What is VZ's intrinsic value?

TickerWorth's blended fair value for Verizon Communications Inc. (VZ) is $61.28 per share, versus a market price of $44.79 (priced within our range of $37.16 – $89.46).

Is VZ overvalued or undervalued?

Priced within our range of $37.16 – $89.46 at $44.79. We don't call VZ overvalued or undervalued from a range. This is an educational estimate, not advice.

What discount rate is used for VZ?

A WACC of 6.7% and a terminal growth rate of 2.0%.

Is Verizon Communications stock undervalued?

TickerWorth's fair value for Verizon Communications Inc. (VZ) is $61.28 against a market price of $44.79. Our read: Priced within our range of $37.16 – $89.46. This is a model estimate, not investment advice.

Verizon Communications (VZ) DCF valuation and fair value

Our fair value for Verizon Communications Inc. (VZ) is $61.28, built on a 6.7% discount rate (WACC) and 2.0% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.

What growth is priced into Verizon Communications stock?

Today's price implies revenue growth of −6.9% a year for 5 years; our model assumes 1.7% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $44.79. A model estimate, not investment advice.

Verizon Communications (VZ) insider trading

The most recent insider filing (SEC Form 4) for Verizon Communications Inc. (VZ): Malady Kyle, EVP and Group CEO-VZ Business, open-market sale on 2026-10-13. The latest filings are listed on this page. A disclosure, not a signal to trade.

VZ · Intrinsic value

Is Verizon Communications Inc. (VZ) overvalued or undervalued?

Name: Verizon Communications Inc. (VZ) DCF intrinsic value
Creator: TickerWorth

Verizon Communications Inc. (VZ) trades at the delayed market price of $44.79 a share. That price already implies revenue growth of −6.9% a year for 5 years. TickerWorth's fair value is $61.28 a share (priced within our range of $37.16 – $89.46). We do not call it over- or undervalued from inside our range.

Model by Miraaj Patel · generated from a hand-researched model · Updated Oct 19, 2026 · How these pages are made

Open full VZ analysis

Is VZ fairly valued?

Fair value: $61.28
Market price: $44.79
Upside to fair value: +36.8%
Verdict: Priced within our range of $37.16 – $89.46

Price as of 19 Oct 2026, 13:15 UTC · Prices are delayed.

Fair value against the delayed market price: Priced within our range of $37.16 – $89.46.

Reverse DCF: Today's price implies revenue growth of −6.9% a year for 5 years; our model assumes 1.7% a year on average over the same horizon.

What is VZ's TickerWorth Score?

C53/100

Middle of the pack — real strengths and real weaknesses

Compared with Communication Services companies in US

Its strongest point: looks cheap on the numbers. Its weakest: balance sheet looks stretched.

Value · 68 of 100
Cheaper than 68% of Communication Services companies in US
Price vs worth · 79 of 100
Quality · 60 of 100
More profitable than 60% of Communication Services companies in US
Financial health · 12 of 100
Financially stronger than 12% of Communication Services companies in US
Growth · 30 of 100
Growing faster than 30% of Communication Services companies in US
Momentum · 60 of 100
Outperformed 60% of Communication Services companies in US over the past year

Confidence: High confidence · Scored 19 Oct 2026, 13:15 UTC

Get the Undervalued Company of the Week.

