Verizon Communications (VZ) Valuation
Historical valuation analysis based on 1279 data points (2021-09-14 to 2026-10-16)
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 cus...
Verizon Communications (VZ) currently trades at a P/E ratio of 11.51 (historical range: 6.19–20.04, median: 9.97), placing it at the 74th percentile — above its historical average, P/S ratio of 1.34 (range: 0.96–1.72, 58th percentile — near its historical average), EV/EBITDA of 10.75 (range: 8.80–14.39, 56th percentile).
Over the historical period (2021-09-14 to 2026-10-16), Verizon Communications's P/E ratio has expanded by 51% over the observed period (from an average of 8.5 to 12.9).
Verizon Communications trades above its historical valuation range, with most metrics above their median levels.
Historical Valuation Metrics
| Metric | Current | Median | %ile | Assessment |
|---|---|---|---|---|
| P/E Ratio | 11.51 | 9.97 | 74th | above its historical average |
| P/S Ratio | 1.34 | 1.31 | 58th | near its historical average |
| EV/EBITDA | 10.75 | 10.48 | 56th | near its historical average |
| FCF Yield | 14.22% | 10.94% | 95th | cheap relative to its history |
Verizon Communications (VZ) Valuation & P/E History
Verizon Communications (VZ) is a US-listed stock operating in the Communication Services sector, specifically the Telephone Communications (No Radiotelephone) industry currently trading at $44.75 with a market capitalization of $185.9 billion. This page provides historical valuation analysis for VZ based on 1279 data points covering 2021-09-14 to 2026-10-16. The P/E ratio of 11.51 is above the historical median of 9.97, placing VZ at the 74th percentile of its valuation range. The P/S ratio of 1.34 compares to a median of 1.31.
VZ Valuation Metrics & Historical Range
The valuation table above shows Verizon Communications's current and historical valuation multiples, including P/E ratio, P/S ratio, EV/EBITDA, FCF yield, and dividend yield. Each metric is compared to its own historical range to determine whether VZ is currently trading above or below its typical valuation levels.
- P/E ratio: Price-to-earnings measures how much investors pay per dollar of earnings. A P/E above the historical median suggests VZ is expensively valued; below the median suggests it is cheap.
- P/S ratio: Price-to-sales is useful for companies with volatile or negative earnings. Lower P/S relative to history may indicate value.
- EV/EBITDA: Enterprise value to EBITDA adjusts for debt and cash, providing a capital-structure-neutral valuation measure for Verizon Communications.
- FCF yield: Free cash flow yield shows the cash return relative to market price. Higher yields may indicate undervaluation.
Is VZ Overvalued or Undervalued?
Verizon Communications trades above its historical valuation range, with most metrics above their median levels. The overall valuation percentile of 63 combines P/E, P/S, and EV/EBITDA percentiles into a single measure of how expensive VZ is relative to its own history. A percentile below 25 suggests the stock may be undervalued, while a percentile above 75 suggests it may be overvalued.
However, valuation is only one factor in investment decisions. A stock can remain "overvalued" for years if growth accelerates, or "undervalued" if the business deteriorates. Always combine valuation analysis with financial statement analysis and the full VZ analysis page for a complete picture.
Valuation data is computed from historical price and fundamental data via Polygon.io and Finnhub.VZ trades on NYSE/NASDAQ. This page is for informational purposes only and is not financial advice.