Verizon Communications (VZ)
Market Price (4/29/2026): $47.14 | Market Cap: $199.4 BilSector: Communication Services | Industry: Integrated Telecommunication Services
Verizon Communications (VZ)
Market Price (4/29/2026): $47.14Market Cap: $199.4 BilSector: Communication ServicesIndustry: Integrated Telecommunication Services
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 14%, Dividend Yield is 5.7%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 10%, FCF Yield is 9.8% Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 27%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 14%, CFO LTM is 37 Bil, FCF LTM is 20 Bil Low stock price volatilityVol 12M is 22% Megatrend and thematic driversMegatrends include 5G & Advanced Connectivity, and Artificial Intelligence. Themes include Telecom Infrastructure, Wireless Services, Show more. | Weak multi-year price returns2Y Excs Rtn is -5.2%, 3Y Excs Rtn is -18% | Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 81% Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is 0.3% Key risksVZ key risks include [1] a substantial debt load nearing $146 billion that restricts financial flexibility and [2] slow growth due to a plateauing customer base and declines in its legacy wireline and public sector segments. |
| Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 14%, Dividend Yield is 5.7%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 10%, FCF Yield is 9.8% |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 27%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 14%, CFO LTM is 37 Bil, FCF LTM is 20 Bil |
| Low stock price volatilityVol 12M is 22% |
| Megatrend and thematic driversMegatrends include 5G & Advanced Connectivity, and Artificial Intelligence. Themes include Telecom Infrastructure, Wireless Services, Show more. |
| Weak multi-year price returns2Y Excs Rtn is -5.2%, 3Y Excs Rtn is -18% |
| Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 81% |
| Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is 0.3% |
| Key risksVZ key risks include [1] a substantial debt load nearing $146 billion that restricts financial flexibility and [2] slow growth due to a plateauing customer base and declines in its legacy wireline and public sector segments. |
Qualitative Assessment
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1. Exceptional Q1 2026 Financial Performance and Upgraded Outlook: Verizon reported an adjusted Earnings Per Share (EPS) of $1.28 for the first quarter of 2026, surpassing analyst estimates of $1.21 by 5.79%. This strong financial performance was accompanied by the company raising its full-year 2026 adjusted EPS guidance to $4.95-$4.99, reflecting a 5.0% to 6.0% year-over-year growth. This upgrade exceeded previous analyst consensus and signaled accelerating momentum in Verizon's strategic transformation.
2. Significant Turnaround in Postpaid Phone Net Additions: Verizon achieved 55,000 total postpaid phone net additions in Q1 2026, marking its first positive first-quarter net additions since 2013. This notable improvement defied Wall Street's expectations, which had projected a loss of 88,000 users for the quarter. The company now anticipates full-year retail postpaid phone net additions to be in the upper half of its 750,000 to 1 million range, indicating healthier customer acquisition and retention.
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Stock Movement Drivers
Fundamental Drivers
The 19.8% change in VZ stock from 12/31/2025 to 4/28/2026 was primarily driven by a 38.4% change in the company's P/E Multiple.| (LTM values as of) | 12312025 | 4282026 | Change |
|---|---|---|---|
| Stock Price ($) | 39.44 | 47.24 | 19.8% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 137,491 | 138,191 | 0.5% |
| Net Income Margin (%) | 14.4% | 12.4% | -13.9% |
| P/E Multiple | 8.4 | 11.6 | 38.4% |
| Shares Outstanding (Mil) | 4,228 | 4,229 | 0.0% |
| Cumulative Contribution | 19.8% |
Market Drivers
12/31/2025 to 4/28/2026| Return | Correlation | |
|---|---|---|
| VZ | 19.8% | |
| Market (SPY) | 5.2% | -22.9% |
| Sector (XLC) | -1.4% | 5.2% |
Fundamental Drivers
The 12.9% change in VZ stock from 9/30/2025 to 4/28/2026 was primarily driven by a 19.7% change in the company's P/E Multiple.| (LTM values as of) | 9302025 | 4282026 | Change |
|---|---|---|---|
| Stock Price ($) | 41.84 | 47.24 | 12.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 137,000 | 138,191 | 0.9% |
| Net Income Margin (%) | 13.3% | 12.4% | -6.4% |
| P/E Multiple | 9.7 | 11.6 | 19.7% |
| Shares Outstanding (Mil) | 4,224 | 4,229 | -0.1% |
| Cumulative Contribution | 12.9% |
Market Drivers
9/30/2025 to 4/28/2026| Return | Correlation | |
|---|---|---|
| VZ | 12.9% | |
| Market (SPY) | 8.0% | -14.2% |
| Sector (XLC) | -1.6% | 13.0% |
Fundamental Drivers
The 12.9% change in VZ stock from 3/31/2025 to 4/28/2026 was primarily driven by a 15.3% change in the company's P/E Multiple.| (LTM values as of) | 3312025 | 4282026 | Change |
|---|---|---|---|
| Stock Price ($) | 41.83 | 47.24 | 12.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 134,788 | 138,191 | 2.5% |
| Net Income Margin (%) | 13.0% | 12.4% | -4.3% |
| P/E Multiple | 10.1 | 11.6 | 15.3% |
| Shares Outstanding (Mil) | 4,221 | 4,229 | -0.2% |