Where the numbers come from

Hand-researched model

What the modeller flagged

TERMINAL VALUE IS ~80% OF ENTERPRISE VALUE — above the 75% line. With a 6.73% WACC and 2.0% terminal growth, only ~20% of the answer comes from the five forecast years. The sensitivity grid (about $47 to $227 across its WACC and growth range) is the honest output, not the point estimate.
THE MODEL DISAGREES WITH THE MARKET BY A VERY WIDE MARGIN, AND THE DISAGREEMENT IS ABOUT RISK AND DURABILITY, NOT ARITHMETIC. At today's price Verizon trades at ~7.1x LTM adjusted EBITDA ($51.75B) on this bridge and at an ~11.6% levered FCF yield on its own $22B 2026 guide. The model's 6.73% discount rate treats the cash flows as utility-like; the implied terminal multiple is ~10.5x EBITDA. Reverse DCF on the engine: today's price needs a beta of ~1.52 (WACC ~9.1%), or revenue shrinking ~6.9% a year for five years, or a steady operating margin of ~16.1%, or terminal growth of about -1.1%, or capital spending (network plus spectrum) of ~21% of revenue forever.
WHY THE GAP IS WIDER THAN AT&T'S (+46% in this tracker): capital intensity. Verizon guides 2026 capex of $16.0-16.5B (~11.7% of revenue) against AT&T's $23-24B (~18%) on smaller revenue, so on similar EBITDA margins Verizon converts far more EBITDA into cash. The model already lifts Verizon's steady-state network capex to 13.0% (its 2023-25 average) plus 1.5% spectrum. If the market is right that Verizon must eventually spend like AT&T (fiber overbuild against cable, spectrum at the historical ~5.5% of revenue), the value falls toward the low $60s.
YEAR-1 MODEL FCF READS HIGH AGAINST THE COMPANY'S OWN FIGURE — a >20% gap to the memo, disclosed. Model Year-1 unlevered FCF is ~$28.6B vs FY2025 reported FCF of $20.1B (+42%) and the raised 2026 guide of ~$22.0B. Most of that is definitional: Verizon's figure is after ~$7.9B of 2026 interest (~$6.1B after tax), and the model charges ~$3.5B MORE tax than Verizon pays in cash. Adjusting for both, Verizon's guide implies ~$24.5B of unlevered FCF, so the model is still ~$4B (~17%) above it in Year 1 — cash Verizon loses below EBITDA to working capital, severance paid on 2025 charges, and retiree-medical payments (the latter already in net debt). Year 2 FCF falls to ~$25.6B as capex steps up to the 14.5% steady state.
PENSION AND RETIREE MEDICAL ARE DEBT-LIKE. FY2025 year-end: pension essentially fully funded (-$50M) after $1.3B of non-cash contributions, but retiree medical is $10.1B unfunded; Frontier added a net ~$0.5B deficit. $8.1B after tax is in net debt. Verizon expects ~$700M of retiree-medical contributions in 2026 and no required pension funding through 2030.
LEVERAGE ROSE IN 2026: total debt $165.2B at June 30 vs $158.2B at December after Frontier ($9.4B cash, $13.3B debt assumed) and $3.5B of H1 buybacks; cash fell from $19.0B to $1.8B. Verizon's own net unsecured debt / adjusted EBITDA is 2.5x (2.2x at year-end). AUGUST ISSUANCE NOT YET ON A BALANCE SHEET: $3.75B of junior subordinated notes settled 2026-08-13 for general purposes including refinancing; the Q3 10-Q will show whether it is net new debt. A downgrade would raise the 6.4% marginal cost of debt; not modeled.
SBC IS SMALL (after-tax stock compensation $815M in FY2025, ~0.8% of revenue pre-tax) and stays expensed inside GAAP operating income.

VZ DCF valuation, input by input

TickerWorth's fair value for Verizon Communications Inc. (VZ) is $61.28 a share, against the delayed market price of $44.79 (priced within our range of $37.16 – $89.46). We do not call it over- or undervalued from inside our range. It is a model estimate, and every input behind it is sourced below. This is an educational model, not a price target or a recommendation.

Read the full reasoning

One of the lenses behind that blended figure is a discounted-cash-flow model, which on its own values VZ at about $89.46 per share. The rest of this page walks through that DCF — its assumptions, reverse-DCF and discount-rate sensitivity — because it is the auditable anchor of the blend.

The valuation discounts Verizon Communications Inc.'s projected free cash flows at a weighted-average cost of capital (WACC) of 6.7%, with a long-run terminal growth rate of 2.0%. About 80% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.

Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly -6.9% annual revenue growth for VZ. Our base case instead compounds to about 1.7% a year over the same forecast, so the market is pricing in slower growth than our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.

Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, VZ's modeled DCF value ranges from about $46.78 to $227.05 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.

How to read this page: the DCF fair value is what Verizon Communications Inc. would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of VZ's intrinsic value. Figures update as new filings and prices come in.

