Verizon Communications Inc (VZ)
Communication Services · Integrated Telecommunication Services · US stock · S&P 500 component
$44.66
▼ -0.54 (1.19%)
Fair valueUndervalued
$53 +19.0% to fair value
$27fair band $45–$64$80
Day's range
$43.56 – $45.08
52-week range
$38.39 – $51.68
About Verizon Communications Inc
Verizon is a US telecommunications company that provides wireless, broadband and network services. Consumers use it for mobile phone plans and home internet, including fibre service under the Fios name, while businesses and government agencies use it for mobile, fixed and managed network services. It owns and operates a large wireless network in the United States, and its business is organised into consumer and business segments.
Most revenue comes from recurring monthly service charges, supplemented by the sale of phones and other devices. Revenue was $138.9 billion over the last twelve months, with growth of 0.3% a year over the last three years. The operating margin is 20.5%, and the business earns a profit of 8% on the capital invested in it. Net debt is 3.4 times EBITDA. The dividend yield is 6.3%. On the site's X-Ray Score it receives 49 out of 100.
Price chart
52-wk range $38.39 – $51.68Volume 51,071,223Daily, split-adjusted
Vitals
Market cap$186.3B
52-week range$38.39 – $51.68
Volume (last day)51,071,223
P/E (TTM)11.3
EBIT / EV yield8.1%
Free-cash-flow yield–
Dividend yield6.3%
Revenue (TTM)$138.9B
Net income (TTM)$16.6B
Operating margin20.5%
Return on capital8.1%
Debt incl. leases$165.2B
Cash & securities$1.8B
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies that hold large long-term investments). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$53middle half of models $44 – $55
Undervalued
+19.0% to fair value
Average of the 8 valuation models that pass our checks: multiples, discounted cash flow, dividend discount and earnings power value. A model more than 100% above or 60% below the price is left out as unrealistic. Model uncertainty is Medium, based on how far apart the models are. Undervalued or Overvalued means the gap to fair value is more than 17.5%.
Price $45
Undervalued < $45Fair $45 – $64Overvalued > $64
P/E multiple
$44
P/B multiple
$46
P/S multiple
$47
EV/EBITDA multiple
$47
EV/EBIT multiple
$43
EV/revenue multiple
$43
10-year DCF, EBITDA exit · not used
$105
5-year DCF, EBITDA exit
$78
10-year DCF, revenue exit · not used
$105
5-year DCF, revenue exit
$77
10-year DCF, growth exit · not used
$152
5-year DCF, growth exit · not used
$131
Dividend discount, stable · not used
$124
Dividend discount, multi-stage · not used
$181
Earnings power value · not used
$126
Growth the price implies
0.8%/yr
A model estimate, not a price target or recommendation. Inputs: risk-free 4.96%, equity risk premium 4.30% (Damodaran). How it works.
What this means
Weak business, but the price is low
Our models put fair value above today's price, but models can be wrong, so check the business first. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Communication Services peers. Open a lens to see the numbers behind it.
Strong: 70 to 100Fair: 50 to 69Weak: under 50No score: not enough data
Valuation
Strong
74/100
Cheap against its sector on earnings and cash flow.
See the numbers →
EBIT / EV yield8.1%
Fair value vs price1.2×
Growth
Weak
23/100
Growing slower than most of its sector.
See the numbers →
Revenue growth (3y)0.3%
EPS growth (3y)-7.1%
Growth consistency80%
Profitability
Fair
52/100
Returns on capital are typical for its sector.
See the numbers →
Return on invested capital8.1%
Operating margin20.5%
Financial health
Weak
23/100
Balance sheet is more stretched than most peers.
See the numbers →
Piotroski F-Score4 / 9
Net debt / EBITDA3.4×
Interest cover3.9×
Dividends
Strong
86/100
Dividend is high and well covered by cash flow.
See the numbers →
Dividend yield6.3%
Dividend growth2.0%
Quarterly results: last 6 quarters
+1.5%
Mar '25
+5.2%
Jun '25
+1.5%
Sep '25
+2.0%
Dec '25
+2.9%
Mar '26
-0.7%
Jun '26
Revenue against the same quarter a year earlier. Latest quarter revenue $34.3B, diluted EPS $0.92.
Compare with peers
T At&T Inc.51Other Integrated Telecommunication Services companies by X-Ray Score.
SWOT analysis: Verizon Communications Inc
Strengthsinside the company
- No standout strength in the figures we track.
Weaknessesinside the company
- Earnings per share have declined 7.1% a year over three years.
- Altman Z-score of 1.2 is in the zone linked with financial distress in past studies.
