Verizon Communications Inc. offers communications, information, and entertainment products and services to consumers, businesses, and governmental entities worldwide.
Solid track record established dividend payer.
Share Price & News
How has Verizon Communications's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: VZ has not had significant price volatility in the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: VZ exceeded the US Telecom industry which returned -5.5% over the past year.
Return vs Market: VZ exceeded the US Market which returned -10% over the past year.
Price Volatility Vs. Market
How volatile is Verizon Communications's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St4 Days Left Until Verizon Communications Inc. (NYSE:VZ) Trades Ex-Dividend
3 weeks ago | Simply Wall StRead This Before Buying Verizon Communications Inc. (NYSE:VZ) For Its Dividend
Is Verizon Communications undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: VZ ($56.98) is trading below our estimate of fair value ($112.13)
Significantly Below Fair Value: VZ is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: VZ is good value based on its PE Ratio (12.2x) compared to the Telecom industry average (15.5x).
PE vs Market: VZ is good value based on its PE Ratio (12.2x) compared to the US market (13x).
Price to Earnings Growth Ratio
PEG Ratio: VZ is poor value based on its PEG Ratio (4.6x)
Price to Book Ratio
PB vs Industry: VZ is overvalued based on its PB Ratio (3.8x) compared to the US Telecom industry average (1x).
How is Verizon Communications forecast to perform in the next 1 to 3 years based on estimates from 25 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: VZ's forecast earnings growth (2.7% per year) is above the savings rate (1.7%).
Earnings vs Market: VZ's earnings (2.7% per year) are forecast to grow slower than the US market (13.3% per year).
High Growth Earnings: VZ's earnings are forecast to grow, but not significantly.
Revenue vs Market: VZ's revenue (1% per year) is forecast to grow slower than the US market (7% per year).
High Growth Revenue: VZ's revenue (1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: VZ's Return on Equity is forecast to be high in 3 years time (26.4%)
How has Verizon Communications performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: VZ has high quality earnings.
Growing Profit Margin: VZ's current net profit margins (14.6%) are higher than last year (11.9%).
Past Earnings Growth Analysis
Earnings Trend: VZ's earnings have grown by 13.4% per year over the past 5 years.
Accelerating Growth: VZ's earnings growth over the past year (24.1%) exceeds its 5-year average (13.4% per year).
Earnings vs Industry: VZ earnings growth over the past year (24.1%) exceeded the Telecom industry 4.8%.
Return on Equity
High ROE: Whilst VZ's Return on Equity (31.49%) is high, this metric is skewed due to their high level of debt.
How is Verizon Communications's financial position?
Financial Position Analysis
Short Term Liabilities: VZ's short term assets ($37.5B) do not cover its short term liabilities ($44.9B).
Long Term Liabilities: VZ's short term assets ($37.5B) do not cover its long term liabilities ($184.0B).
Debt to Equity History and Analysis
Debt Level: VZ's debt to equity ratio (176.9%) is considered high.
Reducing Debt: VZ's debt to equity ratio has reduced from 831.7% to 176.9% over the past 5 years.
Debt Coverage: VZ's debt is well covered by operating cash flow (32.2%).
Interest Coverage: VZ's interest payments on its debt are well covered by EBIT (6.8x coverage).
What is Verizon Communications's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: VZ's dividend (4.32%) is higher than the bottom 25% of dividend payers in the US market (1.93%).
High Dividend: VZ's dividend (4.32%) is low compared to the top 25% of dividend payers in the US market (5.46%).
Stability and Growth of Payments
Stable Dividend: VZ's dividends per share have been stable in the past 10 years.
Growing Dividend: VZ's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (52.3%), VZ's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: VZ's dividends in 3 years are forecast to be covered by earnings (50.5% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Hans Vestberg (54yo)
Mr. Hans E. Vestberg has been Chief Executive Officer at Verizon Communications Inc. since August 01, 2018 and served as its Executive Chairman until January 2019. He has been the Chairman of the Board at ...
CEO Compensation Analysis
Compensation vs Market: Hans's total compensation ($USD18.10M) is above average for companies of similar size in the US market ($USD11.79M).
