Anyone who has used the internet with any regularity knows that there is a difference between upload and download speeds, and generally, upload is a lot slower. So for communications stock Verizon (VZ) to announce a new record high in upload speeds, that should bode well for anyone who contributes a lot of content to the internet. The news was not good enough for investors, though, who sent shares down over 2% in Wednesday afternoon’s trading.
The new record was set on a 5G connection, not surprisingly, and it managed to clear 480 Mbps using a slate of “advanced 5G technologies,” reports noted. Verizon, backed up by Qualcomm (QCOM) and Ericsson (ERIC), used a basket of technologies to clear that barrier. A combination of high-speed fiber, edge computing, and proper connection management all contributed to allowing the upload to reach those speeds.
While this might just sound like a nice-to-have, Verizon assures us there are several economic applications to high upload speeds. For instance, faster uplink speeds allow for artificial intelligence (AI) platforms to better process real-time video, which in turn allows it to better understand what it sees therein and respond accordingly. Improvements in accuracy, and responsiveness, also come with better upload speeds, reports note
Video Calling
Video calls were a big deal back during the pandemic, and they still have plenty of application now. A new move between Verizon and rival AT&T (T) will allow for video calling by satellite, reports note. Between these two, who are both working with AST SpaceMobile (ASTS) to develop the necessary technology, both now have a satellite in place to handle satellite to cellular video calling.
Early trials proved successful, and with these, two mobile devices successfully connected while one used a satellite connection and the other used AT&T or Verizon’s mobile network. Download rates reached as high as 21 Mbit / s, which may not sound like that much, but for a satellite connection, it is surprisingly solid.
Is Verizon Stock a Good Buy Right Now?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on VZ stock based on six Buys and 10 Holds assigned in the past three months, as indicated by the graphic below. After a 14.76% rally in its share price over the past year, the average VZ price target of $46.04 per share implies 7.32% upside potential.