Opportunitiesvaluation and setting
- Trades at 11.2x earnings, 45% below the 20.2x median of sector peers.
- The price is 19% below our fair value estimate, with the gap larger than the margin we allow for error.
- Our Market Compass rates the backdrop for Communication Services as favourable.
Threatsvaluation and setting
- No specific threat is flagged by our checks; general market and interest-rate risk still applies.
Written by fixed rules from the figures on this page and the peer table below: filings, our fair value, the sector climate and the price trend. It summarises the data, it is not a forecast or advice.
Compare VZ with peers and sector
Medians of 17 Communication Services peers and of 17 Communication Services stocks in our universe.
Largest peers (X-Ray Score): GOOG 50, META 58, NFLX 57, CCZ 50, DIS 56, TMUS 69.
| Metric | VZ | Peers | Sector |
|---|---|---|---|
| X-Ray Score (out of 100) | 49 | 52 | 52 |
| Valuation | 74 | 47 | 47 |
| Growth | 23 | 55 | 55 |
| Profitability | 52 | 54 | 54 |
| Financial health | 23 | 52 | 52 |
| Dividends | 86 | 46 | 46 |
Sector leaders: highest X-Ray Score in Communication Services
VZ ranks #13 of 18 in Communication Services by X-Ray Score. A higher score is stronger on our five pillars; it is a ranking of facts, not a forecast.
Green means better than the peer median, red worse (only where a higher or lower figure is clearly better). A dash means too few companies report the figure. P/E, EV/EBITDA and price changes are not graded: a different level is not good or bad by itself.
Factor ratings for VZ
Each factor is rated by where VZ stands among the 18 Communication Services stocks in our universe.
Rating against the sector
Goodthe top third of these stocks
Averagethe middle third of these stocks
Badthe bottom third of these stocks
"Beats" is the share of those stocks it is ahead of.
Against its own history
The last columns set today's figure against the company's own median of its last five financial years:
▲ Betterbetter than its usual level
▼ Worseworse than its usual level
≈ In linewithin its usual range
For valuation factors Good means cheaper than most of the sector and Better means cheaper than usual for this company, which is not the same as a bargain.
In total: 5 Good · 5 Average · 8 Bad of 18
Growth: 0 · 0 · 3
Profitability: 0 · 3 · 1
Financial strength: 0 · 0 · 4
Valuation: 4 · 0 · 0
Cash flow: 1 · 2 · 0
| Factor | VZ | Rating | Sector median | Own 5-year median | Against own history |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth, 3 years a year | +0.3% | Bad beats 8% | +5.6% | – | – |
| Revenue growth, last year | +2.5% | Bad beats 25% | +7.7% | +2.4% | ≈ In line |
| EPS growth, 3 years a year | −7.1% | Bad beats 23% | +6.6% | – | – |
| Profitability | |||||
| Operating margin | 20.5% | Average beats 64% | 19.3% | 21.3% | ≈ In line |
| Net margin | 12.0% | Average beats 58% | 10.6% | 13.3% | ▼ Worse |
| Return on invested capital | 8.1% | Bad beats 25% | 10.4% | – | – |
| Return on equity | 15.8% | Average beats 42% | 17.9% | 17.8% | ▼ Worse |
| Financial strength | |||||
| Net debt / EBITDA | 3.4x | Bad beats 22% | 1.4x | 3.0x | ▼ Worse |
| Interest cover | 3.9x | Bad beats 28% | 11.8x | 4.4x | ≈ In line |
| Current ratio | 0.60 | Bad beats 8% | 1.10 | 0.75 | ▼ Worse |
| Piotroski F-score | 4 / 9 | Bad beats 14% | 6 / 9 | – | – |
| Valuation | |||||
| P/E ratio | 11.2x | Good beats 79% | 19.9x | 9.5x | ▼ Worse |
| Price / book | 1.8x | Good beats 86% | 2.7x | 1.7x | ≈ In line |
| Price / sales | 1.3x | Good beats 81% | 2.0x | 1.2x | ≈ In line |
| EV / EBITDA | 7.4x | Good beats 79% | 13.3x | 6.6x | ≈ In line |
| Cash flow | |||||
| Free cash flow margin | 27.9% | Good beats 78% | 15.7% | 27.4% | ≈ In line |
| Cash from operations / net income | 2.34 | Average beats 57% | 1.98 | 2.06 | ▲ Better |
| Accruals (lower is better) | −5.4% | Average beats 47% | −5.8% | – | – |
These ratings compare companies with each other and describe the past; they are not a forecast, a recommendation or part of the X-Ray Score. A factor is left out when its data is missing or meaningless (for example a P/E on negative earnings). A dash in the history columns means fewer than three usable years.
