Verizon Wins Reliability Award But Faces Wall Street Trouble

Verizon just earned bragging rights for having America's most reliable wireless network, yet the company may lose one of its most prestigious achievements: a 20-year spot on the Dow Jones Industrial Average.

It's an unusual situation that shows how success in one area doesn't guarantee success everywhere. As reported by Android Authority, Verizon topped RootMetrics' State of the Mobile Union rankings, winning awards for overall performance, network reliability, responsiveness, data speed, and video performance.

The problem is what's happening on Wall Street. Experts predict Verizon could be removed from the Dow in 2026 because its stock price has dropped to $39.24 per share—the lowest among all Dow companies. The Dow determines which companies belong based on share price, not company size, so cheap stocks become candidates for replacement.

Beyond the stock price issue, Verizon faces deeper business problems. The wireless market is mostly saturated, meaning most Americans already have phone service, so there's limited room for growth. The company is also losing customers to aggressive competitors like T-Mobile, which has been grabbing market share with promotions and better pricing strategies.

Ironically, Verizon offers some attractive perks to investors. The company pays a 7% dividend yield and has solid broadband growth. Yet Wall Street remains skeptical about the company's future prospects.

If Verizon gets dropped from the Dow, experts believe it would likely be replaced by Alphabet, Google's parent company. That swap would shift the Dow's focus more toward technology and advertising—sectors that better reflect what today's economy actually looks like.

The situation underscores a harsh reality for traditional telecom companies: having the best technology doesn't solve every problem. Verizon must compete against T-Mobile and AT&T while fighting the basic fact that most people already have wireless service. For everyday customers, the good news is Verizon's network is solid. For investors and analysts, the question remains: can Verizon turn things around before its Dow membership ends?

Source: Android Authority