high, there |
| if at all in terms of share prices regardless | | | | should be no strong desire to purchase more |
| of how earnings play out. While some | | | | or any shares as any falter in the economy or |
| investors may argue that such a stock | | | | earnings will send Verizon back down a few |
| represents a steady but guaranteed way of | | | | points. Therefore, as prestigious as Verizon |
| accumulating capital gains in the future, | | | | is in terms of branding and name recognition, |
| such a sentiment does not hold perfectly true | | | | just like my views on Microsoft, I do not see |
| with Verizon. Since its opening days about 25 | | | | much encouragement or heavy optimism by |
| years ago, Verizon has only grown 300% during | | | | purchasing shares from this company in both |
| that time period where much of that gain can | | | | the short term as well as the long |
| be attributed to the overbought period of the | | | | term.Dennis Biray presents advice on all |
| late 1990s for the technology sector. While | | | | kinds of topics ranging from finance and |
| 300% may sound pretty lucrative to many | | | | investing to fitness to sports. |