Verizon Communications Inc. [NYSE: VZ] shares went higher by 0.48% from its previous closing of $60.82, now trading at the price of $61.11, also adding 0.29 points. Is VZ stock a buy or should you stay away?
The stock had a rather active trading session with the latest closing, by far recording 2.19 million contracts. Compared to the average trading volume of VZ shares, the company saw a far better performance. Moreover, the stock has a 4.13B float and a +1.39% run over in the last seven days. VZ share price has been hovering between $61.34 and $52.28 lately, and is definitely worthy of attention.
Verizon Communications Inc. [NYSE:VZ]: Analyst Rating and Earnings
Its stock price has been found in the range of 52.28 to 61.34. This is compared to its latest closing price of $60.82.
Stay on the lookout for the next publication of this organization’s financial results for the quarter, which will be made public on Tue 4 Feb (In 60 Days).
Fundamental Analysis of Verizon Communications Inc. [VZ]
Now let’s turn to look at profitability: with a current Operating Margin for Verizon Communications Inc. [VZ] sitting at +22.93 and its Gross Margin at +44.52, this company’s Net Margin is now 12.30%. These measurements indicate that Verizon Communications Inc. [VZ] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 18.21, and its Return on Invested Capital has reached 12.10%. Its Return on Equity is 32.27, and its Return on Assets is 5.95. These metrics all suggest that Verizon Communications Inc. is doing well at using the money it earns to generate returns.
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Turning to investigate this organization’s capital structure, Verizon Communications Inc. [VZ] has generated a Total Debt to Total Equity ratio of 212.74. Similarly, its Total Debt to Total Capital is 68.03, while its Total Debt to Total Assets stands at 42.69. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 5.38, and its Long-Term Debt to Total Capital is 199.22.
What about valuation? This company’s Enterprise Value to EBITDA is 7.56 and its Total Debt to EBITDA Value is 2.38. The Enterprise Value to Sales for this firm is now 2.73, and its Total Debt to Enterprise Value stands at 0.33. Verizon Communications Inc. [VZ] has a Price to Book Ratio of 4.37, a Price to Cash Flow Ratio of 6.76 and P/E Ratio of 15.70. These metrics all suggest that Verizon Communications Inc. is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Verizon Communications Inc. [VZ] earns $905,626 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 5.30 and its Total Asset Turnover is 0.50. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.82 and its Current Ratio is 0.86. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Verizon Communications Inc. [VZ] has 4.14B shares outstanding, amounting to a total market cap of $251.67B. Its stock price has been found in the range of 52.28 to 61.34. At its current price, it has moved down by -0.37% from its 52-week high, and it has moved up 16.89% from its 52-week low.
This stock’s Beta value is currently 0.49, which indicates that it is 0.99% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 66.37. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Verizon Communications Inc. [VZ] a Reliable Buy?
Shares of Verizon Communications Inc. [VZ], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.