If it's a failing company they Yes. VZ will be a prime candidate to waste more money. Some mo--ns just don't know how to run a company or they know how to run it in to the ground. HANS anyone?
23 replies (most recent on top)
I love clowns.
The last two posters explain exactly why the stock is down, Tony needs to go, and Brightspeed execs need to take over.
Really. This is sad how diminished basic business skills have become at the company.
These jokers will be riffed long before the dividend is cut. What a clown show!
Stop arguing. The only way they can pay off the debt is to eliminate the dividend. The stock will tank but their financial situation will be much better once they do because they will free up 10 billion a year to pay the debt. If you put all your eggs in one VZ basket I recommend you diversify.
Holy cr-p he had to look it up. Listen to the guy who posted about free cash flow. VZ and all other publicly traded companies report free cash flow. Why would you look at anything else other than what VZ reports to the SEC as free cash flow? Look at their financial statements they file as required by law. Don't go on the internet and tell everyone you know best cause you saw it on investopedia. You are only showing your ignorance. Thank you to @2rnm for explaining it. Unfortunately some just don't get it.
"You know nothing. It has to do with free cash flow."
Now I know that you know nothing about the bond market and even less about the rating agencies. Just as an FYI - EBITDA is a fast and dirty tool to judge "cash flow"
Earnings before Interest Taxes Depreciation and Amortization, apart from puts and takes from increases and decreases in balance sheet accounts looks like cash flow from operations to me.
https://www.investopedia.com/terms/n/net-debt-to-ebitda-ratio.asp
Try again junior.
@1uwq "Debt is all about the ability for repayment as viewed by Debt to EBITDA"
You know nothing. It has to do with free cash flow. With no free cash flow they can't pay down debt. The only way to increase free cash flow is cut or eliminate the dividend like Lumen did. Then the stock will be worth one tenth of what it is now like what happened to Lumen when the cut the dividend. That on top of the 50% loss we've already had over the last few years. Like Hans you think you can keep spending money you don't have. I'd love to see your credit card bills. Can't fix stupid.
Wireless. Wireline.
Over, under, around, through.
Adapt, improvise, overcome.
Our job is to ensure that sound waves end up in the customer's ear and pixels on their screens. They really don't care much about the magic and mechanics of how we actually get it to and from them, just that they do.
Telecommunications in the current era requires wireless, wireline, and microwave. That is exactly what a Verizon Brightspeed combination would do, albeit as best-of-breed.
What John Legere was able to do at T-Mobile was based largely on what he learned were the wrong ways of doing telecom at AT&T and Global Crossing. Hans has learned everything that did not work with 2.0 and about those responsible. M&M is in the same position that Legere found himself in.
Just saying.
I would even recommend using the Brightspeed name for the combined company. It is fresh and clean and free from the stink that VZ bad decisions have racked up on the street.
Plus the Verizon name was something that Chuck Lee spent a lot of money having developed to recognize Ivan and his significant achievement and giving a nod to his beloved Harvard. I know. I know.
Now if they could only resurrect the voice and gravitas of James Earl Jones and the iconic culture-changing "Can you hear me now" guy?
This would be a combination that would rock the stock within 18 months.
Debt is all about the ability for repayment as viewed by Debt to EBITDA, and that would be the EBITDA of the combined companies which would likely improve significantly over five years.
Debt holders would also likely feel more comfortable with M and M back in the house.
This is a synergy of management, customers, and assets.
@1iob Apollo/Brightspeed purchased their wireline from Lumen/CentryLink for $7.5 billion. They have already put a lot of money in upgrades plus the government money they took for fiber. They would want well over $10 billion for it. VZ can't afford that since they would need to go into more debt to get that much money. Nobody will finance that since VZ is well over $100 billion in debt already. If it happens Brightspeed buys VZ wireline and VZ will become a wireless only company like T-Mobile.
Pastey
Hans should have a friendly weekend chat with Maguire and Mudge outside of the Board and exec team, much like Chuck Lee and Ivan Seidenberg played golf one Saturday and shook hands on what would become Verizon. Then, came back and told everyone else.
Brightsepeed is the rescue vehicle.
Just saying.
The wise move to protect the shareholders, customers, and employees is to purchase Brightspeed and let their executives run the whole company.
Verizon has become such a managerial mess since "2.0" - which did need to happen - but the resulting management team and culture were not capable of leading or managing the changes while at the same time birthing a new technology with little market depth apart from government contracts.
Their woke DEI put the D I E in customer care, bread & butter network infrastructure, and marketing. This has resulted in making Verizon services the most expensive for the least service when compared to T Mobile and AT&T. The stock price has been down deep and the future does not look especially rosy.
The best option for the least money invested is to buy Brightspeed and put them in charge of all operations. They know the markets, and the infrastructure required and have the talent that once helped build a leading-edge fiber and wireless network and strong customer base with repeating cash flows.
It is time for Hans, Blackrock, and State Street to wake up and smell the coffee before it becomes too late to turn this around.
VZ only buys businesses that will fail and do not mesh with the rest of the company. It’s more likely they will acquire a furnitures store chain or meat distribution plant than a wireline telecom company.
Brightspeed was made to be sold to Verizon. It probably depends on how successful they are with their fiber expansion.
@wji Brightspeed was founded as a wireline company. They do nothing else.
@ATD. And neither does brightspeed. Lol. You eat paste
It will be Brightspeed buying VZ wireline (backed by Apollo). VZ has no interest in wireline.
Unless they are contiguous, profitable centers, ain't gonna happen.
True
You mean brightspeed buys verizon or verizon buys brightspeed?
All lies