| Cumulative Contribution | 12.9% |
Market Drivers
3/31/2025 to 4/28/2026| Return | Correlation | |
|---|---|---|
| VZ | 12.9% | |
| Market (SPY) | 29.3% | 5.2% |
| Sector (XLC) | 21.5% | 20.7% |
Fundamental Drivers
The 51.1% change in VZ stock from 3/31/2023 to 4/28/2026 was primarily driven by a 88.1% change in the company's P/E Multiple.| (LTM values as of) | 3312023 | 4282026 | Change |
|---|---|---|---|
| Stock Price ($) | 31.26 | 47.24 | 51.1% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 136,835 | 138,191 | 1.0% |
| Net Income Margin (%) | 15.5% | 12.4% | -20.0% |
| P/E Multiple | 6.2 | 11.6 | 88.1% |
| Shares Outstanding (Mil) | 4,205 | 4,229 | -0.6% |
| Cumulative Contribution | 51.1% |
Market Drivers
3/31/2023 to 4/28/2026| Return | Correlation | |
|---|---|---|
| VZ | 51.1% | |
| Market (SPY) | 81.5% | 5.8% |
| Sector (XLC) | 106.3% | 18.7% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| VZ Return | -8% | -20% | 3% | 13% | 9% | 19% | 12% |
| Peers Return | 3% | -21% | -2% | 50% | -1% | -1% | 17% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 5% | 91% |
Monthly Win Rates [3] | |||||||
| VZ Win Rate | 42% | 50% | 58% | 58% | 50% | 75% | |
| Peers Win Rate | 52% | 38% | 55% | 60% | 52% | 45% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 50% | |
Max Drawdowns [4] | |||||||
| VZ Max Drawdown | -11% | -28% | -16% | 0% | -4% | -3% | |
| Peers Max Drawdown | -11% | -36% | -24% | -19% | -25% | -11% | |
| S&P 500 Max Drawdown | -1% | -25% | -1% | -2% | -15% | -7% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: T, TMUS, CMCSA, CHTR, LUMN. See VZ Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 4/28/2026 (YTD)
How Low Can It Go
| Event | VZ | S&P 500 |
|---|---|---|
| 2022 Inflation Shock | ||
| % Loss | -48.5% | -25.4% |
| % Gain to Breakeven | 94.1% | 34.1% |
| Time to Breakeven | Not Fully Recovered days | 464 days |
| 2020 Covid Pandemic | ||
| % Loss | -18.7% | -33.9% |
| % Gain to Breakeven | 22.9% | 51.3% |
| Time to Breakeven | 253 days | 148 days |
| 2018 Correction | ||
| % Loss | -21.5% | -19.8% |
| % Gain to Breakeven | 27.4% | 24.7% |
| Time to Breakeven | 199 days | 120 days |
| 2008 Global Financial Crisis | ||
| % Loss | -45.6% | -56.8% |
| % Gain to Breakeven | 83.7% | 131.3% |
| Time to Breakeven | 1,440 days | 1,480 days |
Compare to T, TMUS, CMCSA, CHTR, LUMN
In The Past
Verizon Communications's stock fell -48.5% during the 2022 Inflation Shock from a high on 5/10/2021. A -48.5% loss requires a 94.1% gain to breakeven.
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About Verizon Communications (VZ)
AI Analysis | Feedback
Here are a few brief analogies for Verizon Communications (VZ):
- Like a national electric utility, but instead of power, it delivers essential mobile and internet connectivity.
- Imagine T-Mobile combined with Comcast, offering both wireless and home internet/TV services.
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- Wireless Service Plans: Offers postpaid and prepaid mobile service plans for smartphones, tablets, and other connected devices.
- Wireless Equipment Sales: Sells wireless devices including smartphones, handsets, tablets, smartwatches, and other wireless-enabled devices.
- Residential Fixed Connectivity (Fios): Provides residential high-speed internet, video (television), and voice (landline phone) services.
- Business Network Connectivity: Delivers private networking, private cloud connectivity, virtual and software-defined networking, and internet access services for businesses.
- Business Communication & Collaboration Solutions: Offers IP-based voice and video services, unified communications, and customer contact center solutions for enterprises.
- Business Security & Management Services: Provides data security, network management, and Internet of Things (IoT) products and services for businesses.
- Wholesale Network Access: Sells network access to mobile virtual network operators (MVNOs).
AI Analysis | Feedback
Verizon Communications (VZ) primarily serves the following major customer categories:
- Individual Consumers: These include subscribers to Verizon's postpaid and prepaid wireless service plans, internet access (including Fios), video, and voice services for personal and residential use. As of December 31, 2021, this segment accounted for approximately 115 million wireless retail connections, 7 million wireline broadband connections, and 4 million Fios video connections.
- Businesses: This category encompasses enterprises of all sizes that utilize Verizon for network connectivity products, private cloud solutions, virtual and software-defined networking, IP-based voice and video services, unified communications, data security services, customer contact center solutions, and Internet of Things (IoT) products and services. As of December 31, 2021, this segment had approximately 27 million wireless retail postpaid connections and 477 thousand wireline broadband connections.
- Governmental Entities: Public sector organizations and agencies, both domestic and global, that leverage Verizon's communication and technology services for their operational and infrastructure needs. These services generally fall under the offerings described within the Business segment.