Compensation vs Earnings: Hans's compensation has been consistent with company performance over the past year.
|Chairman & CEO||1.67yrs||US$18.10m||0.0011% $2.7m|
|Executive VP & CFO||3.42yrs||US$8.45m||0.0016% $3.8m|
|Executive VP & Group CEO of Verizon Business Group||1.25yrs||US$7.71m||0.0014% $3.2m|
|Executive VP & Group CEO of Verizon Consumer Group||1.25yrs||US$8.95m||0.0013% $3.0m|
|Executive VP & Group CEO of Verizon Media Group||1.25yrs||US$7.89m||no data|
|Executive VP & CTO||2.25yrs||no data||0.00064% $1.5m|
|Chief Technology Officer||0.25yr||no data||no data|
|Executive VP & Chief Administrative||1.25yrs||no data||0.00093% $2.2m|
|Senior Vice President of Investor Relations||no data||no data||no data|
|Senior VP & Chief Communications Officer||6.83yrs||no data||no data|
Experienced Management: VZ's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.
|Chairman & CEO||1.67yrs||US$18.10m||0.0011% $2.7m|
|Independent Director||1.58yrs||US$329.00k||no data|
|Lead Director||1.08yrs||US$361.17k||0.000070% $165.1k|
|Independent Director||6.33yrs||US$330.00k||no data|
|Independent Director||0.92yr||US$370.97k||no data|
|Independent Director||10.08yrs||US$304.00k||no data|
|Independent Director||5.17yrs||US$320.67k||0.000010% $23.6k|
|Independent Director||8.33yrs||US$310.00k||no data|
|Independent Director||7.33yrs||US$310.00k||no data|
|Independent Director||4.58yrs||US$340.00k||no data|
Experienced Board: VZ's board of directors are considered experienced (4.9 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: VZ insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Verizon Communications Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Verizon Communications Inc.
- Ticker: VZ
- Exchange: NYSE
- Founded: 1983
- Industry: Integrated Telecommunication Services
- Sector: Telecom
- Market Cap: US$235.897b
- Shares outstanding: 4.14b
- Website: https://www.verizon.com
Number of Employees
- Verizon Communications Inc.
- 1095 Avenue of the Americas
- New York
- New York
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|VZ||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Nov 1983|
|VZ *||BMV (Bolsa Mexicana de Valores)||Yes||Common Stock||MX||MXN||Nov 1983|
|0Q1S||LSE (London Stock Exchange)||Yes||Common Stock||GB||USD||Nov 1983|
|VZ||SWX (SIX Swiss Exchange)||Yes||Common Stock||CH||CHF||Nov 1983|
|BAC||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Nov 1983|
|BAC||XTRA (XETRA Trading Platform)||Yes||Common Stock||DE||EUR||Nov 1983|
|VZ||SNSE (Santiago Stock Exchange)||Yes||Common Stock||CL||USD||Nov 1983|
|VZ||ETLX (Eurotlx)||Yes||Common Stock||IT||EUR||Nov 1983|
|VZ||WBAG (Wiener Boerse AG)||Yes||Common Stock||AT||EUR||Nov 1983|
|VZ||BVL (Bolsa de Valores de Lima)||Yes||Common Stock||PE||USD||Nov 1983|
|VERIZ||ENXTBR (Euronext Brussels)||Yes||Common Stock||BE||USD||Nov 1983|
|VZ||BASE (Buenos Aires Stock Exchange)||CEDEAR EACH REPR 1/2 COM USD0.10||AR||ARS||Feb 2011|
|VERZ34||BOVESPA (Bolsa de Valores de Sao Paulo)||BDR EACH REPR 1 COM SHS||BR||BRL||Aug 2012|
Verizon Communications Inc. offers communications, information, and entertainment products and services to consumers, businesses, and governmental entities worldwide. Its Consumer segment provides postpaid and prepaid service plans; Internet access on notebook computers and tablets; wireless equipment, including smartphones and other handsets; and wireless-enabled Internet devices, such as tablets, laptop computers and netbooks, and other wireless-enabled connected devices, such as smart watches and other wearables. It also provides residential fixed connectivity solutions, including Internet, video, and voice services; and sells network access to mobile virtual network operators. As of December 31, 2019, it had approximately 95 million wireless retail connections, 6 million broadband connections, and 4 million Fios video connections. The company's Business segment provides network connectivity products, including private networking, private cloud connectivity, virtual and software defined networking, and Internet access services; and Internet protocol-based voice services, unified communications and collaboration tools, and customer contact center solutions. It also offers a suite of management and data security services; domestic and global voice and data solutions, including voice calling, messaging services, conferencing, contact center solutions, and private line and data access networks; customer premises equipment; installation, maintenance, and site services; and IoT products and services. This segment had 25 million wireless retail postpaid connections and 489 thousand broadband connections. The company has strategic partnership with HERE Technologies and Dignitas; and Emory Healthcare to develop and test 5G Ultra Wideband-enabled use cases. The company was formerly known as Bell Atlantic Corporation and changed its name to Verizon Communications Inc. in June 2000. Verizon Communications Inc. was founded in 1983 and is headquartered in New York, New York.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/04/08 06:26|
|End of Day Share Price||2020/04/07 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.