Fundamentals checklist
● 2 Good · ● 4 Average · ● 7 BadCash quality
Earnings backed by cashAverage
Risk models
Altman Z''Average
Piotroski F-ScoreBad
Growth
EPS growth (3y)Bad
Revenue growth (3y)Bad
Growth consistencyAverage
Balance sheet
Current ratioBad
Net debt / EBITDABad
Interest coverBad
Valuation
Fair value vs priceGood
EBIT / EV yieldGood
Profitability
Return on invested capitalBad
Operating marginAverage
Each check is graded against the company's sector, not a fixed number. Checklist score 40/100.
Financials
| FY21 | FY22 | FY23 | FY24 | FY25 | |
|---|---|---|---|---|---|
| Revenue | $133.6B | $136.8B | $134.0B | $134.8B | $138.2B |
| Operating income | $32.4B | $30.5B | $22.9B | $28.7B | $29.3B |
| Net income | $22.6B | $21.7B | $12.1B | $17.9B | $17.6B |
| Operating cash flow | $39.5B | $37.1B | $37.5B | $36.9B | $37.1B |
| Operating margin | 24.3% | 22.3% | 17.1% | 21.3% | 21.2% |
| Free cash flow | – | – | – | – | – |
| Diluted EPS | $5.32 | $5.06 | $2.75 | $4.14 | $4.06 |
Fiscal years, from SEC filings.
Technical summary
Daily
Bearish
3 bullish · 4 neutral · 9 bearish
Weekly
Neutral
6 bullish · 1 neutral · 5 bearish
Monthly
Bullish
5 bullish · 1 neutral · 2 bearish
Moving averages (daily)
| SMA 10 | 44.20 | Bullish |
| EMA 10 | 44.47 | Bullish |
| SMA 20 | 44.59 | Bullish |
| EMA 20 | 44.89 | Bearish |
| SMA 50 | 46.97 | Bearish |
| EMA 50 | 45.77 | Bearish |
| SMA 100 | 45.60 | Bearish |
| EMA 100 | 45.75 | Bearish |
| SMA 200 | 45.35 | Bearish |
| EMA 200 | 44.73 | Bearish |
Oscillators (daily)
| RSI (14) | 46.95 | Neutral |
| MACD (12, 26) | -0.66 | Bearish |
| Momentum (12) | -0.91 | Bearish |
| Stochastic %K (14) | 76.11 | Neutral |
| Williams %R (14) | -23.89 | Neutral |
| CCI (20) | -10.94 | Neutral |
Pivot points (classic, last session)
S3 42.27 | S2 42.91 | S1 43.79 | Pivot 44.43 | R1 45.31 | R2 45.95 | R3 46.82 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
Dividends
Paid, last 12 months
2.81 USD
Yield on today's price
6.30%
Frequency
Quarterly
Next ex-dividend date
Not announced
| Ex-dividend date | Amount per share |
|---|---|
| 0.7080 | |
| 0.7080 | |
| 0.7080 | |
| 0.6900 | |
| 0.6900 | |
| 0.6780 | |
| 0.6780 | |
| 0.6780 | |
| 0.6780 | |
| 0.6650 | |
| 0.6650 | |
| 0.6650 |
Ex-dividend dates and amounts from EODHD. Shown as declared, before tax.
ETFs that hold VZ
| ETF | Share of the fund |
|---|---|
| IYZ iShares U.S. Telecommunications | 10.97% |
| FDL First Trust Morningstar Dividend Leade... | 7.17% |
| HDV iShares Core High Dividend | 5.51% |
| GQGU The Advisors’ Inner Circle Fund III | 5.31% |
| FCOM Fidelity MSCI Communication Services I... | 4.75% |
| VOX Vanguard Communication Services | 4.16% |
| XLC Communication Services Select Sector S... | 4.14% |
| SCHD Schwab U.S. Dividend Equity | 3.65% |
The eight funds with the largest weight in VZ among the ETFs we cover, from each fund's latest SEC Form N-PORT (quarter-end positions, so they can be months old). All ETFs.
VZ stock splits
VZ has split its stock 2 times since 1990. The latest was a 2-for-1 split on 30 Jun 1998.
Full VZ stock split history →VZ SEC filings
8-KSEC EDGAR
Director or officer change
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Director or officer change
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Regulation FD disclosure
8-KSEC EDGAR
Other events
8-KSEC EDGAR
Other events
8-KSEC EDGAR
Director or officer change; Shareholder vote results
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.