Verizon Communications Inc. PEG Ratio
Data as of June 01, 2026
PEG Ratio
0.90
PE Ratio (TTM)
11.66
EPS (TTM)
$4.10
Sector
Communication Services
How It's Calculated
0.90 = 11.66 ÷ Growth Rate
What This Means
Verizon Communications Inc.'s PEG ratio of 0.90 is below 1, suggesting the stock may be undervalued relative to its earnings growth rate. A PEG below 1 often signals a buying opportunity.
About Verizon Communications Inc.
Verizon Communications Inc. (VZ) operates in the Communication Services sector, specifically in Telecom Services. With a market capitalization of about $199.63B, it ranks as a large-cap stock โ a major established company.
Shares recently traded near $47.81, within a 52-week range of $38.39 to $51.68 (-7.5% from the high, +24.5% from the low). Beta of 0.22 indicates relatively lower volatility versus the market.
Trailing profit margin is about 12.5%, signaling a solid profit margin for its industry.
Understanding This Metric
The PEG ratio adjusts the PE multiple for expected earnings growth, helping compare fast-growing and slow-growing names on a more equal footing. For Verizon Communications Inc., a PEG near 1 is often described as fairly valued relative to growth, though the growth estimate itself can change quickly with guidance revisions.
Sector Comparison
Among Communication Services names on our S&P 100 coverage, Verizon Communications Inc.'s PEG ratio of 0.90 can be compared with peers such as GOOGL (1.50), GOOG (1.48), META (0.91). Sector context helps interpretation, but each company's growth profile and balance sheet differ โ use multiple metrics before drawing conclusions. View all Communication Services stocks.
Key Takeaways
- VZ is grouped in the Communication Services sector for peer comparisons.
- Recent beta of 0.22 suggests lower-than-market price sensitivity.
- Trailing profit margin of 12.5% provides context for how much earnings support the headline multiple.
Related Tools & Guides
Explore calculators and guides connected to this metric, or view all metrics for VZ.
Other VZ Metrics
Frequently Asked Questions
What is VZ's PEG ratio?
PEG adjusts PE for expected earnings growth: PEG โ PE รท earnings growth rate. Verizon Communications Inc.'s PEG of 0.90 is a shorthand for growth-at-a-reasonable-price comparisons.
Does PEG suggest growth at a reasonable price?
PEG below 1.0 (0.90) is often described as inexpensive relative to growth expectations โ verify the growth input is realistic.
What are limitations of PEG for VZ?
PEG depends on a single growth estimate, ignores balance sheet risk, and can mislead when earnings are volatile. Use it with PE, margins, and Communication Services peers โ not as a standalone verdict.
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