New York, Feb 23, 2026, 18:35 EST — After-hours
- Verizon shares were up about 0.9% in late trading.
- The company disclosed it closed euro and sterling junior subordinated note sales due 2056.
- Investors’ next checkpoint: CFO Tony Skiadas at a Barclays conference on Tuesday morning.
Verizon Communications Inc shares were up about 0.9% at $49.68 in late trading on Monday, after moving between $49.10 and $50.47 earlier in the day.
The timing matters because Verizon is still a big borrower in a rate-sensitive market, and investors have been quick to reward anything that looks like steadier funding and fewer surprises on leverage.
Hybrid-style deals can also intersect with shareholder returns. They sit in the middle: not common stock, not plain senior debt, and they come with strings.
A regulatory filing showed Verizon closed the sale of €2.25 billion of 4.2462% fixed-to-fixed rate junior subordinated notes due 2056 and £600 million of 5.7427% fixed-to-fixed rate junior subordinated notes due 2056. The buyers listed in the filing included Barclays, Merrill Lynch International and Citigroup Global Markets Limited, among others. (SEC)
In the prospectus for the euro notes, Verizon said it expects to use net proceeds, along with proceeds from the sterling sale, “for general corporate purposes,” which may include repaying outstanding debt. The same document says Verizon can defer interest payments for up to 10 consecutive years per occasion, and it flags limits on dividends and other payments during a deferral period. (Stock Titan)
For investors, the fine print is the point: rating firms can give “equity credit” to hybrids when features like subordination and coupon deferral allow a company to conserve cash in a stress scenario. That can make the balance sheet look less stretched than if the company issued straight senior debt. (Moodys)
Telecom stocks broadly held up on Monday even as parts of the wider market were weaker. T-Mobile rose 2.1% and AT&T gained 1.9% in the regular session, MarketWatch data showed. (MarketWatch)
Verizon has told investors it plans to return cash while it tries to lower leverage. In a January filing, the company said it aims to return about $55 billion through the end of 2028 via dividends and buybacks, and it authorized up to $25 billion of share repurchases, with an expectation to repurchase at least $3 billion in 2026. (SEC)
But hybrids are not free money. If funding conditions tighten, telecom credit spreads can widen quickly, and Verizon still has to defend subscriber trends against aggressive promotions from rivals. Any stumble in wireless performance can change the mood fast.
The next near-term catalyst is Tuesday. Verizon said CFO Tony Skiadas is scheduled to speak at the Barclays Communications and Content Symposium on Feb. 24 at 8:00 a.m. ET, and investors will be listening for any updated color on capital returns, debt reduction and wireless competition. (Verizon)