Every input behind VZ's DCF

Input	Value	Source
Base-year revenueVerizon FY2025 10-K (accession 0000732712-26-000007, filed 2026-02-17): Total operating revenues FY2025 (service and other $112,721M + wireless equipment $25,470M); us-gaap:Revenues in the companyfacts feed ties. +2.5% vs FY2024 $134,788M, but the five-year record is flat: $133,613M in FY2021 to $138,191M in FY2025 is 0.8% a year. Unchanged as the base — the DCF grows it by forecast.revenue_growth. CROSS-CHECK: H1 2026 revenue $68,693M, +1.0% on H1 2025's $67,989M (Q2 alone $34,253M, -0.7%). That H1 figure INCLUDES Frontier from 2026-01-20: the 10-Q attributes roughly $2.1B of H1 revenue increases to 'the inclusion of Frontier results' (fiber broadband +$1.2B Consumer, +$105M Business; legacy wireline +$494M Consumer, +$273M Business). Ex-Frontier, revenue fell ~2% in H1, mostly lower-margin equipment revenue (-8.1% H1, -19.7% Q2 as Verizon cut device subsidies) and Consumer postpaid revenue (-$779M, promotion amortization).	$138,191,000,000	Verizon FY2025 10-K (accession 0000732712-26-000007, filed 2026-02-17): Total operating revenues FY2025 (service and other $112,721M + wireless equipment $25,470M); us-gaap:Revenues in the companyfacts feed ties. +2.5% vs FY2024 $134,788M, but the five-year record is flat: $133,613M in FY2021 to $138,191M in FY2025 is 0.8% a year. Unchanged as the base — the DCF grows it by forecast.revenue_growth. CROSS-CHECK: H1 2026 revenue $68,693M, +1.0% on H1 2025's $67,989M (Q2 alone $34,253M, -0.7%). That H1 figure INCLUDES Frontier from 2026-01-20: the 10-Q attributes roughly $2.1B of H1 revenue increases to 'the inclusion of Frontier results' (fiber broadband +$1.2B Consumer, +$105M Business; legacy wireline +$494M Consumer, +$273M Business). Ex-Frontier, revenue fell ~2% in H1, mostly lower-margin equipment revenue (-8.1% H1, -19.7% Q2 as Verizon cut device subsidies) and Consumer postpaid revenue (-$779M, promotion amortization).
Base EBIT marginVerizon FY2025 10-K (accession 0000732712-26-000007, filed 2026-02-17): GAAP operating income $29,259M / revenue $138,191M = 21.17%. This is the reported line and it carries $2,389M of special items (severance $1,715M, asset and business rationalization $583M, acquisition and integration $91M — 4Q25 release reconciliation); excluding them, 22.90%. Operating income EXCLUDES $107M of other income and equity-affiliate results. CROSS-CHECK, H1 2026: operating income $15,421M / $68,693M = 22.45% GAAP, against 23.75% for H1 2025 — down only because H1 2026 carries ~$1.8B of special items (Q2: $746M loss writing the international wireline business down to held-for-sale value, severance $397M, asset rationalization $258M; Frontier integration $396M across Q1-Q2). Ex those items H1 2026 runs ~25.1%, +1.3 points year on year; adjusted EBITDA margin hit a record 40.1% in Q2 (37.1% a year earlier). So the forecast starts above this base-year figure.	21.2%	Verizon FY2025 10-K (accession 0000732712-26-000007, filed 2026-02-17): GAAP operating income $29,259M / revenue $138,191M = 21.17%. This is the reported line and it carries $2,389M of special items (severance $1,715M, asset and business rationalization $583M, acquisition and integration $91M — 4Q25 release reconciliation); excluding them, 22.90%. Operating income EXCLUDES $107M of other income and equity-affiliate results. CROSS-CHECK, H1 2026: operating income $15,421M / $68,693M = 22.45% GAAP, against 23.75% for H1 2025 — down only because H1 2026 carries ~$1.8B of special items (Q2: $746M loss writing the international wireline business down to held-for-sale value, severance $397M, asset rationalization $258M; Frontier integration $396M across Q1-Q2). Ex those items H1 2026 runs ~25.1%, +1.3 points year on year; adjusted EBITDA margin hit a record 40.1% in Q2 (37.1% a year earlier). So the forecast starts above this base-year figure.
Forecast revenue growthESTIMATEAssumption — TickerWorth's 5-year explicit forecast	1% → 2% → 2% → 2% → 2%	ESTIMATEAssumption — TickerWorth's 5-year explicit forecast
Risk-free rateUS 10Y Treasury constant maturity (FRED DGS10): 5.24% on 2026-10-01, the latest published observation. House input shared by every model in the tracker.	5.2%	US 10Y Treasury constant maturity (FRED DGS10): 5.24% on 2026-10-01, the latest published observation. House input shared by every model in the tracker.