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Dan Schulman
Chief Executive Officer
Dan Schulman was appointed Chief Executive Officer of Verizon Communications, effective October 21, 2025. He previously served as the CEO of PayPal Holdings Inc. Schulman joined Verizon's Board of Directors in 2018 and became Lead Independent Director in 2024. His extensive leadership experience encompasses telecommunications, fintech, and technology sectors.
Tony Skiadas
Executive Vice President and Chief Financial Officer
Tony Skiadas was promoted to Executive Vice President and Chief Financial Officer of Verizon in May 2023. He began his career with Bell Atlantic Mobile, a legacy company of Verizon, in 1996, and has since accumulated over two decades of experience in financial management and operations within the company. Prior to his current role, he served as Senior Vice President and Controller from June 2013 to May 2023, where he oversaw corporate-wide accounting, finance operations, compliance, financial policies, and SEC financial reporting. Skiadas is a Certified Public Accountant (CPA) in New Jersey and holds an MBA in Finance from Seton Hall University and a Bachelor of Science degree in accounting from the University of Delaware.
Sowmyanarayan Sampath
Executive Vice President and Chief Executive Officer, Verizon Consumer Group
Sowmyanarayan Sampath is the Executive Vice President and Chief Executive Officer for Verizon Consumer Group, which is Verizon's largest operational segment. He joined Verizon in 2014 and has been instrumental in transforming the consumer operating model and empowering its customer-facing organization. His previous roles at Verizon include Chief Revenue Officer for Verizon Business, President of Global Enterprise, and Chief Product Officer for the Consumer and Enterprise businesses. Before joining Verizon, he worked at KPMG, Advenis, and Boston Consulting Group.
Kyle Malady
Executive Vice President and Chief Executive Officer, Verizon Business Group
Kyle Malady leads Verizon's Business Group as its Executive Vice President and CEO, overseeing annual revenues exceeding $30 billion. He possesses decades of experience in building and managing global networks, having previously served as Executive Vice President and President of Global Networks and Technology for Verizon. His expertise is crucial in advancing Verizon's enterprise solutions and business growth.
Frank Boulben
Chief Revenue Officer, Verizon Consumer Group
Frank Boulben serves as the Chief Revenue Officer at Verizon Consumer Group, responsible for direct-to-consumer growth and revenue generation across all consumer brands and segments. Before his tenure at Verizon, Frank held senior executive positions, including Chief Strategy Officer at Rogers Communications and Chief Marketing Officer at BlackBerry. He began his career as a consultant and has worked with major telecommunications and internet operators such as SFR, Vivendi, Orange, and Vodafone.
AI Analysis | Feedback
Verizon Communications (VZ) faces several key risks to its business:
- High Debt Load and Capital Expenditure: Verizon carries a substantial amount of debt, nearing $146 billion as of mid-2025, which acts as a constant financial burden, especially in a rising interest rate environment. The company is also committed to significant capital expenditures, projected between $17.5 billion and $18.5 billion for 2025, primarily for its 5G network build-out. This high debt and ongoing investment limit Verizon's capital allocation flexibility and can expose it to financial instability, with some analyses placing the company in a "distress zone."
- Intense Competition and Market Saturation: The U.S. telecommunications market is characterized by fierce competition, with major rivals like AT&T and T-Mobile aggressively competing for market share. Verizon has experienced net losses in postpaid phone subscribers and a slowdown in its Fixed Wireless Access (FWA) growth, indicating challenges in customer retention and acquisition in a saturated market. This competitive pressure directly impacts Verizon's ability to grow its subscriber base and revenue.
- Evolving Regulatory Landscape and Technological Challenges: As a major telecommunications provider, Verizon operates within a heavily regulated industry, subject to laws concerning spectrum allocation, data protection, and consumer rights. Changes in these regulations, particularly those related to 5G security, AI governance, and data privacy, are a significant concern for telecom executives and can result in substantial fines and reputational damage for non-compliance. Furthermore, the rapid advancement of technologies such as 5G and the Internet of Things (IoT) presents challenges related to compatibility, security, and an expanded "attack surface" for cyber threats, necessitating continuous investment in security measures.
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- Continued Cord-Cutting and Shift to Streaming Services
- Cloud-Native Communication Platforms (CPaaS/UCaaS) for Businesses
AI Analysis | Feedback
Verizon Communications (symbol: VZ) operates in several large addressable markets within the United States for its main products and services:
- Wireless Services (Consumer Segment): The addressable market for wireless telecommunication services in the U.S. was valued at approximately USD 450.21 billion in 2025 and is projected to grow to about USD 960.79 billion by 2035. Another estimate places the U.S. wireless telecommunications carriers market at USD 326.4 billion in 2025. The broader U.S. telecom services market, which includes wireless, was estimated at USD 468.08 billion in 2023 and is expected to reach USD 725.68 billion by 2030.
- Residential Fixed Connectivity Solutions (Internet, Video, and Voice - Fios): The U.S. broadband services market generated a revenue of USD 74.03 billion in 2024 and is expected to reach USD 113.83 billion by 2030. In 2024, the U.S. residential fixed broadband market had 120.6 million subscriptions. Furthermore, nearly 80 million U.S. homes had access to fiber by the end of 2024. The remaining addressable market for Fiber-to-the-Home (FTTH) passings in the U.S. is estimated to be 150 million or more over the next decade.
