In a market defined by volatility, shifting narratives, and rapid rotations between growth and value, Verizon Communications Inc. (VZ) stands out as one of the most dependable, long-term, safe-haven names available to investors, maintains Kenny Polcari, chief market strategist at SlateStone Wealth.
It will never be confused with a high-flying tech stock. But Verizon offers something arguably more valuable for those seeking stability: predictable cash flows, strong dividend income, and a business model built on essential services that consumers and enterprises simply cannot live without.
Verizon operates like a modern utility. Wireless connectivity has become as essential as electricity, and that dependence creates a durable revenue stream insulated from economic cycles. Whether the economy is expanding, slowing, or treading water, people still pay their phone bill. That consistency allows Verizon to generate significant free cash flow, support its balance sheet, and maintain one of the most attractive dividends in the S&P 500 Index (^SPX).
For long-term investors, it’s all about the dividend. Verizon’s yield regularly sits in the 6%–7% range, supported by healthy cash coverage and nearly two decades of annual increases. When reinvested, this dividend becomes a compounding engine — steadily building position size and total return even in years when the stock price barely moves.
Over the long term, reinvested dividends can represent the majority of the investment’s total return, transforming a slow-growing stock into a reliable wealth-builder. Verizon also offers defensive characteristics that tend to shine during periods of uncertainty.
The company’s scale, network reach, and deep enterprise relationships create high barriers to entry, while the essential nature of wireless communication keeps subscriber churn low and cash flows steady. In choppy markets, that combination of yield, predictability, and resilience becomes highly attractive.
In short, Verizon is not a growth story — it’s a stability story. For investors seeking a long-term safe haven with dependable income and low volatility, Verizon checks all the boxes.
Recommended Action: Buy VZ.