BetaESTIMATEAssumption — normalized estimate (published 5Y-monthly beta, Blume-adjusted, then set equal to the AT&T model's normalized beta): Published 5Y-monthly beta 0.248 (yfinance, read 2026-10-06). That figure is not usable as-is: a stock whose debt and debt-like claims are ~48% of capital cannot plausibly carry a quarter of the market's risk; it reflects five years in which Verizon's price moved on company-specific news (a ~$55 to ~$35 slide and a 2026 rebound) rather than with the market. The Blume adjustment gives 0.50 (0.67 x 0.248 + 0.33). I go further, to 0.62, the normalized beta this tracker uses for AT&T — the closest comparable (same industry, similar leverage) — so the two carriers are discounted consistently. CONSERVATIVE: raising beta lowers the value. Blume 0.50 would add ~$9.70/share; the published 0.248 ~$34; a bottom-up 0.80 takes ~$11.90 off.	0.62	ESTIMATEAssumption — normalized estimate (published 5Y-monthly beta, Blume-adjusted, then set equal to the AT&T model's normalized beta): Published 5Y-monthly beta 0.248 (yfinance, read 2026-10-06). That figure is not usable as-is: a stock whose debt and debt-like claims are ~48% of capital cannot plausibly carry a quarter of the market's risk; it reflects five years in which Verizon's price moved on company-specific news (a ~$55 to ~$35 slide and a 2026 rebound) rather than with the market. The Blume adjustment gives 0.50 (0.67 x 0.248 + 0.33). I go further, to 0.62, the normalized beta this tracker uses for AT&T — the closest comparable (same industry, similar leverage) — so the two carriers are discounted consistently. CONSERVATIVE: raising beta lowers the value. Blume 0.50 would add ~$9.70/share; the published 0.248 ~$34; a bottom-up 0.80 takes ~$11.90 off.
Terminal growthESTIMATEAssumption — estimate (below the 2.5% house default, reason stated): 2.0%, half a point BELOW the 2.5% house default, same as the AT&T model. Verizon's revenue was $133.6B in FY2021 and $138.2B in FY2025 (us-gaap:Revenues), 0.8% a year; US wireless is saturated, wireless service revenue is guided flat for 2026, and SpaceX's planned retail Starlink mobile service plus Charter-Cox are new competitive fronts. A business that has grown below inflation for years should not be assumed to grow with nominal GDP forever. The house 2.5% would add ~$13/share. Well below the 6.7% WACC.	2.0%	ESTIMATEAssumption — estimate (below the 2.5% house default, reason stated): 2.0%, half a point BELOW the 2.5% house default, same as the AT&T model. Verizon's revenue was $133.6B in FY2021 and $138.2B in FY2025 (us-gaap:Revenues), 0.8% a year; US wireless is saturated, wireless service revenue is guided flat for 2026, and SpaceX's planned retail Starlink mobile service plus Charter-Cox are new competitive fronts. A business that has grown below inflation for years should not be assumed to grow with nominal GDP forever. The house 2.5% would add ~$13/share. Well below the 6.7% WACC.
Diluted sharesVerizon Q2 2026 10-Q (accession 0000732712-26-000046, filed 2026-07-31): Q2 2026 weighted-average diluted shares 4,171M (H1 4,190M; FY2025 4,231M). Falling: Verizon repurchased $3.5B of stock in H1 2026 through accelerated share repurchases and raised the 2026 target to 'up to $4.5 billion'; 4,154.8M shares were outstanding at June 30. Using the Q2 diluted count is mildly conservative (~0.4%); buybacks after June 30 are a use of cash already in the forecast, so they are not netted again.	4,171M	Verizon Q2 2026 10-Q (accession 0000732712-26-000046, filed 2026-07-31): Q2 2026 weighted-average diluted shares 4,171M (H1 4,190M; FY2025 4,231M). Falling: Verizon repurchased $3.5B of stock in H1 2026 through accelerated share repurchases and raised the 2026 target to 'up to $4.5 billion'; 4,154.8M shares were outstanding at June 30. Using the Q2 diluted count is mildly conservative (~0.4%); buybacks after June 30 are a use of cash already in the forecast, so they are not netted again.
Market priceDelayed quote · as of 2026-10-19 13:15 UTC	$44.79	Delayed quote · as of 2026-10-19 13:15 UTC

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What does Verizon Communications Inc. do?