- Business Segment (Network Connectivity, IP-based Voice and Video, Unified Communications, Data Solutions):
- Enterprise Connectivity and Networking: The U.S. enterprise networking market generated a revenue of USD 47.07 billion in 2024 and is expected to reach USD 60.02 billion by 2030. The North America enterprise networking market was valued at USD 77.28 billion in 2025 and is expected to reach USD 118.05 billion by 2034, with the U.S. capturing 78.3% of the share in 2024.
- Unified Communications: The U.S. unified communications market was estimated at USD 28.37 billion in 2023 and is expected to reach USD 32.30 billion in 2024. It is projected to grow to USD 148.11 billion by 2033, from USD 47.85 billion in 2025.
- Internet of Things (IoT) Products and Services: The U.S. Internet of Things (IoT) market size was estimated at USD 413.22 billion in 2024 and is projected to grow to USD 553.92 billion by 2030. The U.S. industrial IoT market alone was valued at USD 142.35 billion in 2024 and is projected to reach USD 671.92 billion by 2033.
- Data Security Services (Business Segment): The U.S. cybersecurity market size was USD 91.6 billion in 2025 and is expected to reach USD 180.4 billion by 2034. Another source reported the U.S. cybersecurity market at USD 82.4 billion in 2024, projected to increase to USD 165.1 billion by 2032.
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Verizon Communications (VZ) is expected to drive future revenue growth over the next two to three years through several key initiatives:
- Accelerated Postpaid Mobile and Broadband Subscriber Growth: Verizon projects significant increases in its postpaid phone net additions, targeting between 750,000 and 1 million new customers in 2026, which is two to three times its 2025 volume. This growth is complemented by strong broadband net additions, including both Fixed Wireless Access (FWA) and Fios internet. The company's strategy involves gaining market share across all segments, including prepaid, and enhancing customer retention through bundling wireless and broadband services, which helps reduce churn and boosts customer loyalty. Verizon expects mobility and broadband service revenue to grow 2% to 3% in 2026.
- Continued Expansion of Fixed Wireless Access (FWA) Services: FWA remains a major growth engine for Verizon, leveraging its 5G network to deliver home internet services. The company reported substantial FWA net additions in late 2024 and late 2025, growing its subscriber base to over 5.7 million. Verizon is well-positioned to achieve its goal of 8 million to 9 million FWA subscribers by 2028. FWA is seen as a strong alternative for broadband in areas without fiber, with more open-for-sale FWA services available in 2026.
- Strategic Fiber-to-the-Home (FTTH) Rollout and Converged Services: Following the integration of Frontier, Verizon's fiber footprint has expanded significantly, reaching nearly 30 million premises passed. The company plans to add at least 2 million new fiber passings in 2026, with a medium-term goal of 40 million to 50 million. Fiber is considered the "gold standard" for connectivity, offering higher margins and lower churn. Verizon is accelerating converged offerings that bundle fiber broadband with wireless services, as these customers demonstrate higher lifetime value and lower churn rates.
- Growth in the Verizon Business Group through Private 5G and Enterprise Solutions: The Business segment is poised for a revenue breakout by monetizing private 5G networks, particularly as manufacturing and logistics companies adopt these for automation. Verizon Business reported a 350% growth in its private 5G revenue in 2024, with projections for an additional 200% increase in 2025. The company is also focusing on becoming an "AI-first company," deploying AI at scale to optimize operations and drive innovation within its business solutions.
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Share Repurchases
- Verizon announced a $25 billion share buyback program on June 14, 2024, which is effective immediately and will remain in place through 2027.
- The company anticipates repurchasing at least $3 billion of common stock under this authorization in 2026.
- Verizon plans to return approximately $55 billion to stockholders through dividends and share repurchases by the end of 2028.
Share Issuance
- Verizon's shares outstanding have shown slight annual increases in recent years, rising from 4.215 billion in 2023 to 4.223 billion in 2024, and 4.231 billion in 2025.
Outbound Investments
- Verizon announced its intention to acquire Frontier Communications in an all-stock deal valued at $20 billion on September 5, 2024, which closed in January 2026.
- The company acquired TracFone Wireless for $6.25 billion in September 2020, with the deal closing in November 2021.
- Verizon invested $100 million in AST SpaceMobile in May 2024 to support the deployment of direct-to-cellular service in the continental United States.
Capital Expenditures
- Capital expenditures totaled $17.1 billion in 2024 and $17.0 billion in 2025.
- For 2026, Verizon expects capital expenditures to be in the range of $16.0 billion to $16.5 billion.
- The primary focus of these capital expenditures is the completion of C-Band deployment, continued fiber expansion with a goal of at least 2 million new passings in 2026, and further investment in 5G network infrastructure.
