Historical Valuation
Verizon Communications Inc (VZ) is now in the Undervalued zone, suggesting that its current forward PE ratio of 8.59 is considered Undervalued compared with the five-year average of 9.03. The fair price of Verizon Communications Inc (VZ) is between 43.29 to 51.08 according to relative valuation methord. Compared to the current price of 40.68 USD , Verizon Communications Inc is Undervalued By 6.04%.
Relative Value
Fair Zone
43.29-51.08
Current Price：40.68
6.04%
Undervalued
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
Verizon Communications Inc (VZ) has a current Price-to-Book (P/B) ratio of 1.63. Compared to its 3-year average P/B ratio of 1.73 , the current P/B ratio is approximately -5.93% higher. Relative to its 5-year average P/B ratio of 2.13, the current P/B ratio is about -23.63% higher. Verizon Communications Inc (VZ) has a Forward Free Cash Flow (FCF) yield of approximately 12.36%. Compared to its 3-year average FCF yield of 10.81%, the current FCF yield is approximately 14.39% lower. Relative to its 5-year average FCF yield of 10.13% , the current FCF yield is about 22.01% lower.
P/B
Median3y
1.73
Median5y
2.13
FCF Yield
Median3y
10.81
Median5y
10.13
Competitors Valuation Multiple
AI Analysis for VZ
The average P/S ratio for VZ competitors is 1.55, providing a benchmark for relative valuation. Verizon Communications Inc Corp (VZ.N) exhibits a P/S ratio of 1.22, which is -21.36% above the industry average. Given its robust revenue growth of 1.47%, this premium appears unsustainable.
Performance Decomposition
AI Analysis for VZ
1Y
3Y
5Y
Market capitalization of VZ increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.
The secondary factor is the Unknown, contributed 0.00%to the performance.
Overall, the performance of VZ in the past 1 year is driven by Unknown.
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Frequently Asked Questions
Is VZ currently overvalued or undervalued?
Verizon Communications Inc (VZ) is now in the Undervalued zone, suggesting that its current forward PE ratio of 8.59 is considered Undervalued compared with the five-year average of 9.03. The fair price of Verizon Communications Inc (VZ) is between 43.29 to 51.08 according to relative valuation methord. Compared to the current price of 40.68 USD , Verizon Communications Inc is Undervalued By 6.04% .
What is Verizon Communications Inc (VZ) fair value?
VZ's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Verizon Communications Inc (VZ) is between 43.29 to 51.08 according to relative valuation methord.
How does VZ's valuation metrics compare to the industry average?
The average P/S ratio for VZ's competitors is 1.55, providing a benchmark for relative valuation. Verizon Communications Inc Corp (VZ) exhibits a P/S ratio of 1.22, which is -21.36% above the industry average. Given its robust revenue growth of 1.47%, this premium appears unsustainable.
What is the current P/B ratio for Verizon Communications Inc (VZ) as of Jan 09 2026?
As of Jan 09 2026, Verizon Communications Inc (VZ) has a P/B ratio of 1.63. This indicates that the market values VZ at 1.63 times its book value.
What is the current FCF Yield for Verizon Communications Inc (VZ) as of Jan 09 2026?
As of Jan 09 2026, Verizon Communications Inc (VZ) has a FCF Yield of 12.36%. This means that for every dollar of Verizon Communications Inc’s market capitalization, the company generates 12.36 cents in free cash flow.
What is the current Forward P/E ratio for Verizon Communications Inc (VZ) as of Jan 09 2026?
As of Jan 09 2026, Verizon Communications Inc (VZ) has a Forward P/E ratio of 8.59. This means the market is willing to pay $8.59 for every dollar of Verizon Communications Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Verizon Communications Inc (VZ) as of Jan 09 2026?
As of Jan 09 2026, Verizon Communications Inc (VZ) has a Forward P/S ratio of 1.22. This means the market is valuing VZ at $1.22 for every dollar of expected revenue over the next 12 months.