Verizon Communications Inc.Find Ratings Reports
VERIZON COMMUNICATIONS INC's gross profit margin for the first quarter of its fiscal year 2018 is essentially unchanged when compared to the same period a year ago. Sales and net income have grown, and although the growth in revenues has outpaced the average competitor within the industry, the net income growth has not. VERIZON COMMUNICATIONS INC has weak liquidity. Currently, the Quick Ratio is 0.78 which shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
At the same time, stockholders' equity ("net worth") has greatly increased by 116.15% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.
|Income Statement||Q1 FY18||Q1 FY17|
|Net Sales ($mil)||31772.0||29814.0|
|Net Income ($mil)||4545.0||3450.0|
|Balance Sheet||Q1 FY18||Q1 FY17|
|Cash & Equiv. ($mil)||1923.0||4307.0|
|Total Assets ($mil)||264516.0||246731.0|
|Total Debt ($mil)||119057.0||116546.0|
|Profitability||Q1 FY18||Q1 FY17|
|Gross Profit Margin||58.28||59.59|
|Return on Assets||11.79||4.97|
|Return on Equity||61.43||52.21|
|Debt||Q1 FY18||Q1 FY17|
|Share Data||Q1 FY18||Q1 FY17|
|Shares outstanding (mil)||4132.0||4079.37|
|Div / share||0.59||0.58|
|Book value / share||12.29||5.76|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||1.6569127E7||1.7309848E7|
BUY. This stock's P/E ratio indicates a discount compared to an average of 14.76 for the Diversified Telecommunication Services industry and a significant discount compared to the S&P 500 average of 23.98. To use another comparison, its price-to-book ratio of 4.04 indicates a premium versus the S&P 500 average of 3.11 and a significant premium versus the industry average of 2.44. The current price-to-sales ratio is well below the S&P 500 average, but above the industry average.
|VZ 6.51||Peers 14.76||VZ 6.71||Peers 5.88|
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.
VZ is trading at a significant discount to its peers.
Premium. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
VZ is trading at a premium to its peers.
|VZ 10.64||Peers 14.17||VZ NM||Peers 0.33|
Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations.
VZ is trading at a discount to its peers.
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
VZ's negative PEG ratio makes this valuation measure meaningless.
|VZ 4.04||Peers 2.44||VZ 154.33||Peers 92.71|
Premium. A higher price-to-book ratio makes a stock less attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
VZ is trading at a significant premium to its peers.
Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
VZ is expected to have an earnings growth rate that significantly exceeds its peers.
|VZ 1.60||Peers 1.55||VZ 3.53||Peers 6.35|
Average. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
VZ is trading at a valuation on par with its industry on this measurement.
Lower. A sales growth rate that trails the industry implies that a company is losing market share.
VZ significantly trails its peers on the basis of sales growth