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Research & Analysis
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 37.44 |
| Mkt Cap | 142.6 |
| Rev LTM | 106,008 |
| Op Inc LTM | 19,614 |
| FCF LTM | 17,331 |
| FCF 3Y Avg | 12,983 |
| CFO LTM | 30,796 |
| CFO 3Y Avg | 26,436 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 1.3% |
| Rev Chg 3Y Avg | 0.5% |
| Rev Chg Q | 1.6% |
| QoQ Delta Rev Chg LTM | 0.4% |
| Op Inc Chg LTM | -0.2% |
| Op Inc Chg 3Y Avg | 0.4% |
| Op Mgn LTM | 20.5% |
| Op Mgn 3Y Avg | 20.2% |
| QoQ Delta Op Mgn LTM | -1.4% |
| CFO/Rev LTM | 30.6% |
| CFO/Rev 3Y Avg | 27.7% |
| FCF/Rev LTM | 14.9% |
| FCF/Rev 3Y Avg | 12.4% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 142.6 |
| P/S | 1.1 |
| P/Op Inc | 5.8 |
| P/EBIT | 4.4 |
| P/E | 6.7 |
| P/CFO | 3.8 |
| Total Yield | 13.1% |
| Dividend Yield | 1.0% |
| FCF Yield 3Y Avg | 10.3% |
| D/E | 0.9 |
| Net D/E | 0.9 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | -7.1% |
| 3M Rtn | -0.4% |
| 6M Rtn | -5.2% |
| 12M Rtn | -4.6% |
| 3Y Rtn | 41.9% |
| 1M Excs Rtn | -19.2% |
| 3M Excs Rtn | -2.7% |
| 6M Excs Rtn | -0.7% |
| 12M Excs Rtn | -33.2% |
| 3Y Excs Rtn | -28.8% |
Comparison Analyses
Segment Financials
Revenue by Segment| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Consumer | 102,904 | 101,626 | 103,506 | 95,300 | 88,533 |
| Business | 29,531 | 30,122 | 31,072 | 31,042 | 30,962 |
| Corporate and other | 2,609 | 2,479 | 2,510 | 7,722 | 9,334 |
| Eliminations | -256 | -253 | -253 | -451 | -537 |
| Total | 134,788 | 133,974 | 136,835 | 133,613 | 128,292 |
| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Consumer | 29,484 | 29,011 | 28,846 | 29,955 | 28,856 |
| Business | 2,058 | 2,066 | 2,631 | 3,437 | 3,773 |
| Other components of net periodic pension and benefit charges | -33 | -248 | -387 | -769 | -817 |
| Legacy legal matter | -106 | 0 | 0 | ||
| Asset and business rationalization | -374 | -480 | |||
| Corporate and other | -610 | -643 | -319 | -449 | -1,472 |
| Severance charges | -1,733 | -533 | -304 | -209 | -221 |
| Business transformation costs | -176 | 0 | |||
| Legal settlement | -100 | ||||
| Non-strategic business shutdown | -179 | 0 | |||
| Verizon Business Group goodwill impairment | -5,841 | 0 | |||
| Asset rationalization | 0 | ||||
| Loss on spectrum licenses | 0 | -223 | -1,195 | ||
| Net gain from disposition of business | 0 | 706 | -126 | ||
| Total | 28,686 | 22,877 | 30,467 | 32,448 | 28,798 |
Price Behavior
| Market Price | $47.24 | |
| Market Cap ($ Bil) | 199.8 | |
| First Trading Date | 11/21/1983 | |
| Distance from 52W High | -6.7% | |
| 50 Days | 200 Days | |
| DMA Price | $48.44 | $42.46 |
| DMA Trend | up | up |
| Distance from DMA | -2.5% | 11.3% |
| 3M | 1YR | |
| Volatility | 31.6% | 22.4% |
| Downside Capture | -0.94 | -0.20 |
| Upside Capture | -41.29 | -4.88 |
| Correlation (SPY) | -23.6% | -9.1% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | -0.24 | -0.50 | -0.48 | -0.24 | 0.09 | 0.10 |
| Up Beta | 0.64 | -0.35 | -0.18 | -0.50 | 0.07 | 0.10 |
| Down Beta | 0.13 | 1.28 | 0.47 | 0.25 | 0.32 | 0.10 |
| Up Capture | -55% | -45% | -39% | -10% | 3% | 5% |
| Bmk +ve Days | 7 | 16 | 27 | 65 | 139 | 424 |
| Stock +ve Days | 8 | 22 | 35 | 65 | 126 | 392 |
| Down Capture | -38% | -210% | -185% | -84% | -27% | 5% |
| Bmk -ve Days | 12 | 23 | 33 | 58 | 110 | 323 |
| Stock -ve Days | 14 | 20 | 28 | 60 | 123 | 352 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with VZ | |
|---|---|---|---|---|
| VZ | 20.4% | 22.3% | 0.75 | - |
| Sector ETF (XLC) | 24.3% | 13.2% | 1.39 | 15.1% |
| Equity (SPY) | 31.5% | 12.5% | 1.92 | -9.4% |
| Gold (GLD) | 38.6% | 27.2% | 1.18 | -19.2% |
| Commodities (DBC) | 45.9% | 18.0% | 1.95 | -15.9% |
| Real Estate (VNQ) | 14.4% | 13.4% | 0.75 | 20.3% |
| Bitcoin (BTCUSD) | -19.0% | 42.1% | -0.39 | -15.2% |
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Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with VZ | |
|---|---|---|---|---|
| VZ | 2.1% | 21.4% | 0.04 | - |
| Sector ETF (XLC) | 9.9% | 20.7% | 0.39 | 24.2% |
| Equity (SPY) | 12.9% | 17.1% | 0.59 | 18.0% |
| Gold (GLD) | 20.2% | 17.8% | 0.92 | 1.4% |
| Commodities (DBC) | 14.8% | 19.1% | 0.63 | 2.7% |
| Real Estate (VNQ) | 3.4% | 18.8% | 0.09 | 32.6% |
| Bitcoin (BTCUSD) | 7.3% | 56.2% | 0.35 | 1.5% |
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Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with VZ | |
