Surprised no comments on this sudden change unless most here are just passive dividend collectors. Not that there's anything wrong with that.
Why Verizon’s Surprise CEO Change Rattled the Wireless Industry
By Angela Palumbo Oct 07, 2025
The unexpected CEO transition is shaking up wireless stocks, and likely signaling increased competition ahead, Wall Street analysts warn.
Verizon appointed lead independent director Daniel Schulman as its new CEO on Monday, effective immediately. With this new transition, Verizon will focus on maximizing value propositions, reducing costs, and delivering sustainable long-term growth for shareholders, according to Monday’s news release. Other telecommunications companies might want to be on their guard, analysts say.
“The market is clearly worried about Verizon becoming more aggressive again in wireless to defend share,” Sam McHugh, head of telecom equity research at BNP Paribas, wrote on Monday night.
Both T-Mobile and AT&T stocks declined on Monday after the announcement. One concern for investors is that the changes at Verizon, if successful, may increase competition for fellow telecom companies. The sector’s shares, however, bounced back on Tuesday.
The managerial transition comes as investors have been looking for more from Verizon. Hans Vestberg started as CEO on Aug. 1, 2018. The stock had declined 15% from the close on July 31, 2018 to the close on Oct. 3, 2025, far underperforming the 12% rise of AT&T, the 285% increase of T-Mobile, and 138% jump of the S&P 500
“From the beginning of Hans’s tenure until now, Verizon has organically added about 5MM postpaid phones while the industry has added about 55MM postpaid phones,” New Street’s David Barden wrote Tuesday. “When Hans joined, Verizon was capturing over 20% of annual industry postpaid phone net adds; that share has fallen to an average of 5% over the last four years.”
Barden added that he believes Verizon’s statement Monday hints at possible major changes coming to the wireless carrier, including potential price cuts for consumers. Over the past few years, the company has raised its prices, leading to increased churn, or customers switching to less expensive plans.
“Greater focus on subscriber growth may impact growth at T-Mobile and AT&T while putting additional pressure on broadband sub trends at Comcast and Charter once Verizon’s convergence strategy is brought to bear,” UBS analyst John Hodulik wrote in a note Monday. He rates Verizon as Neutral with a $45 price target.
Shares of Verizon were up 0.8% to $41.78 on Tuesday. The stock has risen 4.5% this year, compared to the 14% increase of the S&P 500.
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