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Verizon Communications (Verizon Communications) Cyclically Adjusted PS Ratio : 1.06 (As of Apr. 28, 2024)


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What is Verizon Communications Cyclically Adjusted PS Ratio?

As of today (2024-04-28), Verizon Communications's current share price is $39.68. Verizon Communications's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 was $37.28. Verizon Communications's Cyclically Adjusted PS Ratio for today is 1.06.

The historical rank and industry rank for Verizon Communications's Cyclically Adjusted PS Ratio or its related term are showing as below:

VZ' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 0.8   Med: 1.32   Max: 1.65
Current: 1.06

During the past years, Verizon Communications's highest Cyclically Adjusted PS Ratio was 1.65. The lowest was 0.80. And the median was 1.32.

VZ's Cyclically Adjusted PS Ratio is ranked worse than
51.19% of 293 companies
in the Telecommunication Services industry
Industry Median: 1.02 vs VZ: 1.06

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Verizon Communications's adjusted revenue per share data for the three months ended in Mar. 2024 was $7.817. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is $37.28 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Verizon Communications Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Verizon Communications's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Verizon Communications Cyclically Adjusted PS Ratio Chart

Verizon Communications Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.62 1.58 1.36 1.02 1.00

Verizon Communications Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.00 0.96 0.84 1.00 1.13

Competitive Comparison of Verizon Communications's Cyclically Adjusted PS Ratio

For the Telecom Services subindustry, Verizon Communications's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Verizon Communications's Cyclically Adjusted PS Ratio Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Verizon Communications's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Verizon Communications's Cyclically Adjusted PS Ratio falls into.



Verizon Communications Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Verizon Communications's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=39.68/37.28
=1.06

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Verizon Communications's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Verizon Communications's adjusted Revenue per Share data for the three months ended in Mar. 2024 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=7.817/129.4194*129.4194
=7.817

Current CPI (Mar. 2024) = 129.4194.

Verizon Communications Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201406 7.581 100.560 9.757
201409 7.595 100.428 9.788
201412 7.965 99.070 10.405
201503 7.761 99.621 10.082
201506 7.888 100.684 10.139
201509 8.131 100.392 10.482
201512 8.381 99.792 10.869
201603 7.875 100.470 10.144
201606 7.474 101.688 9.512
201609 7.571 101.861 9.619
201612 7.915 101.863 10.056
201703 7.295 102.862 9.178
201706 7.474 103.349 9.359
201709 7.757 104.136 9.640
201712 8.298 104.011 10.325
201803 7.736 105.290 9.509
201806 7.780 106.317 9.471
201809 7.876 106.507 9.570
201812 8.278 105.998 10.107
201903 7.760 107.251 9.364
201906 7.748 108.070 9.279
201909 7.945 108.329 9.492
201912 8.400 108.420 10.027
202003 7.633 108.902 9.071
202006 7.353 108.767 8.749
202009 7.615 109.815 8.974
202012 8.370 109.897 9.857
202103 7.935 111.754 9.189
202106 8.150 114.631 9.201
202109 7.943 115.734 8.882
202112 8.168 117.630 8.987
202203 7.985 121.301 8.519
202206 8.041 125.017 8.324
202209 8.145 125.227 8.418
202212 8.379 125.222 8.660
202303 7.816 127.348 7.943
202306 7.737 128.729 7.779
202309 7.907 129.860 7.880
202312 8.329 129.419 8.329
202403 7.817 129.419 7.817

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Verizon Communications  (NYSE:VZ) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Verizon Communications Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of Verizon Communications's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Verizon Communications (Verizon Communications) Business Description

Address
1095 Avenue of the Americas, New York, NY, USA, 10036
Verizon Communications is primarily a wireless business (it provides about 70% of service revenue and nearly all operating income). It serves about 92 million postpaid and 22 million prepaid phone customers (following the acquisition of Tracfone) via its nationwide network, making it the largest U.S. wireless carrier. Fixed-line telecom operations include local networks in the Northeast, which reach about 25 million homes and businesses and serve about 8 million broadband customers. Verizon also provides telecom services nationwide to enterprise customers, often using a mixture of its own and other carriers' networks.
Executives
Craig L. Silliman officer: EVP of PubPolicy & Gen Counsel 1095 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Samantha Hammock officer: EVP & Chief HR Officer 1095 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Joseph J. Russo officer: EVP&Pres-Global Networks&Tech VERIZON COMMUNICATIONS INC., 1095 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Mary-lee Stillwell officer: SVP and Controller 804 CARNEGIE CENTER, PRINCETON NJ 08540
Kyle Malady officer: EVP & Chief Technology Officer 1095 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Vittorio Colao director 1095 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Vandana Venkatesh officer: EVP and General Counsel VERIZON COMMUNICATIONS INC., 1095 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Sowmyanarayan Sampath officer: EVP and Group CEO-VZ Business 1095 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Tami A. Erwin officer: EVP and Group CEO-VZ Business 1095 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Hans Erik Vestberg director, officer: Chairman and CEO 1095 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Manon Brouillette officer: EVP and Group CEO-VZ Consumer 40 AVENUE SPRINGGROVE, MONTREAL Z4 H3C 4M8
Carol B Tome director 55 GLENLAKE PARKWAY, NE, ATLANTA GA 30328
Kumara Guru Gowrappan officer: EVP and Group CEO-VZ Media 1095 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Laxman Narasimhan director PEPSICO, INC., 700 ANDERSON HILL ROAD, PURCHASE NY 10577
Shellye L Archambeau director 1095 AVENUE OF THE AMERICAS, 8TH FLOOR, NEW YORK NY 10036