|---|---|---|---|---|
| VZ | 4.4% | 20.3% | 0.18 | - |
| Sector ETF (XLC) | 9.6% | 22.3% | 0.51 | 32.2% |
| Equity (SPY) | 14.9% | 17.9% | 0.71 | 33.2% |
| Gold (GLD) | 13.4% | 15.9% | 0.70 | 2.3% |
| Commodities (DBC) | 9.9% | 17.7% | 0.46 | 8.5% |
| Real Estate (VNQ) | 5.4% | 20.7% | 0.23 | 39.9% |
| Bitcoin (BTCUSD) | 67.8% | 66.9% | 1.07 | 4.9% |
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Returns Analyses
Earnings Returns History
Expand for More| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 1/30/2026 | 11.8% | 18.3% | 25.5% |
| 10/29/2025 | 2.3% | 0.0% | 4.0% |
| 7/21/2025 | 4.0% | 5.5% | 8.7% |
| 4/22/2025 | 0.6% | -1.3% | 3.0% |
| 1/24/2025 | 0.9% | 0.7% | 10.6% |
| 10/22/2024 | -5.0% | -4.8% | -4.1% |
| 7/22/2024 | -6.1% | -3.7% | -2.1% |
| 4/22/2024 | -4.7% | -2.0% | -0.9% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 14 | 14 | 11 |
| # Negative | 10 | 10 | 13 |
| Median Positive | 1.9% | 2.0% | 5.4% |
| Median Negative | -4.6% | -3.6% | -2.3% |
| Max Positive | 11.8% | 18.3% | 25.5% |
| Max Negative | -6.7% | -12.0% | -10.0% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 12/31/2025 | 02/17/2026 | 10-K |
| 09/30/2025 | 10/29/2025 | 10-Q |
| 06/30/2025 | 07/25/2025 | 10-Q |
| 03/31/2025 | 04/25/2025 | 10-Q |
| 12/31/2024 | 02/12/2025 | 10-K |
| 09/30/2024 | 10/25/2024 | 10-Q |
| 06/30/2024 | 07/25/2024 | 10-Q |
| 03/31/2024 | 04/25/2024 | 10-Q |
| 12/31/2023 | 02/09/2024 | 10-K |
| 09/30/2023 | 10/26/2023 | 10-Q |
| 06/30/2023 | 07/28/2023 | 10-Q |
| 03/31/2023 | 04/27/2023 | 10-Q |
| 12/31/2022 | 02/10/2023 | 10-K |
| 09/30/2022 | 10/25/2022 | 10-Q |
| 06/30/2022 | 07/28/2022 | 10-Q |
| 03/31/2022 | 04/27/2022 | 10-Q |
Recent Forward Guidance [BETA]
Latest: Q4 2025 Earnings Reported 1/30/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2026 Total retail postpaid phone net additions | 0.75 Mil | 0.88 Mil | 1.00 Mil | ||||
| 2026 Total mobility and broadband service revenue growth | 2.0% | 2.5% | 3.0% | ||||
| 2026 Revenue | 93.00 Bil | ||||||
| 2026 Adjusted EPS | 4.9 | 4.92 | 4.95 | ||||
| 2026 EPS Growth | 4.0% | 4.5% | 5.0% | ||||
| 2026 Cash flow from operations | 37.50 Bil | 37.75 Bil | 38.00 Bil | -0.7% | Lowered | Guidance: 38.00 Bil for 2025 | |
| 2026 Capital Expenditures | 16.00 Bil | 16.25 Bil | 16.50 Bil | -9.7% | Lowered | Guidance: 18.00 Bil for 2025 | |
| 2026 Free Cash Flow | 21.50 Bil | 7.5% | Raised | Guidance: 20.00 Bil for 2025 | |||
Prior: Q3 2025 Earnings Reported 10/29/2025
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2025 Total wireless service revenue growth | 2.0% | 2.4% | 2.8% | 0 | Affirmed | Guidance: 2.4% for 2025 | |
| 2025 Adjusted EBITDA growth | 2.5% | 3.0% | 3.5% | 0 | Affirmed | Guidance: 3.0% for 2025 | |
| 2025 Adjusted EPS growth | 1.0% | 2.0% | 3.0% | 0 | Affirmed | Guidance: 2.0% for 2025 | |
| 2025 Cash flow from operations | 37.00 Bil | 38.00 Bil | 39.00 Bil | 0 | Affirmed | Guidance: 38.00 Bil for 2025 | |
| 2025 Free cash flow | 19.50 Bil | 20.00 Bil | 20.50 Bil | 0 | Affirmed | Guidance: 20.00 Bil for 2025 | |
| 2025 Capital expenditures | 17.50 Bil | 18.00 Bil | 18.50 Bil | 0 | Affirmed | Guidance: 18.00 Bil for 2025 | |
Insider Activity
Expand for More| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Stillwell, Mary-Lee | SVP and Controller | Direct | Sell | 3032026 | 50.00 | 8,569 | 428,450 | 2,189,100 | Form |
| 2 | Vestberg, Hans Erik | Direct | Sell | 2252026 | 49.61 | 200,000 | 9,922,800 | 7,197,453 | Form | |
| 3 | Vestberg, Hans Erik | trust 1 | Sell | 2252026 | 49.61 | 12,500 | 620,175 | 646,173 | Form | |
| 4 | Vestberg, Hans Erik | trust 2 | Sell | 2252026 | 49.61 | 12,500 | 620,175 | 646,123 | Form | |
| 5 | Russo, Joseph J | EVP&Pres-Global Networks&Tech | Direct | Sell | 2032026 | 44.88 | 9,579 | 429,906 | 1,976,740 | Form |
VZ Trade Sentinel
AVOID (Score 1-2)
CONVICTION RATIONALE
The stock scores a 1 (AVOID) because it exhibits the classic traits of a value trap. Despite a low valuation, the core business is stagnant and under structural assault from more nimble competitors. The risk/reward profile is unattractive, with downside risk being roughly equal to the upside potential. The 'decay' penalty was applied because a low-growth, contested business is often 'dead money' or worse. The combination of these factors makes the stock un-investable.
