Is Verizon Communications Inc. (VZ) Stock Undervalued or Overvalued?

Trailing-twelve-month multiples vs Communication Services sector peers in our coverage

Insufficient Data TTM fundamentals · sector averages from covered peers

We don’t have enough peer data to compute a reliable sector comparison for VZ right now.

VZ has negative trailing-twelve-month earnings, so a P/E ratio isn't meaningful — we compare on price-to-sales instead.

The Numbers

P/E (TTM)

Sector avg: 21.7×

P/S (TTM)

Sector avg: 5.6×

Market Cap

$183.73B

EPS (TTM): —

Revenue (TTM)

Net income: —

Communication Services Peer Comparison

How VZ's multiples stack up against sector peers we cover. Click any peer for its own valuation breakdown.

Stock Price P/E (TTM)
VZ This page $43.57
GOOGL $346.74 32.1×
META $645.98 27.5×
NFLX $68.93 27.2×
DIS $97.66 14.4×
T $21.80 7.2×

Is the Multiple Justified?

July 12, 2026

Verizon Communications reported negative TTM earnings, with a P/S ratio not available. Despite this, the company demonstrated strong Q1 2025 financial performance, with improved EPS and revenue, driven by innovative product offerings and a focus on growing connections. Verizon achieved industry-leading wireless service revenue growth in Q1 2025 and saw its highest quarterly wireless subscriber additions in six years during Q4 2025 due to aggressive promotions. The company is prioritizing wireless and broadband convergence, expanding its fiber footprint. For 2026, Verizon forecasts annual profit and free cash flow above market expectations, projecting 750,000 to 1 million new retail postpaid phone subscribers. However, the telecom industry faces ongoing pricing pressure and slowing revenue growth despite 5G expansion.

Frequently Asked Questions

Is VZ overvalued or undervalued?
We don't have enough peer data to compute a sector comparison for VZ right now.
What does the P/E ratio tell you?
Price-to-earnings compares a company's share price with its per-share profits. A higher multiple means investors pay more per dollar of earnings — often for faster expected growth — while a lower one can signal slower growth or higher perceived risk.
Why compare against the sector average?
Valuation multiples vary structurally between industries — software typically trades richer than banks or energy. Comparing VZ with its own Communication Services peers is more informative than comparing against the whole market.
Is a cheap stock automatically a good buy?
No. A discount can be justified by weak growth or elevated risk (a "value trap"), and a premium can be earned by quality and consistency. Valuation is one input — pair it with the fundamentals and the AI context on this page.

Methodology

Multiples are computed from trailing-twelve-month fundamentals (from company filings) and the latest share price: P/E is price ÷ diluted EPS, and P/S is market cap ÷ revenue. Sector averages use the Communication Services names in our 50-stock coverage with positive earnings — a deliberately like-for-like, if imperfect, benchmark.

Stocks with negative trailing earnings are compared on price-to-sales instead. Multiples update with prices and fundamentals; AI context refreshes weekly.

Not Financial Advice

This page is for education and information only. Indicators are mechanical calculations, AI commentary can contain errors, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a qualified financial advisor. See our full disclaimer.

Keep Digging on VZ

Same question, Communication Services peers