Verizon Communications Inc

LTS : 0Q1S
USA·Communication Services·Telecommunication Services·Ordinary Shares
$44.70
+0.38 (+0.75%)Oct 15 close
Market Cap
$188.53B
Enterprise Value
$352.41B
P/E (TTM)
12.62
P/B
2.06
Net Cash / (Debt)
−$162.59B
52-Week Range
$39 — $51
5-Year Range
$31 — $55
Avg Volume (3M)
48.86K

Wireless services account for 75% of Verizon Communications' total service revenue and nearly all of its operating income. The firm serves about 94 million postpaid and 20 million prepaid phone customers via its nationwide network, making it the largest US wireless carrier. Fixed-line telecom operations include local networks in the Northeast that reach about 30 million homes and businesses, including about 20 million served by the Fios fiber-optic network. Verizon closed its acquisition of Frontier Communications in January, adding networks that reach another 15 million locations, including 9 million with fiber. These networks serve about 11 million broadband customers. Verizon also provides telecom services nationwide to enterprise customers, using a mix of its own and other networks.

Employees89,900IPOFeb 15, 1984SIC4813HQ1095 Avenue of the Americas, New York, NY, USA, 10036
to

Financials

Profitability

Metric
Current
Margins
Gross Margin
58.9%
Operating Margin
21.2%
EBITDA Margin
34.5%
Net Margin
12.4%
OCF Margin
26.9%
FCF Margin
14.2%
Returns on Capital
ROE
16.8%
ROA
4.4%
ROIC
5.9%
ROCE
9.0%
ROC (Greenblatt)
22.0%
3Y ROIIC
−4.3%
Consistency
Years Profitable / 10Y
10

Valuation

Metric
Current
Earnings Multiples
P/E (TTM)
12.62
Forward P/E
10.33
P/E ex-NRI
10.85
Shiller P/E (CAPE)
9.59
Cash Flow Multiples
P/FCF
10.99
P/OCF
5.82
P/Owner Earnings
30.56
FCF Yield
9.25%
Enterprise Value Multiples
EV / EBIT
12.82
EV / Forward EBIT
11.26
EV / EBITDA
7.89
EV / Forward EBITDA
7.10
EV / Revenue
2.73
EV / Forward Revenue
2.62
Asset / Sales
P/S
1.57
P/B
2.06
P/Tangible Book
—
Growth-Adjusted
PEG
—

Capital Returns

Metric
Current
Dividends
Dividend Yield (TTM)
5.38%
Forward Dividend Yield
5.57%
3Y Dividend Growth
−7.5%
Payout Ratio
0.43
5Y Yield on Cost
4.81%
Buybacks & Dilution
3Y Buyback Ratio
−0.10%
Combined
Shareholder Yield
5.52%

Balance Sheet

Metric
Current
Leverage
Debt / Equity
1.74
Gross Debt / EBITDA
3.81
Cash / Debt
0.11
Equity / Assets
0.26
Coverage
Interest Coverage
4.37
Short-Term Liquidity
Current Ratio
0.91
Quick Ratio
0.87
Cash Ratio
0.31
Composite Scores
Piotroski F-Score
5
Altman Z-Score
1.33

5-Step DuPont Analysis

ROE %
16.86%
Net Margin %
12.43%
Operating Margin %
21.17%
Operating Income
$29.26B
÷
Revenue
$138.19B
×
Tax Burden
0.7575
Net Income
$17.17B
÷
Pretax Income
$22.67B
×
Interest Burden
0.7749
Pretax Income
$22.67B
÷
Operating Income
$29.26B
×
Asset Turnover
0.35
Revenue
$138.19B
÷
Average Total Assets
$394.48B
Begin Total Assets
$384.71B
End Total Assets
$404.26B
×
Equity Multiplier
3.87
Avg Total Assets
$394.48B
÷
Avg Stockholders Equity
$101.85B
Begin Equity
$99.24B
End Equity
$104.46B