STOCK ARCHETYPE
Type E: Turnaround / Deep ValueVerizon fits the 'Turnaround' archetype as the investment thesis hinges on management's execution of a strategic pivot to broadband (via FWA and fiber acquisitions) to offset a saturated and highly contested core wireless business. Its valuation is low, reflecting past underperformance, and the bull case relies on this new strategy successfully reigniting growth.
INVESTMENT THESIS
The primary long thesis for Verizon is its strategic pivot to becoming a national broadband competitor, leveraging its extensive 5G network for Fixed Wireless Access (FWA) and the newly acquired Frontier fiber assets. This strategy aims to create a new, significant revenue stream to offset the saturated, low-growth U.S. wireless market.
- Management guidance targets 750,000 to 1 million total retail postpaid phone net additions for 2026, a significant acceleration from 2025.
- The global 5G FWA market is projected to grow at a CAGR of 28.2% in 2026, providing a strong secular tailwind.
- The recent acquisition of Frontier Communications expands Verizon's high-speed fiber footprint to over 30 million locations, providing a tangible asset for subscriber growth.
- Management has guided for free cash flow growth of approximately 7% to over $21.5 billion in 2026, underpinning capital returns and investment.
PRIMARY RISK
The most significant risk to the thesis is the structural and sustained market share loss in the core wireless business to cable companies (Comcast, Charter). These cable operators leverage their existing broadband customer relationships to offer aggressively priced mobile plans as MVNOs on Verizon's own network, capturing a disproportionate share of industry net additions.
- Cable MVNOs captured an estimated 45% of new wireless customers in 2025, with their market share of industry growth expected to exceed 50% by 2027-2028.
- Management's own guidance for fiscal year 2026 projects flat wireless service revenue, confirming stagnation in the core organic business.
- Postpaid phone churn increased to 0.95% in Q4 2025 from 0.88% in the prior year, indicating heightened competitive pressure.
| KPI | Threshold | Rationale |
|---|---|---|
| Total Retail Postpaid Phone Net Additions | > 200,000 per quarter | This is the most critical indicator of competitive health in the core wireless business against T-Mobile and cable MVNOs. Failure to meet this signals the anti-alpha thesis is playing out. |
| Broadband Net Additions (FWA + Fios) | > 400,000 per quarter | This KPI validates the primary 'Alpha Driver'. Consistent performance above this level is required to prove the growth-offset strategy is working and large enough to matter. |
| Wireless Service Revenue Growth (YoY) | Must remain > 0% | A return to negative organic growth in the core wireless segment, despite positive subscriber additions, would indicate severe pricing pressure and an unhealthy, low-quality subscriber mix. |
Broadband Pivot vs. Core Wireless Erosion
BULL VIEW
The FWA and Fiber expansion creates a new, significant revenue stream, re-accelerating growth and proving the business is not impaired, justifying a multiple re-rating.
CORE TENSION
Can growth from the Broadband/FWA pivot offset structural market share loss in the high-margin core wireless business to Cable MVNOs, or is this a classic value trap?
PREVAILING SENTIMENT
Management's guidance for flat FY2026 wireless service revenue and the increase in postpaid phone churn to 0.95% confirms the core business is under severe pressure, despite a strong Q4.
BEAR VIEW
Cable MVNOs are structurally capping subscriber growth and margins in the core wireless business, turning Verizon's premier asset into a commodity and trapping the stock at low multiples.