What does it do?

Verizon Communications Inc., through its subsidiaries, engages in the provision of communications, technology, information, and streaming products and services to consumers, businesses, and governmental entities worldwide. It operates in two segments, Verizon Consumer Group (Consumer) and Verizon Business Group (Business). It operates in the Telecom Services industry (Communication Services sector), headquartered in United States. The company employs roughly 97,600 people.

How does it make money?

The business turns $138.9B in annual revenue into profit. Out of every $100 of sales, about $23 is left as operating profit (operating margin of 23.0%), after a 59% gross margin on the products/services it sells. After all costs, taxes and interest, 11.6% of revenue becomes bottom-line net profit.

Is it financially healthy?

Financially it looks stretched: carries moderate debt (1.8× equity), may struggle to cover its short-term bills (0.6× current ratio), and is currently profitable.

Who at VZ filed insider trades?

Recent insider filings for Verizon Communications Inc.
Date	Insider	Relationship	What happened	Value	Filing
13 Oct 2026	Malady Kyle	EVP and Group CEO-VZ Business	Open-market sale	$47,223.00	Form 4 for Malady Kyle (opens sec.gov in a new tab)
6 Oct 2026	Malady Kyle	EVP and Group CEO-VZ Business	Open-market sale	$50,325.00	Form 4 for Malady Kyle (opens sec.gov in a new tab)
29 Sept 2026	Malady Kyle	EVP and Group CEO-VZ Business	Open-market sale	$51,040.00	Form 4 for Malady Kyle (opens sec.gov in a new tab)
22 Sept 2026	Malady Kyle	EVP and Group CEO-VZ Business	Open-market sale	$52,415.00	Form 4 for Malady Kyle (opens sec.gov in a new tab)
15 Sept 2026	Malady Kyle	EVP and Group CEO-VZ Business	Open-market sale	$56,309.00	Form 4 for Malady Kyle (opens sec.gov in a new tab)
8 Sept 2026	Malady Kyle	EVP and Group CEO-VZ Business	Open-market sale	$54,978.00	Form 4 for Malady Kyle (opens sec.gov in a new tab)

A disclosure, not a signal to trade. Source: SEC EDGAR (Form 4). Older filings and the 90-day buying-and-selling read are part of Pro. See plans

Common questions

What is VZ's intrinsic value?
TickerWorth's blended fair value for Verizon Communications Inc. (VZ) is $61.28 per share, versus a market price of $44.79 (priced within our range of $37.16 – $89.46).
Is VZ overvalued or undervalued?
Priced within our range of $37.16 – $89.46 at $44.79. We don't call VZ overvalued or undervalued from a range. This is an educational estimate, not advice.
What discount rate is used for VZ?
A WACC of 6.7% and a terminal growth rate of 2.0%.
Is Verizon Communications stock undervalued?
TickerWorth's fair value for Verizon Communications Inc. (VZ) is $61.28 against a market price of $44.79. Our read: Priced within our range of $37.16 – $89.46. This is a model estimate, not investment advice.
Verizon Communications (VZ) DCF valuation and fair value
Our fair value for Verizon Communications Inc. (VZ) is $61.28, built on a 6.7% discount rate (WACC) and 2.0% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.
What growth is priced into Verizon Communications stock?
Today's price implies revenue growth of −6.9% a year for 5 years; our model assumes 1.7% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $44.79. A model estimate, not investment advice.
Verizon Communications (VZ) insider trading
The most recent insider filing (SEC Form 4) for Verizon Communications Inc. (VZ): Malady Kyle, EVP and Group CEO-VZ Business, open-market sale on 2026-10-13. The latest filings are listed on this page. A disclosure, not a signal to trade.