Valuation
P/E TTM
11.57
P/E LYR
9.59
P/B MRQ
1.94
P/S TTM
--
AI Analysis
- Verizon's stock appears undervalued relative to its earnings and the market, trading at low P/E and P/S multiples. A reasonable fundamental target price is calculated at $54.81 based on a target P/E of 13.5x applied to TTM EPS.
- Current Price: $46.65 (as of 2026-06-04).
- P/E (TTM): 11.57 is low compared to the broader market average, suggesting the stock is inexpensive on an earnings basis.
- Forward P/E (Dynamic): 9.59 implies analysts expect earnings to grow.
- P/B: 1.94 is reasonable given the high ROE.
- P/S (TTM): 1.40 is a low multiple for a company with stable revenues and high margins.
- Using the P/E (TTM) of 11.57 and the Diluted EPS (TTM) of $4.06, the current price aligns with this multiple.
- A reasonable P/E range for a stable telecom dividend payer with moderate growth could be 12x to 15x.
- Fundamental Price Range: Applying this P/E range to the TTM EPS of $4.06 yields a valuation range of $48.72 to $60.90.
- Target Price Recommendation: Considering the stable fundamentals, high yield, and moderate growth, a target P/E of 13.5x is reasonable, resulting in a fundamental target price of $54.81 ($4.06 * 13.5).