| Timeline | Event & Metric To Watch |
|---|---|
Late April 2026 | Q1 2026 Earnings Report Watch: Total Postpaid Phone Net Additions. Watch for a number >200k to prove Q4's 616k momentum was not a one-off promotional blip. |
This Quarter (Q2 2026) | Competitor (Comcast/Charter) Earnings Watch: Combined Cable MVNO mobile net additions. A combined figure over 1 million confirms they are capturing the majority of industry growth. |
Late July 2026 | Q2 2026 Earnings Report Watch: Broadband Net Additions (FWA + Fios). Watch for acceleration above Q4's 372k to validate the primary growth thesis. |
Ongoing (Next 6 Months) | Consumer Credit Data Release Watch: Federal Reserve data on 90+ day consumer loan delinquency rates. A material increase above the 2.62% from Oct 2025 is a negative leading indicator. |
| Date | Event | Stock Impact |
|---|---|---|
10/6/2025 | 52-Week Low Details: Stock hit a new 52-week low amid broad market weakness and ongoing concerns about competitive pressures and the lead-sheathed cable controversy, reflecting peak negative sentiment. | Plummeted -5.1% $41.57 -> $39.45 |
10/23/2025 | Q3 2025 Earnings Release Details: Reported a postpaid phone net loss of 7,000, continuing a trend of subscriber losses. FWA net additions were also the lowest since launch, signaling growth deceleration. | Fell notably by -3.5% $38.54 -> $37.18 |
1/2/2026 | Frontier Communications Acquisition Closed Details: Verizon completed its acquisition of Frontier, expanding its high-speed fiber footprint to over 30 million locations. This is a key part of the bull thesis for broadband growth. | Muted (-0.5%) $39.44 -> $39.23 |
1/14/2026 | Major Nationwide Network Outage Details: Experienced a major outage disrupting services for millions. The stock surprisingly recovered quickly, indicating market confidence in the network's long-term reliability despite the incident. | Rose significantly by 2.1% $38.43 -> $39.24 |
1/30/2026 | Q4 2025 Earnings Release Details: Reported 616,000 postpaid phone net additions, the best since 2019. Broadband net additions were 372,000. Strong results drove the stock significantly higher on the beat. | Surged +11.8% $39.22 -> $43.86 |
3/10/2026 | 34th Annual Media, Internet & Telecom Conference Details: Management presented their strategy, focusing on broadband growth and operational efficiency. The market reaction was muted, suggesting the narrative was already priced in. | Slight -0.8% pullback $50.36 -> $49.95 |
Position Sizing
1% - 3%
CONSERVATIVE
The stock exhibits Spiking near-term volatility. The Bearish sentiment, Contested moat, and 'Value Trap' valuation profile create significant risk, forcing a Conservative sizing until the core wireless erosion stabilizes.
Diversification Alternatives
TMUS
INDUSTRYTMUS is the direct beneficiary of VZ's primary risk. It is actively taking market share with a superior growth profile, avoiding the 'value trap' dynamic.
AMT
SECTORUnlike VZ, American Tower avoids direct consumer competition. It's a 'picks and shovels' play on 5G growth, benefiting from all carriers' capex with long-term contracts.
Verizon is shifting from a mature, defensive wireless utility to a growth-oriented connectivity provider, leveraging its premium network to expand its share in broadband via Fixed Wireless Access (FWA) and an expanded fiber footprint.
Filter all news through the lens of subscriber growth and profitability in both wireless and broadband, focusing on competitive positioning against T-Mobile and cable providers.
Sustained retail postpaid phone net additions >200k per quarter; broadband net additions exceeding 400k; evidence of successful cross-selling and lower churn from converged (wireless + broadband) customers; stable or growing wireless ARPU (Average Revenue Per User).
Return to postpaid phone net losses; market share gains by cable MVNOs (Xfinity Mobile, Spectrum Mobile) accelerating; significant price-based promotions that erode ARPU; major network outages or a decline in third-party network quality rankings.
Short-term fluctuations in equipment revenue from handset launch cycles; minor changes in prepaid subscriber numbers; M&A rumors that don't involve network assets.
Repricing Catalyst
The primary catalyst is the successful expansion into the national broadband market via 5G Fixed Wireless Access and the newly expanded fiber footprint from the Frontier acquisition. Management guidance for 2026 targets 750,000 to 1 million total retail postpaid phone net additions, a significant acceleration from 2025, and free cash flow growth of ~7% to over $21.5 billion. Success in hitting these targets could reframe Verizon as a growth company rather than just a high-yield utility.
Consumer Wireless & Broadband
$106.8B TTM (77.3% of Total) · 59.1% MarginWhat It Is
Postpaid and prepaid mobile phone plans ('myPlan'); 5G Home and LTE Home fixed wireless access (FWA) internet; Fios fiber-optic internet, video, and voice services.
Who Pays & How
Approximately 116 million wireless retail connections and 11 million broadband connections pay recurring monthly fees for what is perceived as the most reliable network coverage, especially in rural areas. Switching costs are moderate but include the inconvenience of porting numbers and potential loss of bundled discounts.
Competition
Business & Enterprise Solutions
$29.1B TTM (21.1% of Total) · 59.1% MarginWhat It Is
Wireless and wireline connectivity services; Private 5G networks; IoT (Internet of Things) connectivity; network security and management services for corporate and government clients.
Who Pays & How
Approximately 31 million wireless connections and 3 million broadband connections for businesses, including 99% of the Fortune 500, pay for the high reliability, security, and service-level agreements (SLAs) required for mission-critical operations.
Competition
Wireless Equipment
$2.3B TTM (1.6% of Total) · 10.0% MarginWhat It Is
Smartphones, tablets, wearables, and other connected devices.
Who Pays & How
Consumers and businesses purchase devices to access the Verizon network. Revenue is recognized at the point of sale, though often subsidized and paid over a multi-year device financing plan.
Competition
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